Free Essay

Cakes

In: Business and Management

Submitted By krietzynicdao
Words 1596
Pages 7
1 1.1

CAKES AND PASTRIES Introduction

Bakery products have become very popular throughout the country. Breads and biscuits are the most common products but other items like cakes, pastries, cream-rolls, cookies etc. are also not lagging far behind. These items are consumed by people of all age groups across the board. Nature of these products is such that the consumers prefer fresh items. Shelf life of cakes & pastries is limited and thus local manufacturers enjoy distinct advantage. In spite of continuous increase in the consumption of these items during last few years, the per capita consumption is still very low compared to the advanced countries. There is, thus, good scope for these items. A good pastry is light and airy, easily broken in the mouth (what is called 'short' eating), but firm enough to support the weight of the filling. The dough must be well mixed but care must be taken not to overmix the pastry. This results in long gluten strands and toughens the pastry. Thus, the manufacture of good pastry is something of a fine art. 1.2 Objective

The primary objective of the model report is to facilitate the entrepreneurs in understanding the importance of setting up unit of cakes and pastries. This model report will serve as guidance to the entrepreneurs on starting up such a new project and basic technical knowledge for setting up such a facility. 1.3 Raw Material Availability

The all important raw materials will be wheat flour, sugar, eggs and ghee for which proper arrangements should be made. Other items like milk powder, yeast, salt, assorted fruits, baking powder, caramel colour, vanilla, butter cream, etc. shall be required in small quantity. 1.4 Market Opportunities

Couple of national brands tried to enter this market in a big way few years back but their products are still finding it difficult to capture the market as the consumer preference is always for freshly prepared cakes or pastries. There are always some well-known bakers at each centre and the real competition would be from them. Hence, it is advisable to have a retail outlet along with bakery apart from sale through other outlets. Changing lifestyles and increase in the standard of living have changed the eating habits of people with liking for instant or ready-to-eat food items. This trend has spread throughout the
Project Profiles - MP Agros 1 Global AgriSystem Pvt. Ltd. Your Partner in Agri-business

country in all age groups and now even people from the rural areas have also joined this band-wagon. Bakery products fall under the same category and apart from bread and biscuits; items like cakes, pastries, cream-rolls, cookies etc. have become very popular. Fresh items are always preferred by the consumers. 1.5 Project description

Applications Cakes & pastries are sweet wheat preparations usually made with beaten eggs and yeast as they act as aerating agents. These are, thus, concentrated foods of high caloric value with rich in fat. There are many varieties and flavours of cakes & pastries. Availability of know how and compliances Compliance with the PFA Act is mandatory. BIS has specified quality standards for both the products. Capacity of the Project The total capacity of the unit is 200 MT. Manufacturing process It is standardised and simple for all products. To make cakes, wheat flour and baking powder along with cream, sugar and ghee is mixed thoroughly till it becomes fluffy. Then mixture of beaten eggs is added to it along with caramel colour and chopped fruits before the mixture are poured into cake pans and baked for around 30-40 minutes. Pastries are made in different shapes like square, rectangular etc. from thick cake sheets. Butter cream, jam etc. is placed between layers of cake. The layered cake is then chilled and cut with sharp knife in the required shape and size. Sides of the pieces are iced with butter cream or fudge and topped with finely ground cake crumbs or pieces of fruits or chocolate strips and decorated with proper design, colour and garnish. There are no standard flavours or varieties and preference of local population has to be kept in mind. There is a very good scope to introduce new varieties palatable to local tastes. 1.6 Project component and cost

Major components of the projects and their costs are described in the table hereunder:

Project Profiles - MP Agros

2

Global AgriSystem Pvt. Ltd. Your Partner in Agri-business

1.7

Land and Building
Unit SqM Qty 200 200 SqM 125 10% 1 1 1 1 1 2 2 20% 1 20% 1 1 1 Cost/unit 250.00 500.00 5,000.00 75,000.00 15,000.00 50,000.00 25,000.00 150,000.00 50,000.00 40,000.00 500,000 396,000 50,000 100,000 Total 8.38 0.50 1.00 6.25 0.63 5.94 0.75 0.15 0.50 0.25 1.50 1.00 0.80 0.99 6.00 5.00 1.00 5.46 3.96 0.50 1.00 25.78

PARTICULARS LAND & BUILDING Land Land Development Land Area Building Production Block Buildup Area Contingencies PLANT & MACHINERY Flour Sifter Egg Beater Cake Mixer Suger Pulverizer Oven Baking Pans SS utensils and Misc Contingencies MISCELLANEOUS FIXED ASSETS Misc Assets Contingencies PRE-OPERATIVE EXPENSES Establishment Professional Charges Security Deposits TOTAL

LS LS LS

1.8

Plant and Machinery

The total cost of the plant and machinery is Rs. 5.94 Lakhs. 1.9 Building

The main production block will cost around Rs. 6.88 lakhs. 1.10 Miscellaneous Assets A provision of Rs. 6 lakhs would take care of all the requirements. 1.11 Preliminary & Pre-operative Expenses A provision of Rs. 5.46 lakhs would take care of pre-production expenses like establishment, professional charges, security deposits etc. 1.12 Working capital assessment
ITEMS STOCK OF RAW MATERIAL & PACKING MATERIAL SUNDRY DEBTORS TOTAL MARGIN MPBF INTEREST ON WC
Project Profiles - MP Agros 3

Year 1 1.78 6.55 8.32 2.08 6.24 0.69

Year 3 2.22 8.18 10.40 2.60 7.80 0.86

Year 5 2.22 8.18 10.40 2.60 7.80 0.86

Global AgriSystem Pvt. Ltd. Your Partner in Agri-business

1.13 Means of finance
EQUITY CAPITAL MOFPI SUBSIDY TERM LOAN FINANANCIAL INSTITUTIONS -Payable half yearly Installments TOTAL 25% 10 50.00 10.00% 1.40 25.00% 25.00% 50.00% 100% 6.96 6.96 13.93 27.86

1.14 Cash flow statement
PARTICULARS SOURCES OF FUNDS EQUITY CAPITAL SUBSIDY NET PROFIT (INTEREST ADDED BACK) DEPRECIATION PRELIMINARY EXP.W/O INCREASE IN TERM LOAN INCREASE IN BANK BORROWINGS-WC TOTAL Year 1 1.85 1.29 0.78 6.24 10.16 Year 3 5.34 1.29 0.78 0.78 8.20 Year 5 3.82 1.29 0.78 5.89 Year 7 2.23 1.29 0.78 4.30

1.15 Projected balance sheet
PARTICULARS LIABILITIES EQUITY CAPITAL RESERVES & SURPLUS TERM LOAN BANK BORROWINGS-WC TOTAL Year 1 6.96 6.73 12.53 6.24 32.47 Year 3 6.96 11.60 6.93 7.80 33.30 Year 5 6.96 17.30 1.33 7.80 33.39 Year 7 6.96 20.78 0.00 7.80 35.55

1.16 Projected profit and loss account
PARTICULARS INCOME EXPENDITURE VARIABLE FIXED GROSS PROFIT PROFIT BEFORE TAX RETAINED PROFIT Year 1 72.00 68.08 44.35 23.73 3.92 (0.23) (0.23) Year 3 90.00 82.58 54.61 27.97 7.42 3.58 3.58 Year 5 90.00 84.11 54.61 29.50 5.89 2.62 2.62 Year 7 90.00 85.70 54.61 31.09 4.30 1.37 1.37

1.17 Key indicators
NET PRESENT VALUE at current Inflation (Rs. in lakhs) INTERNAL RATE OF RETURN % AVERAGE DSCR BREAK EVEN POINT % PAY BACK PERIOD ( YEARS) 26.39 22.86 1.59 96.13 4.84

Project Profiles - MP Agros

4

Global AgriSystem Pvt. Ltd. Your Partner in Agri-business

1.18 Manpower Requirement
PARTICULARS SUPERVISORY STAFF PRODUCTION SUPERVISORS WORKERS SKILLED WORKERS SEMI-SKILLED LABOUR SALESMAN NO. 2 4 8 2

1.19 Assumptions
Project & Financing Contingencies on Building Contingencies on Equipment Term Loan Rate of Interest on Term Loan Subsidy Considered Subject to ceiling Expected time of Installation Moratorium CAPACITY Rated Capacity Per Annum 80% of Installed capacity Number of Operational Days DAYS Working Hours Per day Hrs CAPACITY UTILIZATION Year I Year II Year III SALES PRICE W S Price OTHER EXPENSE Commission Marketing Expenses POWER Connected Load HP DEPRICIATION AS PER COMPANY’S ACT BUILDING PLANT & MACHINERY MISC. FIXED ASSETS LAND & SITE DEVELOPMENT MAINTENANCE BUILDING PLANT & MACHINERY MISC. FIXED ASSETS LAND & SITE DEVELOPMENT 10% 20% 50% 10% 25% 6 6 200 330 14 80% 90% 100% 45 000 10.0% 2.5% 25 3.34% 10.34% 7.07% 1.63% 1.00% 3.00% 2.00% 1.00%

Months Months TPA

Sources of technology  KS Engg. Works, Factory Area, Nr. Ranjit Press, Patiala- 147003. Tel No. 2361535  Rolex Tin and Metal Works, 21 Yacoob Street, Nr. JJ Hospital-400003. Tel No. 23472420/23411034  Gaziabad Printing and Packing Industries Pvt. Ltd, Nr. DPS, Meerut Road, Gaziabad. The actual cost of projects may deviate on change of any of the assumptions.
Project Profiles - MP Agros 5 Global AgriSystem Pvt. Ltd. Your Partner in Agri-business…...

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Business Cake

...piggies. I googled in youtube, watched the games, the short stories just to find out what the fuss was all about, what is this "angry birds' all about. why are they so angry, wwwhat makes them so furious, so now I know.......... Five angry, fuming, birds, Batrisyia told me, each one of these birds has its own specialty and unique characters, the red one was the main character but it does not have any special ability, and ...... to be continued...haha..... i don't really know actually, have to do more homework on them. Actually I am waiting for the catapult to dry properly, before I put all the angry birds on the cake, this is just a seneak preview, my friend will collect this cake tomorrow afternoon. OUCH! dah lah kena lastik, nak ambik telur, jatuh terhempap pulak dengan bata bata ni..... gotta go..... Posted by zue at 5:18 AM 4 comments Labels: 3D cake Friday, December 2, 2011 love letters cupcakes "in you, i have found the greatest joy in my life', her feeling is expressed via these cupcakes " i love you more than watching movies on rainy days" , yes we all love watching movies, I know i do, especially the romantic love story like "Sleepless In Seattle", "you've Got mail", Pretty woman', 'ghost' and also 'The Last of the Mohicans', just to name a few..... on rainy days.....makes it even more special, lying on the sofa, together gether, with blankets covered and some titbits , popcorns on the coffee table, with lights dimmed, and you will be transported......

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