PROJECT REPORT
ON
GENERAL STORE
SHREE RAM GENERAL STORE
1
1. Introduction
General Store shops are very common and are required in every locality. These shops store items such
as pulses, flour, rice, ghee, oils, soaps and detergents, toiletries and various other items of daily use.
The proposed project is to set up a shop for sale of grocery items at intermediate wholesale rates to
small retailers as well as retail sale of commodities to direct users of the locality. The shop will buy the
items from dealers/ distributors at wholesale rates and sell at intermediate rates.
2. Market potential
People of all sections of the society require grocery items. The marketing/ sales avenue may be
enhanced by locating the shop in such a place where concentration of inhabitants are more and/ or in a
market place where the people usually go to procure their daily needs. A common man and small
retailers cannot afford to buy these items of daily use in bulk from wholesale market where it is
available at comparatively cheaper rates. On the other hand, these items are easily available
through retail grocery shops in required quantities everywhere and in close proximity.
With all round development of cities and towns and increase in population, there appears to be a
good scope for general merchandise stores in rural as well as urban areas of the country.
3. Technical details
(a) Shop activities
The activity involves arranging the shop to enable optimum use of the space available, sufficient
illumination and placement of the items easily accessible for the workers/ salesmen at the time of need.
The weighing machine etc. should be conveniently placed for frequent use. A rate list should be hung in
front of the shop so that the same is easily readable by the customers. The shop should be kept open during
normal working hours and the closing day should be clearly written at a place, which can be seen by the
visitors. The salesman and the helpers will deliver the duly weighed materials to the customers against pre-
paid slips to be prepared by the accountant/ manager at the counter. The packaging should be proper so
thatthe buyers do not find any difficulty in carrying the articles. Regular stock taking and accounting of cash
will provide a clear picture about the trend in the business.
2
PROJECT AT A GLANCE
1 Name of the Unit Shree Ram General Store
2 Line of Activity General Stores
3 Products All General Store Items
4 New/Expansion/Modernization New
5 Constitution Proprietorship
6 Name of the Proprietor Mishika Kaushik
7 Registered Address 132, Gali No. 05,
Dayanand Nagar. Shamli
UP - 247776
8 Site Location 132, Gali No. 05,
Dayanand Nagar. Shamli
UP - 247776
9 Cost of the Project 2,50,000.00
10 Feciliites Required Term Loan
11 Promoters Contribution 25,000.00
12 Loan From Bank 2,25,000.00
13 Shop Self
14 Electricity Self 1500.00
15 Aadhar No. 8334-0452-6220
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Technical details
(a) Project Report – as per under detail
(b) Sales target
Sales target (per annum) (Rupees)
Sale of rice, pulses, wheat, flour, ghee, oils, soaps and 8,92,000.00
detergents, toiletries, dry fruit and other miscellaneous
items.
(c) Utilities
Power 1KW
Water 75 liter pm
2. Details of equipment
S. No. Items Qty. (Nos.) Rate (Rs.) Value (Rs.)
1. Weighing Scale – 5 kg 2 sets 500.00 1000.00
cap with weights
2. Counters, racks, etc. 4000.00
TOTAL 5000.00
3. Cost of project
S. No. Items Total cost (in Rs.)
1. Building/Shop Own
2. Misc. fixed assets 80,000.00
3. Preliminary & pre-operative expenses 25,000.00
4. Contingencies including cost escalation 25,000.00
5. Working capital 120,000.00
TOTAL 2,50,000.00
4. Means of finance
S. No. Items Total cost (in Rs.) %age
1. Promoter's contribution 25000.00 10.00
2. Term Loan 2,25,000.00 90.00
TOTAL 2,50,000.00 100.00
5. Utilities
S. No. Items Total (in Rs.)
1. Power (1KW) 8,400.00
2. Water 1,600.00
TOTAL 10,000.00
6. Raw material requirement
Different grocery items having value of Rs.50,000 is considered for running economical unit.
7. Manpower requirement
S. No. Category No. Salary/Person/ Total
Month (Rs.) (Rs./Month)
1. Manager-cum-Accountant 1 (self) 4,000.00 4,000.00
2. Salesman 1 3,500.00 3,500.00
3. Helper 1 2,500.00 2,500.00
TOTAL 10,000.00
8. Working capital requirement
S. No. Items Period (Month) Amount
(Rs./Month)
1. Assorted grocery items as named earlier 1 50,000.00
2. Receivables/ debtors 1 35,000.00
3. Other current assets 1 35,000.00
TOTAL 1,20,000.00
9. Project economics (Annual)
S. No. Items Amount (in Rs.)
A. Sales realization 8,92,000.00
(130% of raw material purchase)
B. Cost of Operation
(i) Assorted type and quantity of grocery 6,00,000.00
(ii) Utilities 10,000.00
(iii) Salaries & Wages 1,20,000.00
(iv) Shop Exp. 24,000.00
(v) Transportation/freight 18,000.00
(vi) Conveyance & traveling 4,000.00
(vii) Selling expenses 5,000.00
(viii) Interest 6,000.00
TOTAL 7,87,000.00
C. Cash profit (A-C) 1,05,000.00
D. Depreciation 1,500.00
E. Profit before tax 1,03,500.00
F. Taxes -
G. Profit after tax 1,03,500.00
(Mishika Kaushik)
