Published on June 10, 2016
1. www.entrepreneurindia.co How to Start a Paint Manufacturing Industry (Decorative Paint & Acrylic Emulsion Paint) Manufacturing Plant, Detailed Project Report, Profile, Business Plan, Industry Trends, Market Research, Survey, Manufacturing Process, Machinery, Raw Materials, Feasibility study, Investment Opportunities, Cost and Revenue
2. www.entrepreneurindia.co Paint is any liquid, liquefiable, or mastic composition that, after application to a substrate in a thin layer, converts to a solid film. It is most commonly used to protect, color, or provide texture to objects. Paint can be made or purchased in many colors—and in many different types, such as watercolor, synthetic, etc. Paint is typically stored, sold, and applied as a liquid, but dries into a solid.
3. www.entrepreneurindia.co The binder is the film-forming component of paint. It is the only component that must be present if the binder material is suitable for application. Many binders are too thick to be applied and must be thinned. The type of thinner varies with the binder. The thinner is also called the vehicle, because it makes it possible to transfer the binder to the surface with a brush, roller or sprayer. Components listed below are included optionally, depending on the desired properties of the cured film.
4. www.entrepreneurindia.co Paint can be applied as a solid, a gaseous suspension (aerosol) or a liquid. Techniques vary depending on the practical or artistic results desired. The decorative coatings have various applications such as interior and exterior house paints, primers, sealers, varnishes and stains. Industrial paints and coatings are used by several industries, including machinery manufacturing, automotive, and consumer goods. Based on their formulation, industrial paints and coatings can be segmented into four categories: water-based, solvent-based, powder, and UV-based.
5. www.entrepreneurindia.co Few Indian Major Players are as under • Akzo Nobel India Ltd. • Asian Paints Ltd. • Bangalore Paints Ltd. • Beepee Coatings Pvt. Ltd. • Berger Paints India Ltd. • Godavari Paints Pvt. Ltd. • Kansai Nerolac Paints Ltd. • Pelican Paints Ltd. • Rajdoot Paints Ltd. • Rich Paints Ltd. • Shalimar Paints Ltd. • Special Paints Ltd. • Tamil Nadu Paints & Allied Products Ltd.
6. PROJECT AT A GLANCE www.entrepreneurindia.co COST OF PROJECT MEANS OF FINANCE Particulars Existing Propose d Total Particulars Existing Propose d Total Land & Site Development Exp. 0.00 50.00 50.00Capital 0.00 75.85 75.85 Buildings 0.00 89.00 89.00Share Premium 0.00 0.00 0.00 Plant & Machineries 0.00 96.50 96.50 Other Type Share Capital 0.00 0.00 0.00 Motor Vehicles 0.00 8.00 8.00Reserves & Surplus 0.00 0.00 0.00 Office Automation Equipments 0.00 23.00 23.00Cash Subsidy 0.00 0.00 0.00 Technical Knowhow Fees & Exp. 0.00 15.00 15.00 Internal Cash Accruals 0.00 0.00 0.00 Franchise & Other Deposits 0.00 0.00 0.00 Long/Medium Term Borrowings 0.00 227.54 227.54 Preliminary& Pre-operative Exp 0.00 2.00 2.00Debentures / Bonds 0.00 0.00 0.00 Provision for Contingencies 0.00 8.00 8.00 Unsecured Loans/Deposits 0.00 0.00 0.00 Margin Money - Working Capital 0.00 11.89 11.89 TOTAL 0.00 303.39 303.39TOTAL 0.00 303.39 303.39
7. PROJECT AT A GLANCE www.entrepreneurindia.co Year Annualised Book Value Debt Divide nd Retained Earnings Payout Probabl e Market Price P/E Ratio Yield Price/ Book Value EPS CEPS Per Share Per Share Per Share No.of Times Rs Rs Rs Rs Rs % Rs % Rs % 1-2 5.06 8.94 15.06 24.00 0.00 100.00 5.06 0.00 5.06 1.00 0.00 2-3 7.64 11.04 22.69 18.00 0.00 100.00 7.64 0.00 7.64 1.00 0.00 3-4 10.18 13.17 32.87 12.00 0.00 100.00 10.18 0.00 10.18 1.00 0.00 4-5 12.66 15.29 45.53 6.00 0.00 100.00 12.66 0.00 12.66 1.00 0.00 5-6 15.06 17.38 60.59 0.00 0.00 100.00 15.06 0.00 15.06 1.00 0.00
8. PROJECT AT A GLANCE www.entrepreneurindia.co Year D. S. C. R. Debt / - Deposit s Debt Equity as- Equity Total Net Worth Retu rn on Net Wort h Profitability Ratio Assets Turnov er Ratio Curren t Ratio Individu al Cumulativ e Overall GPM PBT PAT Net Contrib ution P/V Ratio (Number of times) (Number of times) % % % % % % Initial 3.00 3.00 1-2 1.32 1.32 1.59 1.59 1.90 28.75% 16.07% 11.33% 220.01 65.02% 1.06 0.86 2-3 1.59 1.45 0.79 0.79 1.03 32.21% 22.24% 14.67% 246.14 62.34% 1.17 1.31 3-4 1.91 1.59 1.91 0.37 0.37 0.55 34.54% 26.61% 17.11% 281.05 62.29% 1.20 1.89 4- 5 2.30 1.74 0.13 0.13 0.28 36.13% 29.74% 18.92% 315.96 62.25% 1.17 2.56 5- 6 2.76 1.91 0.00 0.00 0.12 37.18% 32.01% 20.25% 350.87 62.21% 1.11 5.96
9. PROJECT AT A GLANCE www.entrepreneurindia.co BEP BEP - Maximum Utilisation Year 5 Cash BEP (% of Installed Capacity) 43.03% Total BEP (% of Installed Capacity) 48.05% IRR, PAYBACK and FACR Internal Rate of Return .. ( In %age ) 24.28% Payback Period of the Project is ( In Years ) 2 Years 4 Months Fixed Assets Coverage Ratio ( No. of times ) 3.195
10. Major Queries/Questions Answered in the Report? www.entrepreneurindia.co 1. What is Paint manufacturing Industry? 2. How has the Paint manufacturing Industry performed so far and how will it perform in the coming years? 3. What is the Project Feasibility of a Paint Industry? 4. What are the requirements of Working Capital for setting up a Paint Industry? 5. What is the structure of the Paint Industry and who are the key/major players?
11. 6. What is the total project cost for setting up a Paint manufacturing Industry? 7. What are the operating costs for setting up a Paint manufacturing Industry? 8. What are the machinery and equipment requirements for setting up a Paint Industry? 9. Who are the Suppliers and Manufacturers of Plant & Machinery for setting up a Paint Industry? 10. What are the requirements of raw material for setting up a Paint manufacturing Industry? www.entrepreneurindia.co
12. 11. Who are the Suppliers and Manufacturers of Raw materials for setting up a Paint manufacturing Industry? 12. What is the Manufacturing Process and Formulations of a Paint Industry? 13. What is the total size of land required for setting up a Paint Industry? 14. What will be the income and expenditures for a Paint manufacturing Industry? 15. What are the Projected Balance Sheets of a Paint manufacturing Industry? www.entrepreneurindia.co
13. www.entepreneurindia.co 16. What are the requirement of utilities and overheads for setting up a Paint manufacturing Industry? 17. What is the Built up Area Requirement and cost for setting up a Paint manufacturing Industry? 18. What are the Personnel (Manpower) Requirements for setting up a Paint manufacturing Industry? 19. What are Statistics of Import & Export for Paint manufacturing Industry? 20. What is the time required to break-even?
14. 21. What is the Break-Even Analysis of a Paint manufacturing Industry? 22. What are the Project financials of a Paint manufacturing Industry? 23. What are the Profitability Ratios of a Paint manufacturing Industry? 24. What is the Sensitivity Analysis-Price/Volume of a Paint Industry? 25. What are the Projected Pay-Back Period and IRR of a Paint Industry? www.entepreneurindia.co
15. 26. What is the Process Flow Sheet Diagram of a Paint manufacturing Industry? 27. What are the Market Opportunities for setting up a Paint manufacturing Industry? 28. What is the Market Study and Assessment for setting up a Paint Industry? 29. What is the Plant Layout for setting up a Paint Industry? www.entrepreneurindia.co
16. Table of Contents of the Project Report www.entrepreneurindia.co
17. www.entrepreneurindia.co 1 Project Location 1.1. City Profile & Geotechnical Site Characterization 1.1.1. General 1.1.2. Physical Characteristics 1.1.3. Map 1.1.4. Languages and Culture 1.1.5. Climate & Rainfall 1.1.6. Transportation and Communications 1.1.7. Economy & Industry 2. Introduction 2.1. History
18. www.entrepreneurindia.co 3. Components of Paint 3.1. Binder (or Film Former) 3.2. Diluent or Solvent 3.3. Pigment and Filler 3.4. Additives 3.5. Color-Changing Paint 4. Applications of Paint 5. Advantages of Decorative Paint 6. Market Survey
19. www.entrepreneurindia.co 6.1. Paints and Distemper 6.2. Paints & Varnishes 6.3. Leading Brands 6.4. Market Structure 6.5. Titanium Dioxide 6.6. Global Paints and Coatings Market 7. Financials & Comparison of Major Indian Players/Companies 7.1. About Financial Statements of CMIE Database 7.2. Profits & Appropriations
20. www.entrepreneurindia.co 7.3. Total Liabilities 7.4. Total Assets 7.5. Net Cash Flow from Operating Activities 7.6. Section – I 7.6.1. Name of Company with Contact Details 7.6.2. Name of Director(S) 7.6.3. Plant Capacity 7.6.4. Location of Plant 7.6.5. Name of Raw Material(S) Consumed with Quantity & Cost 7.7. Section – II
21. www.entrepreneurindia.co 7.7.1. Assets 7.7.2. Cash Flow 7.7.3. Cost as % ge of Sales 7.7.4. Forex Transaction 7.7.5. Growth in Assets & Liabilities 7.7.6. Growth in Income & Expenditure 7.7.7. Income & Expenditure 7.7.8. Liabilities 7.7.9. Liquidity Ratios 7.7.10.Profitability Ratio 7.7.11.Profits 7.7.12.Return Ratios 7.7.13.Structure of Assets & Liabilities (%) 7.7.14.Working Capital & Turnover Ratios
22. www.entrepreneurindia.co 8. Export & Import Statistics Data of India 8.1. Export Statistics Data on Acrylic Emulsion Paint 8.2. Import Statistics Data on Acrylic Emulsion Paint 9. Present Manufacturers 10.Product Details 11.Raw Materials 12. Paint Manufacturing
23. www.entrepreneurindia.co 13.Paint Production Flow Diagram 14.Manufacturing Process of Acrylic Emulsion Paint 15.Flow Diagram of Acrylic Emulsion Paint 16.Manufacturing Process of Decorative Paint 17.Flow Diagram of Decorative Paint
24. www.entrepreneurindia.co 18.1. Byproducts/Waste 19.Suppliers of Plant & Machinery 20.Suppliers of Raw Material 21.Product, Machinery & Raw Material Photographs 21.1. Product Photographs 21.2. Machinery Photographs 21.3. Raw Material Photographs 22. Plant Layout
25. Project Financials • Project at a Glance Annexure • Assumptions for Profitability workings ………………………..1 • Plant Economics…………………………………………………..2 • Production Schedule………………………………………………3 • Land & Building……………………………………………….……4 Factory Land & Building Site Development Expenses www.entrepreneurindia.co
26. • Plant & Machinery……………………………………………..……..5 Indigenous Machineries Other Machineries (Miscellaneous, Laboratory etc.) • Other Fixed Assets………………………………………..........….......6 Furniture & Fixtures Pre-operative and Preliminary Expenses Technical Knowhow Provision of Contingencies • Working Capital Requirement Per Month……………………….…7 Raw Material Packing Material Lab & ETP Chemical Cost Consumable Store www.entrepreneurindia.co
27. • Overheads Required Per Month and Per Annum………….…….…8 Utilities & Overheads (Power, Water and Fuel Expenses etc.) Royalty and Other Charges Selling and Distribution Expenses • Salary and Wages …………………………………………....…………..9 • Turnover Per Annum ……………………………………………........…10 • Share Capital………………………………………………………….....11 Equity Capital Preference Share Capital www.entrepreneurindia.co
28. • Annexure 1 :: Cost of Project and Means of Finance • Annexure 2 :: Profitability and Net Cash Accruals Revenue/Income/Realisation Expenses/Cost of Products/Services/Items Gross Profit Financial Charges Total Cost of Sales Net Profit After Taxes Net Cash Accruals www.entrepreneurindia.co
29. www.entrepreneurindia.co • Annexure 3 :: Assessment of Working Capital requirements Current Assets Gross Working Capital Current Liabilities Net Working Capital Working Note for Calculation of Work-in- process • Annexure 4 :: Sources and Disposition of Funds
30. • Annexure 5 :: Projected Balance Sheets ROI (Average of Fixed Assets) RONW (Average of Share Capital) ROI (Average of Total Assets) • Annexure 6 :: Profitability Ratios D.S.C.R Earnings Per Share (EPS) Debt Equity Ratio www.entrepreneurindia.co
31. • Annexure 7 :: Break-Even Analysis Variable Cost & Expenses Semi-Variable/Semi-Fixed Expenses Profit Volume Ratio (PVR) Fixed Expenses / Cost B.E.P www.entrepreneurindia.co
32. • Annexure 8 to 11 :: Sensitivity Analysis-Price/Volume Resultant N.P.B.T Resultant D.S.C.R Resultant PV Ratio Resultant DER Resultant ROI Resultant BEP www.entrepreneurindia.co
33. • Annexure 12 :: Shareholding Pattern and Stake Status Equity Capital Preference Share Capital • Annexure 13 :: Quantitative Details-Output/Sales/Stocks Determined Capacity P.A of Products/Services Achievable Efficiency/Yield % of Products/Services/Items Net Usable Load/Capacity of Products/Services/Items Expected Sales/ Revenue/ Income of Products/ Services/ Items www.entrepreneurindia.co
34. • Annexure 14 :: Product wise Domestic Sales Realisation • Annexure 15 :: Total Raw Material Cost • Annexure 16 :: Raw Material Cost per unit • Annexure 17 :: Total Lab & ETP Chemical Cost • Annexure 18 :: Consumables, Store etc. • Annexure 19 :: Packing Material Cost • Annexure 20 :: Packing Material Cost Per Unit www.entrepreneurindia.co
35. • Annexure 21 :: Employees Expenses • Annexure 22 :: Fuel Expenses • Annexure 23 :: Power/Electricity Expenses • Annexure 24 :: Royalty & Other Charges • Annexure 25 :: Repairs & Maintenance Expenses • Annexure 26 :: Other Manufacturing Expenses • Annexure 27 :: Administration Expenses • Annexure 28 :: Selling Expenses www.entrepreneurindia.co
36. • Annexure 29 :: Depreciation Charges – as per Books (Total) • Annexure 30 :: Depreciation Charges – as per Books (P & M) • Annexure 31 :: Depreciation Charges - as per IT Act WDV (Total) • Annexure 32 :: Depreciation Charges - as per IT Act WDV (P & M) • Annexure 33 :: Interest and Repayment - Term Loans • Annexure 34 :: Tax on Profits • Annexure 35 :: Projected Pay-Back Period and IRR www.entrepreneurindia.co
37. Niir Project Consultancy Services (NPCS) can provide Detailed Project Report on Paint Industry (Decorative Paint & Acrylic Emulsion Paint) See more: http://goo.gl/ehi8hY http://goo.gl/DTyMUs http://goo.gl/wqZ72T www.entrepreneurindia.co
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43. o Project Identification o Detailed Project Reports/Pre-feasibility Reports o Market Research Reports o Business Plan o Industry Trends o Technology Books and Directory o Databases on CD-ROM o Laboratory Testing Services o Turnkey Project Consultancy/Solutions o Entrepreneur India (An Industrial Monthly Journal) www.entrepreneurindia.co What do we offer?
44. o We have two decades long experience in project consultancy and market research field o We empower our customers with the prerequisite know-how to take sound business decisions o We help catalyze business growth by providing distinctive and profound market analysis o We serve a wide array of customers , from individual entrepreneurs to Corporations and Foreign Investors o We use authentic & reliable sources to ensure business precision www.entrepreneurindia.co How are we different ?
45. Our Approach www.entrepreneurindia.co Requirement collection Thorough analysis of the project Economic feasibility study of the Project Market potential survey/research Report Compilation
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47. Sectors We Cover o Ayurvedic And Herbal Medicines, Herbal Cosmetics o Alcoholic And Non Alcoholic Beverages, Drinks o Adhesives, Industrial Adhesive, Sealants, Glues, Gum & Resin o Activated Carbon & Activated Charcoal o Aluminium And Aluminium Extrusion Profiles & Sections, o Bio-fertilizers And Biotechnology o Breakfast Snacks And Cereal Food o Bicycle Tyres & Tubes, Bicycle Parts, Bicycle Assembling www.entrepreneurindia.co
48. Sectors We Cover Cont… o Bamboo And Cane Based Projects o Building Materials And Construction Projects o Biodegradable & Bioplastic Based Projects o Chemicals (Organic And Inorganic) o Confectionery, Bakery/Baking And Other Food o Cereal Processing o Coconut And Coconut Based Products o Cold Storage For Fruits & Vegetables o Coal & Coal Byproduct www.entrepreneurindia.co
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52. Sectors We Cover Cont… o Paints, Pigments, Varnish & Lacquer o Paper And Paper Board, Paper Recycling Projects o Printing Inks o Packaging Based Projects o Perfumes, Cosmetics And Flavours o Power Generation Based Projects & Renewable Energy Based Projects o Pharmaceuticals And Drugs o Plantations, Farming And Cultivations o Plastic Film, Plastic Waste And Plastic Compounds o Plastic, PVC, PET, HDPE, LDPE Etc. www.entrepreneurindia.co
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54. Sectors We Cover Cont… o Township & Residential Complex o Textiles And Readymade Garments o Waste Management & Recycling o Wood & Wood Products o Water Industry(Packaged Drinking Water & Mineral Water) o Wire & Cable www.entrepreneurindia.co
55. Niir Project Consultancy Services 106-E, Kamla Nagar, New Delhi-110007, India. Email: [email protected] , [email protected] Tel: +91-11-23843955, 23845654, 23845886 Mobile: +91-9811043595 Fax: +91-11-23841561 Website : www.entrepreneurindia.co Take a look at NIIR PROJECT CONSULTANCY SERVICES on #StreetView https://goo.gl/VstWkd
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