Bepaitment in puisuit of human excellence, SCSvHv 0niveisity Page 1

Venture Contest 2012

GRG School of Management Studies
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A2H BIOEERTILIZER
Team
Lokesh.K,
Jibin Kumar.R,
Chaitanya Kumar.M,
Murali Krishna.P,
Saravanan.S.
Department of Management Studies,
Sri Chandrasekharendra Saraswathi Viswa Maha vidyalaya University,
Enathur, Kanchipuram.
Bepaitment in puisuit of human excellence, SCSvHv 0niveisity Page 2
A2H BIOEERTILIZER
Team
Lokesh.K,
Jibin Kumar.R,
Chaitanya Kumar.M,
Murali Krishna.P,
Saravanan.S.
Department of Management Studies,
Sri Chandrasekharendra Saraswathi Viswa Maha vidyalaya University,
Enathur, Kanchipuram.
Bepaitment in puisuit of human excellence, SCSvHv 0niveisity Page 2
A2H BIOEERTILIZER
Team
Lokesh.K,
Jibin Kumar.R,
Chaitanya Kumar.M,
Murali Krishna.P,
Saravanan.S.
Department of Management Studies,
Sri Chandrasekharendra Saraswathi Viswa Maha vidyalaya University,
Enathur, Kanchipuram.
Bepaitment in puisuit of human excellence, SCSvHv 0niveisity Page S
Table of contents
1.Introduction ......................... 4
2.Production ......................... 5
2.1.Culturing oI Micro organisms
2.2.Processing oI carrier material
2.3.Preparation oI Inoculants packet
3.Marketing & Promotion...................... 6
3.1.Brand name
3.2.Caption
3.3.Segmentation
3.4.Targeting
3.5.Positioning
3.6.Pricing
3.7.Promotion
3.8.Distribution channels
4.Financial Projections ...................... 8
4.1.Income statement
4.2.Balance sheet
5.Exit strategies ........................ 9
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1.INTRODUCTION
One oI the major concerns in today's world is the pollution and contamination oI soil. The use oI
chemical Iertilizers and pesticides has caused tremendous harm to the environment. An answer to
this is the bioIertilizer, an environmentally Iriendly Iertilizer now used in most countries.
BioIertilizers are organisms that enrich the nutrient quality oI soil. The main sources oI
bioIertilizers are bacteria, Iungi, and cynobacteria (blue-green algae). The most striking
relationship that these have with plants is symbiosis, in which the partners derive beneIits Irom
each other.
Plants have a number oI relationships with Iungi, bacteria, and algae, the most common oI
which are with mycorrhiza, rhizobium, and cyanophyceae. These are known to deliver a number
oI beneIits including plant nutrition, disease resistance, and tolerance to adverse soil and climatic
conditions. These techniques have proved to be successIul bioIertilizers that Iorm a health
relationship with the roots.
These bioIertilizers accelerate certain microbial processes in the soil which augment the extent
oI availability oI nutrients in a Iorm easily assimilated by plants.Thus helps in solving such
problems as increased salinity oI the soil and chemical run-oIIs Irom the agricultural Iields.To
ensure a healthy Iuture Ior the generations to come , bioIertilizer is verymuch important and it is
the perIect threadline to hold on to.
Reasons for choosing :
The reason Ior choosing BioIertilizer as our business plan is because oI its vast beneIits,
Which are pointed below,
1. Since a bio-Iertilizer is technically living, it can symbiotically associate with plant roots.
Involved microorganisms could readily and saIely convert complex organic material in
simple compounds, so that plants are easily taken up. Microorganism Iunction is in long
duration, causing improvement oI the soil Iertility. It maintains the natural habitat oI the
soil. It increases crop yield by 20-30, replaces chemicalnitrogen and phosphorus by
Bepaitment in puisuit of human excellence, SCSvHv 0niveisity Page S
25, and stimulates plant growth. It can also provide protection against drought and
some soil-borne diseases.
2. Bio-Iertilizers are cost-eIIective relative to chemical Iertilizers. They have lower
manuIacturing costs, especially regarding nitrogen and phosphorus use.
3. It is environmentally Iriendly in that it not only prevents damaging the natural source but
also helps to some extent cleanse the plant Irom precipitated chemical Iertilizers.
4. Longer shelI liIe -12-24 months.
5. No contamination.
2.PRODUCTION
2.1.Culturing of Micro organisms
Multiplying oI microorganisms is done here under predetermined control laboratory conditions.
Although many bacteria can be used beneIicially as a bioIertilizer. The technique oI mass
production is standardized Ior Rhi:obium, A:ospirillum, A:otobacter and phosphobacteria.
2.2.Processing of carrier material
The use oI ideal carrier material is necessary in the production oI good quality bioIertilizer. Peat
soil, lignite, vermiculite, charcoal, press mud, Iarmyard manure and soil mixture can be used as
carrier materials.
2.3.Preparation of Inoculants packet
Inoculant packets are prepared by mixing the broth culture obtained Irom Iermentor with sterile
carrier material as described below:
The neutralized, sterilized carrier material is spread in a clean, dry, sterile metallic or
plastic tray.
The bacterial culture drawn Irom the Iermentor is added to the sterilized carrier and
mixed well by manual (by wearing sterile gloves) or by mechanical mixer. The culture
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suspension is to be added to a level oI 40 50 water holding capacity depending upon
the population.
The inoculant packet oI 200 g quantities in polythene bags, sealed with electric sealer and
allowed Ior curing Ior 2 -3 days at room temperature ( curing can be done by spreading
the inoculant on a clean Iloor/polythene sheet/ by keeping in open shallow tubs/ trays
with polythene covering Ior 2 -3 days at room temperature beIore packaging).
3.MARKETING & PROMOTION
3.1.Brand name: A2H which stands Ior Assurance to health
3.2.Caption: Hope to Iarmers
3.3.Segmentation:
Our initial business starts at Kancheepuram district, Tamilnadu. So, our segmentation is
villages in and around Kancheepuram district.
3.4.Targeting:
Obviously, our target customers are Iarmers as our product is bio-Iertilizers.
3.5.Positioning:
Our positioning strategy is to stay in the minds oI customers as Iriendly brand.
3.6.Pricing:
Our pricing strategies are according to market prevailing prices only.
We supply 200 grams packets,1 kg packet and maximum extent our packing in 10kgs.
200 gms Rs 8.50/-
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1 kg Rs 40/-
10 kg- Rs 398/-
Bio-Iertilizers can be used in small quantity when compared with that oI chemical Iertilizers.
3.7.Promotion :
Our promotional activities are through agricultural experts atleast twice a month. So to
create more awareness among the Iarmers about bio-Iertilizers and it`s advantages.
Our selling strategy is educative selling
Hand outs
CRM practices.
Outdoor advertising through wall paintings.
Earmers clubs i.e., membership card Iacility to the regular customer who are using bio-
Iertilizers oI our brand. So that we will provide special concessions to the Iarmers
through that membership card Iacility.
3.8.Distribution channels :
We have our own retail outlets at two places. One at Cheyyar taluk and the other at
Uthiramerur taluk. Because, in these two areas, there is major scope Ior agriculture which covers
around 350 villages oI these two taluks.
And Ior other areas,we will distribute through various government agencies and panchayat
oIIices oI various villages.
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4.FINANCIAL PRO1ECTIONS
Total capital - Rs 50,00,000/-
Owner`s capital - Rs 30,00,000 /-
Bank Loan -- Rs 20,00,000/-
4.1.Income statement:
This income statement is a simple and straightIorward report on our business' cash-generating
ability. It's a scorecard on the Iinancial perIormance oI our business that reIlects when sales are
made and expenses are incurred.
Income statement is as Iollows:
4.2.Balance sheet:
It summarizes a company's assets, liabilities and shareholders' equity at a specific point in time.
Bepaitment in puisuit of human excellence, SCSvHv 0niveisity Page 8
4.FINANCIAL PRO1ECTIONS
Total capital - Rs 50,00,000/-
Owner`s capital - Rs 30,00,000 /-
Bank Loan -- Rs 20,00,000/-
4.1.Income statement:
This income statement is a simple and straightIorward report on our business' cash-generating
ability. It's a scorecard on the Iinancial perIormance oI our business that reIlects when sales are
made and expenses are incurred.
Income statement is as Iollows:
4.2.Balance sheet:
It summarizes a company's assets, liabilities and shareholders' equity at a specific point in time.
Bepaitment in puisuit of human excellence, SCSvHv 0niveisity Page 8
4.FINANCIAL PRO1ECTIONS
Total capital - Rs 50,00,000/-
Owner`s capital - Rs 30,00,000 /-
Bank Loan -- Rs 20,00,000/-
4.1.Income statement:
This income statement is a simple and straightIorward report on our business' cash-generating
ability. It's a scorecard on the Iinancial perIormance oI our business that reIlects when sales are
made and expenses are incurred.
Income statement is as Iollows:
4.2.Balance sheet:
It summarizes a company's assets, liabilities and shareholders' equity at a specific point in time.
Bepaitment in puisuit of human excellence, SCSvHv 0niveisity Page 9
Our balance sheet is as follows,
Note : Cash Ilow statement & other required details will be submitted in the due course
5.EXIT STRATEGIES
Eollowings are our exit strategies,
Lack oI suIIicient Iunds |Problems in getting loans|
Seasonal demands oI bioIertilizers
Natural disasters
Upcoming competition
Characteristics oI soil | ie water,drought.|
Migration oI workers
Bepaitment in puisuit of human excellence, SCSvHv 0niveisity Page 9
Our balance sheet is as follows,
Note : Cash Ilow statement & other required details will be submitted in the due course
5.EXIT STRATEGIES
Eollowings are our exit strategies,
Lack oI suIIicient Iunds |Problems in getting loans|
Seasonal demands oI bioIertilizers
Natural disasters
Upcoming competition
Characteristics oI soil | ie water,drought.|
Migration oI workers
Bepaitment in puisuit of human excellence, SCSvHv 0niveisity Page 9
Our balance sheet is as follows,
Note : Cash Ilow statement & other required details will be submitted in the due course
5.EXIT STRATEGIES
Eollowings are our exit strategies,
Lack oI suIIicient Iunds |Problems in getting loans|
Seasonal demands oI bioIertilizers
Natural disasters
Upcoming competition
Characteristics oI soil | ie water,drought.|
Migration oI workers