MAKING SISAL DOOR MATS

• Manufacturing
• Cotton and Textiles

Introduction
This business idea is for production and marketing of sisal door mats. Carpets are popular both in private homes and offices. Made out of sisal, sisal door mats are widely used among all sections of the society. Thus sisal door mat making is a good investment that can easily be taken up by women. The production capacity is estimated at 150 sisal door mats per day with the total revenue of US$ 300 per year.

Production Process
Sisal door mats making involves collecting sisal, drying it in proffered colours and finally weaving the sisal into different kinds of sisal door mats. They can be made with threads, which are dried and sewed with a needle.

Market Analysis
The market is available throughout the year. Sisal door mats can be sold in different places like hotels, households, workplaces, Curio shops, Churches and Halls. These are mainly produced by vulnerable groups in Uganda.

Capital Investment Requirements (US$)

Capital investment item	Units	Qty	Unit cost	Amount
Sisal door mat weaving handloom	No.	1	1,000	1,000
Sewing needle	No.	5	50	250
Knives	No.	6	0.8	5
Basins	No.	4	2	6
Total Cost of machinery				1,261

 

Production and Operating Costs (US$)

Cost Item	Units	Unit cost/ day	Qty/ day	Prod cost/ day	Prod cost/ month	Prod cost/ year
Sisal	bundles	2	500	1,000	26,000	312,000
Colours	Kg	1	20	20	520	6,240
Sub-totals	1,020	26,520	318,240
General costs(overheads)
Utilities(water and power)	175	2100
Labour	781	9375
Rent	100	1200
Miscellaneous costs	250	3,000
Distribution costs	260	3,120
Depreciation (Asset write off)Expenses)	26	315
Sub -total	1,593	19110
Total Operating Costs	28,113	337,350

Production costs assumed are for 312 days per year with a daily capacity of 150 sisal door mats.
Depreciation (fixed assets write off) assumes 4 years life of assets written off at 25% per year for all assets.
Direct costs include: materials, supplies and other costs that directly go into production of the product.
Project product Costs and Price Structure (US$)

Item	Qty /day	Qty/ yr	Unit Cost	Prod cost /yr	Unit Price	Total revenue
Sisal door mats	150	46,8 00	7.21	337, 350	7.5	351,000

 

Profitability Analysis (US$)

Profitability Item	Per day	Per month	Per Year
Revenue	1,125	29,250	351,000
Less production and operating Costs	1,081	28,113	337,350
Profit	44	1,137	13,650