GARBAGE COLLECTION

 

BUSINESS IDEA FOR GARBAGE COLLECTION

Introduction 

This business idea is for the collection of Garbage from homesteads. This business idea is premised on Collection of Garbage from 4,500 homes. Each home or family pays US$ 10 per month which translates into US$ 120 per year. The revenue potential   is estimated at US $ 1,000 year. The project Cost is US $ 34,645.

Collection Process

Each home or family is given a polythene bag for collection of their day to day garbage. Garbage is collected on a specific agreed day and time in a week. It is then collected in a container to the collecting van that transports it to the dumping site. After dumping, garbage is left to dry before it’s either burnt to reduce its volume at the dumping site or converted into other useful materials such as bio-gas and composite manure. 

Market Analysis

Garbage collection has always been a problem around towns. Garbage collection can be done in Offices, ministries, schools, hotels, hospitals, institutions and homes. The demand is inexhaustible.
Capital Investment Requirements in US $

Item

 

Unit 

 

Qty 

 

Unit Cost 

 

Total  

Garbage Collection Vans

 No. 

    2 

8,750 

  17,500

Hand tools (Rakes, Spades)

 No. 

    5 

     10 

          50

Total Cost of Machinery

 

 

 

17,550

 

Production and operation costs in US$

Direct Materials, Supplies and Costs  

 

Unit     

 Item                                 

 

 

 

Units

 

Cost/unit

 

 Prod. cost/ week 

 

Prod. Cost/ month

 

Prod. Cost/ year 

Garbage Cans

 No. 

5 

20 

100 

400

4,800

Polythene bags 

 No. 

0.3 

250 

63 

250

3,000

Sub-total

 

 

650

7,800

General costs (Overheads)

 



Salaries

 

75

900

Fuel 

 

260

3,120

office rent

 

75

900

Depreciation (Assets write off) Expenses

 

365

4,375

Sub-total

 

775

9,295

Total Operating Costs

 

1,425

17,095

 Profitability Analysis In US $

Profitability item

 per month 

 per year 

Revenue

 

 

Collection fees

   30,000

360,000

Less Production & Operating Costs

 1,425

      17,095

Profit

28,575

 342,905