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Tuesday, November 10, 2009

Steps to setup an Industry in Maharashtra

Establishing an Industrial Project

Steps to be followed by an entrepreneur

  • Collect maximum information about  the project or products proposed to be manufactured
  • For the purpose, collect/prepare a project profile which would outline brief information on the project or products to be manufactured
  • Decide location where the project is likely to set up
  • Learn about the procedures and formalities required to be completed before taking up physical implementation of the project

Get a detailed project report prepared which interalia should include following components

  • Market potential of the products to be manufactured
  • Characteristics of the Location
  • Land and building requirements
  • Requirements and availability of Plant and Machinery
  • Requirement of other utilities namely power, water, steam etc.
  • Assessment of Working Capital requirements
  • Technology tie-up
  • Raw materials with specifications
  • Manpower requirements
  • Schedule of Implementation
  • Estimates of Project Cost
  • Tie up of means of finance
  • Cost of Production and  profitability
  • Break even Point
  • Internal Rate of Return
  • Cash flow
  • Debt service Coverage Ratio to establish financial viability
  • Economic Benefits

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