1. How to start an Industry

2. Decision to be Self Employed
Decide to go in to Business
Analyze Strengths and Weakness
Training

3. Selection of the Product & Process Technologies
Making a Product Choice
-Organisations/Institutions which help Entrepreneurs
about product Choice :-
District Industries Centre,
Technical Consultancy Organisations
MSME Development Institutes – (MSME DI)
Khadi & Village Industries Commission

4. Opportunities in the Small Scale Sector are enormous due to following Factors
Less Capital intensive
Extensive Promotion & Support by Government
Funding- Finance & Subsidies
Machinery Procurement
Raw Material Sourcing
Man power Training
Technical & Managerial Skills
Tooling & Technical Support

5. Opportunities in the Small Scale Sector are enormous due to following Factors
Preference for Exclusive Purchase
by Government
Export Promotion
Growth in requirements for Ancillary
Units
Process Selection
- Indigenously developed
- Imported

6. Location of the Enterprise
Nearer to market & Nearness to Raw materials
Infrastructural availability
Cost of Transport
- Raw Materials
- Dispatching finished goods
Industrial Estate
Availability of Skilled personnel & Wage rates
Climatic conditions & Environmental Factors
Incentives/Concessions available
-Choosing the location of industry
- Setting up infrastructure

7. Choosing a Form of Business Organisation
Sole Proprietorship
Partnership
Private Limited Company
Public Limited Company
Co-Operatives
Joint Hindu Family Business

8. Preparation of Project Report
Introduction
Cost of Project
Means of Finance
Technical Feasibility
Economic Viability
Financial Implications
Managerial Competence

9. Preparation of Project Report
Cost of Working
Marketing and Sales
Profitability
Break Even Point and Key Ratios

10. Statutory Requirements
Registration
Statutory Licenses
Clearances

11. Arrangement of Finance
The Financial Objectives of the Company
Nature and Size of Business
The image & Credit worthiness of the Enterprise
Growth and Expansion Plans
Capital Market Trends
Government Regulations
Fixed Capital
Working Capital

12. Land and Building Land on Lease Own Land Building on Lease
Own Building

13. Procurement of Machinery
Indigenous Machinery
Imported Machinery
Own Machinery
Machinery on Lease

14. Recruitment of Personnel
Un skilled Man power
Skilled Man Power
Contract Labour
Technical Personnel
Managerial Personnel

15. Installation of Machinery

16. Power Connection/Water Supply
Power Connection – HT/ LT
Water Supply-
Potable water
Industrial water

17. Procurement of Raw Materials
Indigenous Raw Materials
Imported Raw Materials

18. Commencement of Production
Trial Production
Commercial Production
Production Capacity
Number of Shifts

19. Marketing/Sales Domestic Market Export Market Direct Marketing
Marketing through Distribution Channel
Market Segmentation

20. Repayment of Loans Repayment of Interest Repayment of Principle
Gestation period

21. Profit Generation
Profitability of Operations
Appropriation of Profits

22. Avoiding Sickness Analyzing Causes of Sickness
- Obsolescence of Technology
- Product of Out of Trend
- Financial Mismanagement
- Wrong H.R. Policies
- Government Policies, Rules and Regulations
- Lack of Innovation
- Misunderstanding amongst founders and
Management

23. Modernization & Technology Up gradation
Innovation
Creativity
Up gradation
Observing Industry Trend

24. Thank you For More details contact Dr. R. Arangannal,
3/100 Bank Colony, 2nd Street,
Narayanapuram,
Madurai
E Mail :
Mobile :