MAJOR ECONOMIC ACTIVITIES BUSINESS SERVICE INDUSTRY

BUSINESS In Business the product is procured, stored, displayed and sold to the customers directly. Benefits:- Easy to start Direct contact with customers Can decide investment No investment in Plant & Machinery No investment in Equipments Textile Shops, Grocery Shops, Stationery Stores, Medical Stores, Sanitary Wares Shops, etc

SERVICE In Service enterprise the requirement of the customer is made with the help of equipments. Benefits:- low risk, (low income) Direct contact with customers Low Investments No stock of raw materials Automobile Workshops, Service Stations, Tailoring Shops, Photostat, Photo studio, Colour labs etc

INDUSTRY In an Industry the raw materials are turned to the finished goods by changing its properties or by assembling with the help of Plant & Machinery installed. Benefits:- Can decide what to produce Indirect contact with customers Can distribute the product to the area needed Can change the product according to the need of customers

MANUFACTURING ENTERPRISES MSMED ACT 2006 ENTERPRISES SERVICE ENTERPRISES MANUFACTURING ENTERPRISES

CLASSIFIED ACCORDING TO INVESTMENT IN EQUIPMENTS SERVICE ENTERPRISES CLASSIFIED ACCORDING TO INVESTMENT IN EQUIPMENTS MICRO : UP TO 10 LAKHS SMALL : 10 LAKHS TO 2 CRORES MEDIUM : 2 CRORES TO 5 CRORES LARGE : ABOVE 5 CRORES

MANUFACTURING ENTERPRISES CLASSIFIED ACCORDING TO INVESTMENT IN PLANT & MACHINERY MICRO : UP TO 25 LAKHS SMALL : 25 LAKHS TO 5 CRORES MEDIUM : 5 CRORES TO 10 CRORES LARGE : ABOVE 10 CRORES

MANUFACTURING ENTERPRISES

MANUFACTURING ENTERPRISES

MANUFACTURING ENTERPRISES

Role of Entrepreneurs in Economic Development. Capital formation. Generation of employment. Improvement in per capita income. Reduces concentration of wealth. Balanced regional development. Resource mobilization. Improvement in standard of living. National self-reliance. Harnessing natural resources. Backward and forward linkages. Sense of purpose.

Stages of Entrepreneurial Process Conducting Opportunity Analysis. Developing the plan and setting up the company. Acquiring financial partners and sources of funding. Determining resources required and implementing the plan. Scaling and harvesting the venture.

HOW TO SETUP AN ENTERPRISE Sources of new ideas. - consumers. - Existing companies. - Distribution channels. - federal Government. - Research and development. Methods of generating ideas. - Focus Groups. - Brainstorming. - Problem inventory analysis.

HOW TO SETUP AN ENTERPRISE “Function of entrepreneurship is innovation” Innovation of new product. Innovation of new technology. Innovation of new process of production methods. Exploration of new markets. Searching for the new sources and supply. Innovation of industrial reconstruction method.

HOW TO SETUP AN ENTERPRISE ANALISE THE IDEA DETAILED MARKET SURVEY, INFRASTRUCTURE NEEDED, RAW MATERIALS, TECHNICAL KNOW-HOW , PLANT & MACHINERY, FUNDS, LABOUR, POWER FUTURE DEMANDS ETC.

HOW TO SETUP AN ENTERPRISE Panchayat / Municipal licence MSMED Part – I www.dic.kerala.gov.in Get a copy filed format and contact the concerned District Industries Centre for acknowledgement Panchayat / Municipal licence Power Connection Bank Loan NOCs from other agencies (KSPCB, F&B, Fire Force, DMO(H), Forest, Labour, BIS etc)

HOW TO SETUP AN ENTERPRISE Power Connection Agriculture Residential LOCAL BODY LICENCE Panchayat / Municipality Green Channel Counter Single Window Clearance Board Power Connection Agriculture Residential Industrial Commercial

HOW TO SETUP AN ENTERPRISE BANK LOAN Business Plan / Project Report Building plan, estimate Quotations for P & M, Equipments, Electrifications MSMED Part –I Collateral Security ID Proof etc.

The Business Plan The Business plan will take more than 200 to 300 hours to prepare, depending upon the experience and knowledge of the entrepreneur as well as the purpose it is intended to serve. The detail outline of the business plan is as follows: Introductory Page. - Name and address of the business. - Name and address of the entrepreneur. - Nature of the business. - statement of financing need. - statement of confidentiality of report.

The Business Plan Executive summary. - The summary should be at least four pages that summarizing the complete business plan. Industry analysis. - Future outlook and trends. - analysis of competitors. - Market segmentation. - Industry forecasts. Description of ventures. - product. - services. - size of business. - office equipment and personnel. - background of entrepreneurs.

The Business Plan Production plan. - Manufacturing process. - Physical plant. - Machinery and equipment. - Names of suppliers of raw materials. Marketing plan. - Pricing. - distribution. - promotion. - product forecast. Organizational Plan. - From of ownership. - Identification of partners or shareholders. - Authority of principals. - Management team background. - roles and responsibilities of members of organisation.

The Business Plan Assessment of risk - evaluate weakness of business. - New technologies. - contingency plans. Financial plans. - pro forma income statements. - cash flow projections. - pro forma balance sheet. - Break-even analysis. - sources and applications of funds. Appendix. - Letters. - Market research data. - Leases or contract. - Price lists from suppliers.

HOW TO SETUP AN ENTERPRISE MSMED Part - II After trial run, Commercial production is started. MSMED Part – II like Part –I www.dic.kerala.gov.in Apply for Eligible Subsidy / assistance etc.

email:- drajendrantvla@gmail.com THANK YOU THANK YOU Rajendran D., Joint Director, Dept of Inds & Commerce. email:- drajendrantvla@gmail.com gmdicksd@gmail.com PH:- 99613 63897