FOR SETTING UP A BEAUTY SALOON
This business idea is aimed at setting up a Barber’s shop. The idea is premised on making different hair styles and haircuts for both males and females. The business has a good market demand due to the changing fashion of hair trends among youths. The revenue potential is estimated at US$ 2,273 per month which translates into US$ 27,273 per year. The project cost is US$ 11,582.
Process Description
Depending on the customer’s desired style or service being sought for.
Market Analysis
The business has a great market demand in both rural and urban areas throughout the year and a higher demand during festive seasons.
Capital Investment Requirements in US Dollars
|
Item Unit |
Qty |
Unit Cost |
Total |
|
|
Water heater |
No. |
1 |
25 |
25 |
|
Towels |
No. |
10 |
1.3 |
13 |
|
Sink |
No. |
1 |
10 |
10 |
|
Aprons |
No. |
10 |
1.8 |
18 |
|
Smoother |
No. |
1 |
8 |
8 |
|
Furniture |
No. |
300 |
||
|
Shavers |
No. |
5 |
25 |
125 |
|
Fan |
No. |
2 |
50 |
100 |
|
Wall Styling mirrors |
No. |
3 |
18 |
53 |
|
Combs |
Sets |
3 |
8 |
23 |
|
Total cost of Machinery |
|
|
673 |
|
Production and Operating Costs In US$
Direct Materials, Supplies and Costs
|
Item |
Prod. cost/ day |
Prod. Cost/ month
|
Prod. Cost/ year
|
|||
|
|
Cost Item day |
Units/ day |
||||
|
After shave |
Tins |
7.5 |
1 |
8 |
195 |
2,340 |
|
disinfectants |
Tins |
3 |
1 |
3 |
78 |
936 |
|
Spray |
Tins |
13 |
1 |
13 |
325 |
3,900 |
|
Powder |
Tins |
2 |
1 |
2 |
52 |
624 |
|
Sub-total |
|
650 |
7,800 |
|||
|
General costs (Overheads) |
||||||
|
Utilities (power) |
15 |
180 |
||||
|
(Utilities (water) |
8 |
90 |
||||
|
Salaries |
125 |
1,500 |
||||
|
renting |
100 |
1,200 |
||||
|
Depreciation (Assets write off) Expenses |
12 |
139 |
||||
|
Sub-total |
259 |
3,109 |
||||
|
Total Operating costs |
909 |
10,909 |
||||
Production costs assumed are for 312 days per year with a daily capacity of 30 Customers.
Depreciation is charged on electrical equipment and furniture and assumes 2 years life of assets write off at 25% per year for all assets.
Direct costs include: materials, supplies and other costs that directly go into production of the product.
Product Cost and Price Structure In US$
|
Item |
Qty/ day |
Qty/ yr |
Unit Cost |
Prod. Cost /year |
Unit price |
Total revenue |
|
Hair cuts |
30 |
9,360 |
1.2 |
10,909 |
2.5 |
27,273 |
|
|
|
|
|
10,909 |
|
27,273 |
Profitability Analysis In US$
|
Profitability item |
per day |
per month |
per year |
|
Revenue |
|||
|
Hair cuts |
87 |
2,273 |
27,273 |
|
Less Prod & Operating Costs |
35 |
909 |
10,909 |
|
Profit |
52 |
1,364 |
16,364 |
Process Description
This business idea is aimed at setting up a Barber’s shop. The idea is premised on making different hair styles and haircuts for both males and females. The business has a good market demand due to the changing fashion of hair trends among youths. The revenue potential is estimated at US$ 2,273 per month which translates into US$ 27,273 per year. The project cost is US$ 11,582.
Process Description
Depending on the customer’s desired style or service being sought for.
Market Analysis
The business has a great market demand in both rural and urban areas throughout the year and a higher demand during festive seasons.
Capital Investment Requirements in US Dollars
|
Item Unit |
Qty |
Unit Cost |
Total |
|
|
Water heater |
No. |
1 |
25 |
25 |
|
Towels |
No. |
10 |
1.3 |
13 |
|
Sink |
No. |
1 |
10 |
10 |
|
Aprons |
No. |
10 |
1.8 |
18 |
|
Smoother |
No. |
1 |
8 |
8 |
|
Furniture |
No. |
300 |
||
|
Shavers |
No. |
5 |
25 |
125 |
|
Fan |
No. |
2 |
50 |
100 |
|
Wall Styling mirrors |
No. |
3 |
18 |
53 |
|
Combs |
Sets |
3 |
8 |
23 |
|
Total cost of Machinery |
|
|
673 |
|
Production and Operating Costs In US$
Direct Materials, Supplies and Costs
|
Unit Cost/ Qty/d |
Prod. cost/ day |
Prod. Cost/ month
|
Prod. Cost/ year |
|||
|
|
|
Cost Item day |
Units/ day |
|
||
|
After shave |
Tins |
7.5 |
1 |
8 |
195 |
2,340 |
|
disinfectants |
Tins |
3 |
1 |
3 |
78 |
936 |
|
Spray |
Tins |
13 |
1 |
13 |
325 |
3,900 |
|
Powder |
Tins |
2 |
1 |
2 |
52 |
624 |
|
Sub-total |
|
650 |
7,800 |
|||
|
General costs (Overheads) |
||||||
|
Utilities (power) |
15 |
180 |
||||
|
(Utilities (water) |
8 |
90 |
||||
|
Salaries |
125 |
1,500 |
||||
|
renting |
100 |
1,200 |
||||
|
Depreciation (Assets write off) Expenses |
12 |
139 |
||||
|
Sub-total |
259 |
3,109 |
||||
|
Total Operating costs |
909 |
10,909 |
||||
Production costs assumed are for 312 days per year with a daily capacity of 30 Customers. Depreciation is charged on electrical equipment and furniture and assumes 2 years life of assets write off at 25% per year for all assets.
Direct costs include: materials, supplies and other costs that directly go into production of the product.
Product Cost and Price Structure In US$
|
Item |
Qty/ day |
Qty/ yr |
Unit Cost |
Prod. Cost /year |
Unit price |
Total revenue |
|
Hair cuts |
30 |
9,360 |
1.2 |
10,909 |
2.5 |
27,273 |
|
|
|
|
|
10,909 |
|
27,273 |
Profitability Analysis In US$
|
Profitability item |
per day |
per month |
per year |
|
Revenue |
|||
|
Hair cuts |
87 |
2,273 |
27,273 |
|
Less Prod & Operating Costs |
35 |
909 |
10,909 |
|
Profit |
52 |
1,364 |
16,364 |
Depending on the customer’s desired style or service being sought for.
Market Analysis
The business has a great market demand in both rural and urban areas throughout the year and a higher demand during festive seasons.
Capital Investment Requirements in US Dollars
|
|
|
|
|||||
|
Item Unit |
No. |
Qty |
Unit Cost |
Total |
|
|||
|
Water heater |
No. |
1 |
25 |
25 |
|
|||
|
Towels |
No. |
10 |
1.3 |
13 |
|
|||
|
Sink |
No. |
1 |
10 |
10 |
|
|||
|
Aprons |
No. |
10 |
1.8 |
18 |
|
|||
|
Smoother |
No. |
1 |
8 |
8 |
|
|||
|
Furniture |
No. |
300 |
|
|||||
|
Shavers |
No. |
5 |
25 |
125 |
|
|||
|
Fan |
No. |
2 |
50 |
100 |
|
|||
|
Wall Styling mirrors |
No. |
3 |
18 |
53 |
|
|||
|
Combs |
Sets |
3 |
8 |
23 |
|
|||
|
Total cost of Machinery |
|
673 |
|
|||||
Production and Operating Costs In US$
Direct Materials, Supplies and Costs
|
Unit Cost/ Qty/d Cost Item Units day ay |
Prod. cost/ day |
Prod. Cost/ month |
Prod. Cost/ year |
|||
|
After shave |
Tins |
7.5 |
1 |
8 |
195 |
2,340 |
|
disinfectants |
Tins |
3 |
1 |
3 |
78 |
936 |
|
Spray |
Tins |
13 |
1 |
13 |
325 |
3,900 |
|
Powder |
Tins |
2 |
1 |
2 |
52 |
624 |
|
Sub-total |
|
|
650 |
7,800 |
||
|
General costs (Overheads) |
|
|||||
|
Utilities (power) |
|
15 |
180 |
|||
|
(Utilities (water) |
|
8 |
90 |
|||
|
Salaries |
|
125 |
1,500 |
|||
|
renting |
|
100 |
1,200 |
|||
|
Depreciation (Assets write off) Expenses |
|
12 |
139 |
|||
|
Sub-total |
|
259 |
3,109 |
|||
|
Total Operating costs |
|
909 |
10,909 |
|||
Production costs assumed are for 312 days per year with a daily capacity of 30 Customers.
Depreciation is charged on electrical equipment and furniture and assumes 2 years life of assets write off at 25% per year for all assets.
Direct costs include: materials, supplies and other costs that directly go into production of the product.
Product Cost and Price Structure In US$
|
Item |
Qty/ day |
Qty/ yr |
Unit Cost |
Prod. Cost /year |
Unit price |
Total revenue |
|
Hair cuts |
30 |
9,360 |
1.2 |
10,909 |
2.5 |
27,273 |
|
|
|
|
|
10,909 |
|
27,273 |
Profitability Analysis In US$
|
Profitability item |
per day |
per month |
per year |
|
Revenue |
|
|
|
|
Hair cuts |
87 |
2,273 |
27,273 |
|
Less Prod & Operating Costs |
35 |
909 |
10,909 |
|
Profit |
52 |
1,364 |
16,364 |
d at setting up a Barber’s shop. The idea is premised on making different hair styles
This business idea is aimed at setting up a Barber’s shop. The idea is premised on making different hair styles and haircuts for both males and females. The business has a good market demand due to the changing fashion of hair trends among youths. The revenue potential is estimated at US$ 2,273 per month which translates into US$ 27,273 per year. The project cost is US$ 11,582.
Process Description
Depending on the customer’s desired style or service being sought for.
Market Analysis
The business has a great market demand in both rural and urban areas throughout the year and a higher demand during festive seasons.
Capital Investment Requirements in US Dollars
|
Item Unit |
Qty |
Unit Cost |
Total |
|
|
Water heater |
No. |
1 |
25 |
25 |
|
Towels |
No. |
10 |
1.3 |
13 |
|
Sink |
No. |
1 |
10 |
10 |
|
Aprons |
No. |
10 |
1.8 |
18 |
|
Smoother |
No. |
1 |
8 |
8 |
|
Furniture |
No. |
300 |
||
|
Shavers |
No. |
5 |
25 |
125 |
|
Fan |
No. |
2 |
50 |
100 |
|
Wall Styling mirrors |
No. |
3 |
18 |
53 |
|
Combs |
Sets |
3 |
8 |
23 |
|
Total cost of Machinery |
|
|
673 |
|
Production and Operating Costs In US$
Direct Materials, Supplies and Costs
|
Item |
Prod. cost/ day |
Prod. Cost/ month
|
Prod. Cost/ year
|
|||
|
|
Cost Item day |
Units/ day |
||||
|
After shave |
Tins |
7.5 |
1 |
8 |
195 |
2,340 |
|
disinfectants |
Tins |
3 |
1 |
3 |
78 |
936 |
|
Spray |
Tins |
13 |
1 |
13 |
325 |
3,900 |
|
Powder |
Tins |
2 |
1 |
2 |
52 |
624 |
|
Sub-total |
|
650 |
7,800 |
|||
|
General costs (Overheads) |
||||||
|
Utilities (power) |
15 |
180 |
||||
|
(Utilities (water) |
8 |
90 |
||||
|
Salaries |
125 |
1,500 |
||||
|
renting |
100 |
1,200 |
||||
|
Depreciation (Assets write off) Expenses |
12 |
139 |
||||
|
Sub-total |
259 |
3,109 |
||||
|
Total Operating costs |
909 |
10,909 |
||||
Production costs assumed are for 312 days per year with a daily capacity of 30 Customers.
Depreciation is charged on electrical equipment and furniture and assumes 2 years life of assets write off at 25% per year for all assets.
Direct costs include: materials, supplies and other costs that directly go into production of the product.
Product Cost and Price Structure In US$
|
Item |
Qty/ day |
Qty/ yr |
Unit Cost |
Prod. Cost /year |
Unit price |
Total revenue |
|
Hair cuts |
30 |
9,360 |
1.2 |
10,909 |
2.5 |
27,273 |
|
|
|
|
|
10,909 |
|
27,273 |
Profitability Analysis In US$
|
Profitability item |
per day |
per month |
per year |
|
Revenue |
|||
|
Hair cuts |
87 |
2,273 |
27,273 |
|
Less Prod & Operating Costs |
35 |
909 |
10,909 |
|
Profit |
52 |
1,364 |
16,364 |
Process Description
This business idea is aimed at setting up a Barber’s shop. The idea is premised on making different hair styles and haircuts for both males and females. The business has a good market demand due to the changing fashion of hair trends among youths. The revenue potential is estimated at US$ 2,273 per month which translates into US$ 27,273 per year. The project cost is US$ 11,582.
Process Description
Depending on the customer’s desired style or service being sought for.
Market Analysis
The business has a great market demand in both rural and urban areas throughout the year and a higher demand during festive seasons.
Capital Investment Requirements in US Dollars
|
Item Unit |
Qty |
Unit Cost |
Total |
|
|
Water heater |
No. |
1 |
25 |
25 |
|
Towels |
No. |
10 |
1.3 |
13 |
|
Sink |
No. |
1 |
10 |
10 |
|
Aprons |
No. |
10 |
1.8 |
18 |
|
Smoother |
No. |
1 |
8 |
8 |
|
Furniture |
No. |
300 |
||
|
Shavers |
No. |
5 |
25 |
125 |
|
Fan |
No. |
2 |
50 |
100 |
|
Wall Styling mirrors |
No. |
3 |
18 |
53 |
|
Combs |
Sets |
3 |
8 |
23 |
|
Total cost of Machinery |
|
|
673 |
|
Production and Operating Costs In US$
Direct Materials, Supplies and Costs
|
Unit Cost/ Qty/d |
Prod. cost/ day |
Prod. Cost/ month
|
Prod. Cost/ year |
|||
|
|
|
Cost Item day |
Units/ day |
|
||
|
After shave |
Tins |
7.5 |
1 |
8 |
195 |
2,340 |
|
disinfectants |
Tins |
3 |
1 |
3 |
78 |
936 |
|
Spray |
Tins |
13 |
1 |
13 |
325 |
3,900 |
|
Powder |
Tins |
2 |
1 |
2 |
52 |
624 |
|
Sub-total |
|
650 |
7,800 |
|||
|
General costs (Overheads) |
||||||
|
Utilities (power) |
15 |
180 |
||||
|
(Utilities (water) |
8 |
90 |
||||
|
Salaries |
125 |
1,500 |
||||
|
renting |
100 |
1,200 |
||||
|
Depreciation (Assets write off) Expenses |
12 |
139 |
||||
|
Sub-total |
259 |
3,109 |
||||
|
Total Operating costs |
909 |
10,909 |
||||
Production costs assumed are for 312 days per year with a daily capacity of 30 Customers. Depreciation is charged on electrical equipment and furniture and assumes 2 years life of assets write off at 25% per year for all assets.
Direct costs include: materials, supplies and other costs that directly go into production of the product.
Product Cost and Price Structure In US$
|
Item |
Qty/ day |
Qty/ yr |
Unit Cost |
Prod. Cost /year |
Unit price |
Total revenue |
|
Hair cuts |
30 |
9,360 |
1.2 |
10,909 |
2.5 |
27,273 |
|
|
|
|
|
10,909 |
|
27,273 |
Profitability Analysis In US$
|
Profitability item |
per day |
per month |
per year |
|
Revenue |
|||
|
Hair cuts |
87 |
2,273 |
27,273 |
|
Less Prod & Operating Costs |
35 |
909 |
10,909 |
|
Profit |
52 |
1,364 |
16,364 |
Depending on the customer’s desired style or service being sought for.
Market Analysis
The business has a great market demand in both rural and urban areas throughout the year and a higher demand during festive seasons.
Capital Investment Requirements in US Dollars
|
|
|
|
|||||
|
Item Unit |
No. |
Qty |
Unit Cost |
Total |
|
|||
|
Water heater |
No. |
1 |
25 |
25 |
|
|||
|
Towels |
No. |
10 |
1.3 |
13 |
|
|||
|
Sink |
No. |
1 |
10 |
10 |
|
|||
|
Aprons |
No. |
10 |
1.8 |
18 |
|
|||
|
Smoother |
No. |
1 |
8 |
8 |
|
|||
|
Furniture |
No. |
300 |
|
|||||
|
Shavers |
No. |
5 |
25 |
125 |
|
|||
|
Fan |
No. |
2 |
50 |
100 |
|
|||
|
Wall Styling mirrors |
No. |
3 |
18 |
53 |
|
|||
|
Combs |
Sets |
3 |
8 |
23 |
|
|||
|
Total cost of Machinery |
|
673 |
|
|||||
Production and Operating Costs In US$
Direct Materials, Supplies and Costs
|
Unit Cost/ Qty/d Cost Item Units day ay |
Prod. cost/ day |
Prod. Cost/ month |
Prod. Cost/ year |
|||
|
After shave |
Tins |
7.5 |
1 |
8 |
195 |
2,340 |
|
disinfectants |
Tins |
3 |
1 |
3 |
78 |
936 |
|
Spray |
Tins |
13 |
1 |
13 |
325 |
3,900 |
|
Powder |
Tins |
2 |
1 |
2 |
52 |
624 |
|
Sub-total |
|
|
650 |
7,800 |
||
|
General costs (Overheads) |
|
|||||
|
Utilities (power) |
|
15 |
180 |
|||
|
(Utilities (water) |
|
8 |
90 |
|||
|
Salaries |
|
125 |
1,500 |
|||
|
renting |
|
100 |
1,200 |
|||
|
Depreciation (Assets write off) Expenses |
|
12 |
139 |
|||
|
Sub-total |
|
259 |
3,109 |
|||
|
Total Operating costs |
|
909 |
10,909 |
|||
Production costs assumed are for 312 days per year with a daily capacity of 30 Customers.
Depreciation is charged on electrical equipment and furniture and assumes 2 years life of assets write off at 25% per year for all assets.
Direct costs include: materials, supplies and other costs that directly go into production of the product.
Product Cost and Price Structure In US$
|
Item |
Qty/ day |
Qty/ yr |
Unit Cost |
Prod. Cost /year |
Unit price |
Total revenue |
|
Hair cuts |
30 |
9,360 |
1.2 |
10,909 |
2.5 |
27,273 |
|
|
|
|
|
10,909 |
|
27,273 |
Profitability Analysis In US$
|
Profitability item |
per day |
per month |
per year |
|
Revenue |
|
|
|
|
Hair cuts |
87 |
2,273 |
27,273 |
|
Less Prod & Operating Costs |
35 |
909 |
10,909 |
|
Profit |
52 |
1,364 |
16,364 |
and haircuts for both males and females. The business has a good market demand due to the changing fashion of hair trends among youths. The revenue potential is estimated at US$ 2,273 per month which translates into US$ 27,273 per year. The project cost is US$ 11,582.
Process Description
Depending on the customer’s desired style or service being sought for.
Market Analysis
The business has a great market demand in both rural and urban areas throughout the year and a higher demand during festive seasons.
Capital Investment Requirements in US Dollars
|
Item Unit |
Qty |
Unit Cost |
Total |
|
|
Water heater |
No. |
1 |
25 |
25 |
|
Towels |
No. |
10 |
1.3 |
13 |
|
Sink |
No. |
1 |
10 |
10 |
|
Aprons |
No. |
10 |
1.8 |
18 |
|
Smoother |
No. |
1 |
8 |
8 |
|
Furniture |
No. |
300 |
||
|
Shavers |
No. |
5 |
25 |
125 |
|
Fan |
No. |
2 |
50 |
100 |
|
Wall Styling mirrors |
No. |
3 |
18 |
53 |
|
Combs |
Sets |
3 |
8 |
23 |
|
Total cost of Machinery |
|
|
673 |
|
Production and Operating Costs In US$
Direct Materials, Supplies and Costs
|
Unit Cost/ Qty/d |
Prod. cost/ day |
Prod. Cost/ month
|
Prod. Cost/ year |
|||
|
|
|
Cost Item day |
Units/ day |
|
||
|
After shave |
Tins |
7.5 |
1 |
8 |
195 |
2,340 |
|
disinfectants |
Tins |
3 |
1 |
3 |
78 |
936 |
|
Spray |
Tins |
13 |
1 |
13 |
325 |
3,900 |
|
Powder |
Tins |
2 |
1 |
2 |
52 |
624 |
|
Sub-total |
|
650 |
7,800 |
|||
|
General costs (Overheads) |
||||||
|
Utilities (power) |
15 |
180 |
||||
|
(Utilities (water) |
8 |
90 |
||||
|
Salaries |
125 |
1,500 |
||||
|
renting |
100 |
1,200 |
||||
|
Depreciation (Assets write off) Expenses |
12 |
139 |
||||
|
Sub-total |
259 |
3,109 |
||||
|
Total Operating costs |
909 |
10,909 |
||||
Production costs assumed are for 312 days per year with a daily capacity of 30 Customers.
Depreciation is charged on electrical equipment and furniture and assumes 2 years life of assets write off at 25% per year for all assets.
Direct costs include: materials, supplies and other costs that directly go into production of the product.
Product Cost and Price Structure In US$
|
Item |
Qty/ day |
Qty/ yr |
Unit Cost |
Prod. Cost /year |
Unit price |
Total revenue |
|
Hair cuts |
30 |
9,360 |
1.2 |
10,909 |
2.5 |
27,273 |
|
|
|
|
|
10,909 |
|
27,273 |
Profitability Analysis In US$
|
Profitability item |
per day |
per month |
per year |
|
Revenue |
|||
|
Hair cuts |
87 |
2,273 |
27,273 |
|
Less Prod & Operating Costs |
35 |
909 |
10,909 |
|
Profit |
52 |
1,364 |
16,364 |
Process Description
This business idea is aimed at setting up a Barber’s shop. The idea is premised on making different hair styles and haircuts for both males and females. The business has a good market demand due to the changing fashion of hair trends among youths. The revenue potential is estimated at US$ 2,273 per month which translates into US$ 27,273 per year. The project cost is US$ 11,582.
Process Description
Depending on the customer’s desired style or service being sought for.
Market Analysis
The business has a great market demand in both rural and urban areas throughout the year and a higher demand during festive seasons.
Capital Investment Requirements in US Dollars
|
Item Unit |
Qty |
Unit Cost |
Total |
|
|
Water heater |
No. |
1 |
25 |
25 |
|
Towels |
No. |
10 |
1.3 |
13 |
|
Sink |
No. |
1 |
10 |
10 |
|
Aprons |
No. |
10 |
1.8 |
18 |
|
Smoother |
No. |
1 |
8 |
8 |
|
Furniture |
No. |
300 |
||
|
Shavers |
No. |
5 |
25 |
125 |
|
Fan |
No. |
2 |
50 |
100 |
|
Wall Styling mirrors |
No. |
3 |
18 |
53 |
|
Combs |
Sets |
3 |
8 |
23 |
|
Total cost of Machinery |
|
|
673 |
|
Production and Operating Costs In US$
Direct Materials, Supplies and Costs
|
Unit Cost/ Qty/d |
Prod. cost/ day |
Prod. Cost/ month
|
Prod. Cost/ year |
|||
|
|
|
Cost Item day |
Units/ day |
|
||
|
After shave |
Tins |
7.5 |
1 |
8 |
195 |
2,340 |
|
disinfectants |
Tins |
3 |
1 |
3 |
78 |
936 |
|
Spray |
Tins |
13 |
1 |
13 |
325 |
3,900 |
|
Powder |
Tins |
2 |
1 |
2 |
52 |
624 |
|
Sub-total |
|
650 |
7,800 |
|||
|
General costs (Overheads) |
||||||
|
Utilities (power) |
15 |
180 |
||||
|
(Utilities (water) |
8 |
90 |
||||
|
Salaries |
125 |
1,500 |
||||
|
renting |
100 |
1,200 |
||||
|
Depreciation (Assets write off) Expenses |
12 |
139 |
||||
|
Sub-total |
259 |
3,109 |
||||
|
Total Operating costs |
909 |
10,909 |
||||
Production costs assumed are for 312 days per year with a daily capacity of 30 Customers.
Depreciation is charged on electrical equipment and furniture and assumes 2 years life of assets write off at 25% per year for all assets.
Direct costs include: materials, supplies and other costs that directly go into production of the product.
Product Cost and Price Structure In US$
|
Item |
Qty/ day |
Qty/ yr |
Unit Cost |
Prod. Cost /year |
Unit price |
Total revenue |
|
Hair cuts |
30 |
9,360 |
1.2 |
10,909 |
2.5 |
27,273 |
|
|
|
|
|
10,909 |
|
27,273 |
Profitability Analysis In US$
|
Profitability item |
per day |
per month |
per year |
|
Revenue |
|||
|
Hair cuts |
87 |
2,273 |
27,273 |
|
Less Prod & Operating Costs |
35 |
909 |
10,909 |
|
Profit |
52 |
1,364 |
16,364 |
Depending on the customer’s desired style or service being sought for.
Market Analysis
The business has a great market demand in both rural and urban areas throughout the year and a higher demand during festive seasons.
Capital Investment Requirements in US Dollars
|
Item Unit |
Qty |
Unit Cost |
Total |
|
|
Water heater |
No. |
1 |
25 |
25 |
|
Towels |
No. |
10 |
1.3 |
13 |
|
Sink |
No. |
1 |
10 |
10 |
|
Aprons |
No. |
10 |
1.8 |
18 |
|
Smoother |
No. |
1 |
8 |
8 |
|
Furniture |
No. |
|
|
300 |
|
Shavers |
No. |
5 |
25 |
125 |
|
Fan |
No. |
2 |
50 |
100 |
|
Wall Styling mirrors |
No. |
3 |
18 |
53 |
|
Combs |
Sets |
3 |
8 |
23 |
|
Total cost of Machinery |
|
|
673 |
|
Production and Operating Costs In US$
Direct Materials, Supplies and Costs
|
Unit Cost/ Qty/d Cost Item Units day ay |
Prod. cost/ day |
Prod. Cost/ mont h |
Prod. Cost/ year |
|||
|
After shave |
Tins |
7.5 |
1 |
8 |
195 |
2,340 |
|
disinfectants |
Tins |
3 |
1 |
3 |
78 |
936 |
|
Spray |
Tins |
13 |
1 |
13 |
325 |
3,900 |
|
Powder |
Tins |
2 |
1 |
2 |
52 |
624 |
|
Sub-total |
|
|
650 |
7,800 |
||
|
General costs (Overheads) |
|
|
|
|||
|
Utilities (power) |
|
15 |
180 |
|||
|
(Utilities (water) |
|
8 |
90 |
|||
|
Salaries |
|
125 |
1,500 |
|||
|
renting |
|
100 |
1,200 |
|||
|
Depreciation (Assets write off) Expenses |
|
12 |
139 |
|||
|
Sub-total |
|
259 |
3,109 |
|||
|
Total Operating costs |
|
909 |
10,909 |
|||
Production costs assumed are for 312 days per year with a daily capacity of 30 Customers.
Depreciation is charged on electrical equipment and furniture and assumes 2 years life of assets write off at 25% per year for all assets.
Direct costs include: materials, supplies and other costs that directly go into production of the product.
Product Cost and Price Structure In US$
|
Item |
Qty/ day |
Qty/ yr |
Unit Cost |
Prod. Cost /year |
Unit price |
Total revenue |
|
Hair cuts |
30 |
9,360 |
1.2 |
10,909 |
2.5 |
27,273 |
|
|
|
|
|
10,909 |
|
27,273 |
Profitability Analysis In US$
|
Profitability item |
per day |
per month |
per year |
|
Revenue |
|
|
|
|
Hair cuts |
87 |
2,273 |
27,273 |
|
Less Prod & Operating Costs |
35 |
909 |
10,909 |
|
Profit |
52 |
1,364 |
16,364 |
Source of Supply of Equipment and Rawmaterials
All these equipments and Rawmaterials can be purchased from the local market.
Government Incentive
The Government is encouraging the setting up of Small Scale businesses through empowerment in form of Grants.