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EXPERIMENT NO. 1
Topic. Entrepreneur of Motherboard
Group Guide Alloated. Neha Maam
DOP.
DOS.
Marks.
Teachers Sign.
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Manufacturers
of Motherboards.
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INDEX
Chapter No. Chapter Name. Page no.
1 Enterpreneurship 5
1.1 What is Enterpreneurship..?? 7
1.2 Who is an Enterpreneur..?? 9
1.3 Charateristics of Enterpreneur 11
1.4 Features of Enterpreneur 13
1.5 SWOT Analysis of business 15
2 Risk Involved 20
3 Resources 23
4 Legal Issues 25
5 About Motherboard 31
5.1 What is Motherboard..?? 31
5.2 Manufacturing Process 33
6 Ace technologies Motherboard 48
7 ISO Certification 56
8 Loan 58
9 Costs 60
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9.1 Place 60
9.2 Manpower 61
9.3 Utilities 61
9.4 Machinery & Machinery Cost 62
10 Taxation 66
11 Why should you prefer Ace
Technologies..??
68
12 Future Scope 70
13 Conclusion 78
14 Bibliography 78
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1. ENTERPRENEURSHIP INTRODUCTION
1.1 What is Entrepreneurship?
An entrepreneur is an individual who owns a firm, business, or venture, and is responsible for its
development. Entrepreneurship is the practice of starting a new business or reviving an existing
business, in order to capitalize on new found opportunities.
Generally, entrepreneurship is a tough proposition as a good number of the new businesses fail to
take off. Entrepreneurial activities differ based on the type of business they are involved in. It is
also true that entrepreneurial ventures create a number of new job opportunities. A large number
of entrepreneurial projects look for venture capital or angel funding for their startup firms in
order to finance their capital requirements. Besides, government agencies and some NGOs also
finance entrepreneurial ventures. Entrepreneurship is often associated with uncertainty,
particularly when it involves creating something new for which there is no existing market. Evenif there is a market, it may not translate into a huge business opportunity for the entrepreneur. A
major aspect in entrepreneurship is that entrepreneurs embrace opportunities irrespective of the
resources they have access to.
Entrepreneurship involves being resourceful and finding ways to obtain the resources required to
achieve the set objectives. Capital is one such resource. Entrepreneurs need to think out-of-the-
box to improve their chances of obtaining what they need to succeed. According to management
experts, vast majority of entrepreneurs desire to be in control of their own life and they cant find
this beyond entrepreneurship. Studies have demonstrated that people derive great satisfaction
from their entrepreneurial work.
A number of entrepreneurs are of the opinion that managing their own business offers far greater
security than being an employee elsewhere. They feel entrepreneurship enables them to acquire
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wealth quickly and cushion themselves against financial insecurity. Additionally, an
entrepreneurs future is not at peril owing to the faulty decisions of a finicky employer. So, while
some people feel that being employed is less risky, entrepreneurs feel that they are better off
starting a business of their own.
Today, there is the increasing awareness about entrepreneurship. People arent confining
themselves to one business. They are following one business with another. Such entrepreneurs
are referred to as serial entrepreneurs. Sometimes these entrepreneurs become angel investors
and invest their money in startup companies.
Different scholars have described entrepreneurs as, among What is entrepreneurship?
Entrepreneurship is the act of being an entrepreneur, which can be defined as "one who
undertakes innovations, finance and business acumen in an effort to transform innovations into
economic goods". This may result in new organizations or may be part of revitalizing
mature organizations in response to a perceived opportunity. The most obvious form of
entrepreneurship is that of starting new businesses (referred as Startup Company); however, in
recent years, the term has been extended to include social and political forms of entrepreneurial
activity. When entrepreneurship is describing activities within a firm or large organization it is
referred to as intra-preneurship and may include corporate venturing, when large entities spin-off
organizations.[1]s According to Paul Reynolds, entrepreneurship scholar and creator of the Global
Entrepreneurship Monitor, "by the time they reach their retirement years, half of all working men
in the United States probably have a period of self-employment of one or more years; one in four
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may have engaged in self-employment for six or more years. Participating in a new business
creation is a common activity among U.S. workers over the course of their careers."[2]
And in
recent years has been documented by scholars such as David Audretsch to be a major driver of
economic growth in both the United States and Western Europe.
For Schumpeter, entrepreneurship resulted in new industries but also in new combinations of
currently existing inputs. Schumpeter's initial example of this was the combination of a steam
engine and then current wagon making technologies to produce the horseless carriage. In this
case the innovation, the car, was transformational but did not require the development of a new
technology, merely the application of existing technologies in a novel manner. It did not
immediately replace the horsedrawn carriage, but in time, incremental improvements which
reduced the cost and improved the technology led to the complete practical replacement of beast
drawn vehicles other things, bearing risk. For Schumpeter, the entrepreneur did not bear risk: the
capitalist did.
1.2 Who is an entrepreneur?
An entrepreneur is a person who develops a new idea and takes the risk of setting up an
enterprise to produce a product or service which satisfies customer needs. All entrepreneurs are
business persons, but not all business persons are entrepreneurs. Let us now think of why all
business persons are not entrepreneurs. Think of a woman who sits by the roadside leading to
your home and who has been selling the same type of food, from the same size of saucepan or
pot, from the same table top, and may not have been able to change her standard of living to any
appreciable extent. Such a woman may be a business person but not an entrepreneur. The
entrepreneur, on the other hand is the business person who is not satisfied with his/her
performance and therefore always finds ways to improve and grow.
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Now let us consider the characteristics or some special qualities and strengths which make an
entrepreneur different from a business person. It is important for us to note that a successful
entrepreneur possesses the following characteristics.
Initiative
An entrepreneur takes actions that goes beyond job requirements or the demand of the situation
Opportunity seeking
An entrepreneur is quick to see and seize opportunities. He/she does things before he/she is
asked to work by people or forced by situation.
Persistence
An entrepreneur is not discouraged by difficulties and problems that come up in the business or
his/her personal life. Once she sets a goal she is committed to the goal and will become
completely absorbed in it.
Information seeking
An entrepreneur undertakes personal research on how to satisfy customers and solve problems.
He/she knows that different people have different capabilities that can be of help to them. He/she
seeks relevant information from his/her clients, suppliers, competitors and others. He/she always
wants to learn things which will help the business to grow.
Demand for quality and efficiency
An entrepreneur is always competing with others to do things better, faster, and at less cost
he/she strives to achieve excellence.
Risk taking
Are you afraid of uncertainties? Then you cannot be an entrepreneur. Entrepreneurs are not high
risk takers. They are also not gamblers; they calculate their risks before taking action. They place
themselves in situations involving moderate risk so they are moderate risk takers.
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Goal setting
An entrepreneur sets meaningful and challenging goals for him/herself. An entrepreneur does not
just dream. Him/she thinks and plans what he/she does. He/she is certain or has hope about the
future.
Commitment to work
An entrepreneur will work long hours after into the night just to be able to keep his/her promise
to his/her client. He/she does the work together with his/her workers to get a job done. He/she
knows how to make people happy to work for him/her due his/her dynamic leadership.
Systematic planning and monitoring
An entrepreneur plans for whatever he/she expects in the business. He/she does not leave things
to luck. He/she plans by breaking large tasks down into small once and puts time limits against
them. Since and entrepreneur knows what to expect at anytime he/she is able to change plans and
strategies to achieve what he/she aims at.
Persuasion and networking
An entrepreneur acts to develop and maintain business contacts by establishing good working
relationship. Uses deliberate strategies to influence others.
Independence and self confidence
Most entrepreneurs start business because they like to be their own boss. They are responsible
for their own decisions.
1.3 Characteristics of Entrepreneurship
Successful entrepreneurs need these features!
You have decided to take the fun and exciting way of becoming an entrepreneur. You have a life
long dream of being their own boss was and you decided to now have the correct time to make a
change. Are you ready to have financial freedom. What it means to be a successful entrepreneur?
Do you have the characteristics of successful entrepreneurship? Do you have what it takes to be
successful? The road to a successful entrepreneur is no picnic. It takes a special kind of person
with a lot of heart in the long and difficult journey to maintain. The journey is long and winding
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road, but the rewards are endless. Are you prepared to cover the way less? If so, you really need
to know the characteristics of all successful entrepreneurs.
There is someting important to separate the weak from the strong male. These three
characteristics of the entrepreneur are special features that have not most people. If people arewilling to Embrace these times, they have the other traits necessary to success. These trains after
goodwill benefit people in all areas of their life, not only as an entrepreneur. The three female
entrepreneurship is the willingness to go through The Dream (Passionate), The Struggle
(Determination), and the victory (humility). There is no way to lasting success in business or life
without going through the dream, fight and win to achieve together.
After a dream (being passionate) What ice give you the energy to get in difficult times. It is
trying to quit several times when the road got too hard and you will. People will laugh at you and
think youre crazy to become entrepreneurs. Thats because they have already announced their
dreams and the only thing it is to overthrow you. The people will be happy to connect you when
you are down. Your dream will seem like your only friend in these times. Embrace your dream.
Hold it and never lose. The day you lose your dream is the day when hope is gone. Never lose
hope. Keep dreaming!
The path of an entrepreneur is a battle that never ends. It is not easy. You need every day of the
trip to the success of battle. There Will Be Times when all hope seems lost, if nothing Else left to
give one of you. Youll have your heart ripped out many times and ask why all this happening to
you. Thats ok. Keep fighting (credit provision). Even if you finally SuccessFactors is still
fighting. There Will Be naysayers that question your integrity and motives, but discourage Do
not Let Them. Keep fighting!
The win all the battles and struggles is so worth the trip. If you have done everything to fight for
your dreams took it and once you finally reach your dreams, thats-if you -can sleep well
knowing that you are a warrior, now a champion. You won the battle. You have reached your
dreams and you know now, that is the struggle has been worthwhile. All The Heart You Gave
the trip was during the inexpensive. Freedom is now remind you! Always it when victorious in
the end, make sure to stay forever (Humble).
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The dream, struggle and victory are all important to a successful entrepreneurIf you feel like a
successful entrepreneur is willing to do everything possible to fight your dreams, and want so
desperately for an opportunity to help you fulfill those dreams are to visit Entrepreneur Secrets.
1.4 A number of concepts that appear intrinsic to what constitutes
entrepreneurial spirit.
Uniqueness
In a highly developed global business community where new ideas and business models are
increasingly in short supply the importance of uniqueness cannot be under estimated and those
exhibiting an entrepreneurial spirit are often associated with concepts that encapsulate originality
and ingenuity. Take for example, Steve Jobs bringing the Apple IPOD to the market,
Creativity
Creativity is heavily connected
to uniqueness but the two are not identical. Individuals with an entrepreneurial spirit are
experienced at harnessing the creative process to help them produce a unique product /service or
advantage. So where as uniqueness describes the end outcome, creativity describes the process of
how one achieves it. For this reason those with an entrepreneurial spirit are often creative
individuals who are ready, willing and able to actively adopt new techniques to get ahead even at
the expense of being ridiculed by others.
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Risk Taking
In a western society that is so often risk averse, those with entrepreneurial spirit embrace risk
taking and it is impossible for such a concept not to be associated with entrepreneurs and the
often high risk potential involved in following a new cutting edge approach. It must be observed
however that risk is not the same as recklessness and those demonstrating an entrepreneurial
spirit are likely to be adept at assessing the risks involved in any undertaking.
Business Savy
As highlighted previously those with entrepreneurial spirit should not be considered as reckless
mavericks indeed quite the opposite, good entrepreneurs are motivated by profit and are skilled
at identifying a lucrative niche in the market that can be exploited for profit. Take for example,Steve Jobs at Apple Computers who has successfully navigated a profitable course in the
computing and software industry despite the market being dominated by Microsoft and IBM for
a number of decades. In addition he was the first to spot the potential of utilising the computing
industry to open a new market to the music fraternity , with the introduction of the IPOD, the
market leader in its business stream. Such actions requires great skill and confidence and
demonstrate a clear entrepreneurial spirit.
Developing Potential
Identifying, Investing in and nurturing potential are also essential to the ideals attached
associated with entrepreneurial spirit because of the need to find differing solutions to a business
problem.
Established businesses often fail to discover breakthroughs because they stick to a rigid
investment formula that has worked for them in the past rather than finding new ways of moving
forward.
Adaptability
The entrepreneurial spirit is always adaptable and ready to overcome barriers presented by
business problems and is usually quicker at resolving those issues than mainstream business
thinkers.
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Ultimately Destructive
Entrepreneurial spirit is ultimately destructive to its own business in the medium term unless
those engaged in utilizing the concept recognize when it is time to handover to mainstream
management focussed individuals who can maintain and develop the organisation. This is
because true entrepreneurial spirit is obsessed with constant creativity and change which is
unsettling to employees without good management and a clear direction. Many of those
demonstrating entrepreneurial spirit rarely stay long term in any enterprise they undertake, take
Richard Branson for example who after launching numerous businesses under the "Virgin" brand
has subsequently sold.
1.5 Ten features and qualities of a good entrepreneur
An entrepreneur shall have the following features and qualities to be considered a good or great
entrepreneur.
1. Brain to plan
A wise entrepreneur is an advanced thinker. He knows how to predict the future. With his
prediction, he creates a plan. He organized his objectives and set his procedures to achieve those
objectives.
2. Hands to do the plan
An active entrepreneur executes his plan. He performs his procedures to attain and realize his
objectives. He handles well his people and put them in the right places.
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3. Mouth to communicate and convince
A good entrepreneur has wisdom to communicate. He says what is just and honest. He knows
how to convince people. He does it by keeping his promises.
4. Eyes to see to it
A prudent entrepreneur sees things twice. He is discreet and avoids biased and harsh decisions
that will hurt other people. He also monitors and checks his business activity to ensure that they
are running the way he wants it to be.
5. Ears to spy
An extensive entrepreneur observes and studies his competitors. But he doesnt analyze them to
hurt and defy them. He analyzes them to come up with greater products and services that will
serve his customers better. He also studies his competitors to promote more quality and
customers satisfaction inside the market competition. He encourages his competitors to produce
greater quality products and services to eventually make the consumers the winners in the market
competition.
6. Nose to smell danger
A vigilant entrepreneur oversees his business surroundings. He searches and detects possible
risks and dangers. And when he detects one, he comes-up with a preventive solution if the
danger has not yet occurred, and a corrective solution if the danger has already occurred.
7. Skin to protect
A caring entrepreneur protects his business, his employees and his consumers. He defends his
business, his name and his integrity. He also preserves the wellness of his employees. And
finally he totally cares for the satisfaction of his costumers.
8. Heart to love and create good relationship
A loving entrepreneur practices patience, shows humility, rejoices in the truth, avoids evil acts,
maintains hope and uplifts faith. He also keeps real good relationships with his employees, co-
owners, investors, creditors, debtors and customers.
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9. Feet to stand
A strong entrepreneur stands firmly in the midst of trouble. And when he falls down, he always
manages to get back on his feet. Simply, he is not a quitter.
10. Spirit to live
A faithful entrepreneur believes in what he does. He lives in what he believes. He exists more
than he lives
1.6 SWOT analysis of business
SWOT analysis is the process of carefully inspecting the business and its environment through
the various dimensions of Strengths, Weaknesses, Opportunities, and Threats.
Strengths are the companies core competencies, and include proprietary technology,
skills, resources, market position, patents, and others.
Weaknesses are conditions within the company that can lead to poor performance, and
can include obsolete equipment, no clear strategy, heavy debt burden, poor product or
market image, weak management, and others.
Opportunities are outside conditions or circumstances that the company could turn to its
advantage, and could include a specialty niche skill or technology that suddenly realizes a
growth in broad market interest.
Threats are current or future conditions in the outside environment that may harm the
company, and might include population shifts, changes in purchasing preferences, new
technologies, changes in governmental or environmental regulations, or an increase in
competition.
As with most such management analysis tools, SWOT in of itself will not give specific answers.
Instead, it is a way to organize information and assign probabilities to potential events - both
good and bad - as the basis for developing business strategy and operational plans.
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1.7 SWOT Analysis 4 Steps
SWOT analysis is a tool for planning, especially strategic planning. It is used for
assessing Strengths and Weaknesses as the internal elements of the business,Opportunities
and Threats as external elements of the business. SWOT analysishas a wide range of usefulness
especially using particular information obtained after such an analysis. However, often SWOT
analysis begins and ends with the SWOT matrix (quadrant in which fields are listed the elements
of SWOT). In this way, we cannot achieve the full benefits of this analysis. In the following
graphic is presented a full diagram of the SWOT analysis which begins with the scanning of
internal and external environment of business.
Step 1: Scanning External and Internal Environment
One thing that is obvious for each business is that they have external and internal
Environment. SWOT analysis begins by evaluating the current situation in respect of the internal
and external environment of the business. This evaluation of the current situation will lead to
identification of internal and external factors that affecting business. The internal factors can be
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strengths, but can also be some type of weaknesses of the business, while external factors can be
opportunities or threats to the business. In this section, it is necessary to identify all factors and
rang them according to importance of business for which is performed the analysis.
The questions that must be answered here are:
1. What are Legal factors that influence my business?
2. What are Ecological factors that influence my business?
3. What are Political factors that influence my business?
4. What are Economic factors that influence my business?
5. What are Social factors that influence my business?
6. What are Technological factors that influence my business?
7. What are Competitive factors that influence my business?
8. What are managerial factors of my business?
9. What are strategically factors of my business?
10.What are structural factors of my business?
11.What are goals of my business?
12.What are operational factors of my business?
13.What are technological factors of my business?
14.What are cultural factors of my business?
15.What politics was implemented in my business?
16.What are leadership factors of my business?
As you can see through answering this 16 question we can identify the most crucial factors from
the external and internal environment of a business. First seven questions are about the external
environment using LE PEST C acronym whilst next 9 questions are about the internal
environment (formal and informal subsystem of a business). Formal subsystem questions are
questions from 8 to 13 whilst informal subsystem questions are questions from 14 to 16.
Step 2: Internal and External Analysis
In this step, we analyze internal and external environmental factors that influence our business.
The purpose is to determine whether an internal factor is strength or weakness of our business
and whether an external factor is opportunity or threat for our business.
The questions that must be answered here are:
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1. Which Legal factors are ourOpportunities and, Which are ourThreats?
2. Which Ecological factors are ourOpportunities and, Which are ourThreats?
3. Which Political factors are ourOpportunities and, Which are ourThreats?
4. Which Economic factors are ourOpportunities and, Which are ourThreats?
5. Which Social factors are ourOpportunities and, Which are ourThreats?
6. Which Technological factors are ourOpportunities and, Which are ourThreats?
7. Which Competitive factors are ourOpportunities and, Which are ourThreats?
8. Which Managerial factors are ourStrengths and, Which are ourWeakness?
9. Which Strategically factors are ourStrengths and, Which are ourWeakness?
10.Which Structural factors are ourStrengths and, Which are ourWeakness?
11.Which Goals are ourStrengths and, Which are ourWeakness?
12.Which Operational factors are ourStrengths and, Which are ourWeakness?
13.Which Technological factors are ourStrengths and, Which are ourWeakness?
14.Which Cultural factors are ourStrengths and, Which are ourWeakness?
15.Which Politics are ourStrengths and, Which are ourWeakness?
16.Which Leadership factors are ourStrengths and, Which are ourWeakness?
Step 3: Constructing SWOT Matrix
Until now we have already listed influential factors from inside and outside our business
andclassified them as strengths, weakness, opportunities and threats. Now we can make SWOT
matrix. SWOT matrix is a simple quadrant constructed from SWOT acronyms and in each
quadrant is noted each factor. This is an excellent graphic presentation of what is good and bad
in business, and what we can expect as an opportunity or threat..
Step 4: Defining Strategies
Whats next? Whether this is sufficient to complete the SWOT analysis? Any analysis must giveus future directions for treatment. If we stop here we can not say that we made a successful
analysis. Therefore, for each combination of quadrants in the matrix we must determine
strategies. From the SWOT matrix, we can extract 4 strategies:
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S-O Strategies (Strength-Opportunities Strategies). These strategies should take advantage of
opportunities that fit the strengths of the business.
W-O Strategies (Weaknesses-Opportunities strategies). These strategies should enable it to
overcome the weaknesses of the business while we utilize the opportunities.
S-T Strategies (Strength-Threat Strategies). These strategies should allow the use of strength
sides, while eliminate or reduce the threats from the environment.
W-T Strategies (Weaknesses-Threats Strategies). These strategies should allow
theelimination of weaknesses and preventing external threats to reach exact those weaknesses
of the business.
The questions that must be answered here are:
What are my S-O Strategies?
y What are my W-O Strategies?
y What are my S-T Strategies?
y What era my W-T Strategies?
SWOT analysis that gives us results in the form of strategies for dealing with the current
situation and prepare for the future and which covers both internal and external factors is a gooddefense mechanism for each business.
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2. RISK INVOLVED IN SETTING UP A BUSINESS
One of the most common myths about starting a business is that its such a risky endeavor. And
while there is indeed some risk involved, the real risk, especially when the economy is
struggling, is in not starting your own business.
Unless youre a trust-fund baby, most people are faced with two work choices in life. You can
work for someone or you can work for yourself. In the past year alone, more than 2 million
Americans have been laid off, many, if not most, the victims of someone elses mistakes. As an
employee you are always vulnerable or at risk of losing your job, and theres little you can do to
control that. Jim Collins, business guru and author of the bestselling books Good to
Great and Built to Last, tells students in his business classes that to take a corporate job means
youre putting all your eggs in one basket that is held by someone else. Now that sounds pretty
risky.
Business ownership puts you in control. Obviously, even as an entrepreneur, you are subject to
the state of the economy, the whims of the market, and the actions of a whole cadre of people, be
they employees, suppliers, vendors, or customers. But as the owner of the business you are at the
hub of all the decision making, not merely a spoke in the wheel.
Thats not to say theres no risk in startup; of course there is. But if you do your homework (map
out your goals, write a business plan, etc.), the risk is mitigated. So your first task is to figure out
what youre risking and then its your responsibility to manage those risks.
Money
How much money you risk when starting a business is up to you. Ask yourself how much money
you can afford to lose. And dont put any more than that into your startup. Approaching this with
the understanding of the worst-case scenario will spare you some unfortunate surprises. The key
is to start on as much of a shoestring as you can and dont put up more than you can afford to
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lose. That threshold is yours to set. Risking your house to start a business might not be the best
choice, unless youre prepared to possibly lose your home. But many entrepreneurs do put their
houses up as collateral and are happily (and luckily) still in business.
Chances of failure
The first and most obvious risk is the risk of failure. Your product may not be different service
may be priced incorrectly or not in high enough demand. No matter what the reason, there is a
chance your business will fail and you will be out the time, money and effort you put into
creating and
Physical Destruction
Another potential risk of starting a small business is that your business will suffer physical
damage. You may have a thriving new business, only to see a flood, hurricane, fire or burglary
ruin all of your hard work. This is a very real possibility, however, life is full of risks and there is
no way to know what will and will not happen before it happens. The risk of physical damage to
your business or your inventory is a very real possibility and you should purchase business
interruption, and property damage insurance to prepare in case the worst happens.
Poor Customers
Not all clients pay. If you perform your job satisfactorily but the customer refuses to pay,
depending on your services offered you may be able sell the product later. But for now, you're
stuck with it
Comparing
Now its time to compare. Risk of starting a business: mostly money and time. Risk of not
starting a business: someone else is controlling your time and how much money you make. In
fact, you could be in daily jeopardy of losing your job because of the mistakes of others.
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As the owner of your own business, you are in charge of your life. You are responsible for the
wins, and losses, in your business. You have to rely on yourself to make a living. Its your
responsibility to make it happen.
Other risks include:
y environmental risks, including natural disasters
y employee risk management, such as maintaining sufficient staff numbers and cover
employee safety and up-to-date skills
y political and economic instability in any foreign markets you export goods to
y health and safety risks
y commercial risks, including the failure of key suppliers or customers
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3.RESOURCES
Raw materials required for the manufacturing of motherboard
Motherboard - fibreglass, phenolic resin, epoxy resin, tin, copper (board
and cladding and internal power/ground planes/wire traces), tin and
antimony and/or cadmium, and possibly lead (solder), rosin and/or ammonium
chloride (flux), brass/gold/silver (contacts), plastic, aromatic solvents
(tr.) - typically trichloroethylene or acetone(for removing flux),lacquer, varnish, paint, ferric chloride (tr.)(residual etchant) and
various oxides (tr). and sulfates (tr.) resulting from exposure to the
environment before sealing.
Components - silicon/fibreglass (component substrates), carbon,
nickle/chromium wire, high-carbon iron wire(resistors),
mica/polyester/polyethylene/polypropylene/paper/aluminum(capacitors),
ammonium and/or mangenese chloride(capacitor electrolyte), copper
(wires/inductors),
selenium/chromium/palladium/gallium/silicon/aluminum oxide(transistor and
diode P-type and N-type junction materials and doping materials,
gold/platinum/copper(semiconductor internal connections, aluminum indium
gallium phosphide(or arsenide)(light emitting diodes), lithium/silver
(battery), glass/epoxy resin/rubber/silicone/fibreglass
(encapsulation,insulation), Barium and/or beryllium oxide and silicone
grease(heat sink heat transfer compounds, Aluminum/steel(heat sinks).
Also, given the various methods of semiconductor growing and laser
trimming of capacitors and resistors, trace amounts of shielding and anti-
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oxididation gases may be present in the form of nitrogen, argon and
helium.
Silver nitrate may also be present as a result of incomplete removal of
the un-polymerized areas of the board prior to etching. Very briefly, the
copper-clad board is covered with a photo-sensitive material. A negative
mask is positioned over the board and the resulting 'sandwich' is exposed
to ultra-violet light. Those areas where the coating is exposed to the
U.V. will polymerize, and remain unaffected by the wash with sodium
carbonate; which removes the un-polymerized coating. Therefore, the un-
polymerized areas will be etched away by the ferric chloride. If your mask
has very dense blacks AND your transparent areas are very transparent, AND
your exposure time and intensity is correct, AND your processing solutions
are fresh AND your processing times are within accepted limits, you will
end up with a high quality board. If any of the above are not up to
standard or dust is present in the air, your board may end up with only
partially etched areas resulting in, at the very worst, short circuits;
and at the very least, stray capacitances which can adversely affect
circuit performance; especially at the high frequencies now in common use
with very fast processors. As you may (correctly) surmisedue to their
complexity, there is a relatively high rejection rate with motherboards.
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4.LEGALISSUES
The steps given below are for incorporating a Business in the city of Mumbai.
Steps involved in starting business:-
Registration Requirements:
No: ProcedureTime to
complete:Cost to complete:
1
Obtain director
identification
number (DIN) online
from the Ministry of
Corporate Affairs
portal (National)
1 day `100
2
Obtain digital
signature certificate
online from private
agency authorized
by the Ministry of
Corporate Affairs
(National)
3 days `1,500
3
Reserve the
company name
online with the
Registrar of
Companies (ROC)
(National)
2 days `500
4
Stamp the company
documents at the
State Treasury
(State) or authorized
bank (Private)
1 day
`1,300 (` 200
for MOA +
`1,000 for
AOA for every
` 500,000 of
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share capital or
part thereof + `
100 for stamp
paper for
declaration
Form 1)
5
Get the Certificate of
Incorporation from
the Registrar of
Companies, Ministry
of Corporate Affairs
(National)
5 days` 14,133 (see
comments)
6Make a seal
(Private)1 day
` 350 (cost
depends on the
number of
seals required
and the time
period for
delivery)
7*
Obtain a Permanent
Account Number
(PAN) from an
authorized franchise
or agent appointed
by the National
Securities
Depository Ltd.
(NSDL) or the Unit
Trust of India (UTI)
Investors Services
Ltd., as outsourced
by the Income Tax
Department
7 days
` 67 (` 60
application fee
+ 12.36%
service tax + `
5 for
application
form, if not
downloaded)
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(National)
8*
Obtain a Tax
Account Number
(TAN) for income
taxes deducted at
source from the
Assessing Office in
the Mumbai Income
Tax Department
7 days
` 57 (` 50
application fee
+ 12.36%
service tax)
9*
Register with the
Office of Inspector,
Shops, and
Establishment Act
(State/Municipal)
2 days
` 6,500 (` 2000
+ 3 times
registration fee
for trade refuse
charges)
10*
Register for Value-
Added Tax (VAT) at
the Commercial Tax
Office (State)
12
days
` 5,100
(registration
fee ` 5000 +
stamp duty `
100)
11*
Register for
Profession Tax at the
Profession Tax
Office (State)
2 days No cost
12*
Register with
Employees
Provident Fund
Organization
(National)
12
daysNo cost
13*
Register for medical
insurance at the
regional office of the
Employees State
Insurance
9 days No cost
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Corporation
(National)
* Takes place simultaneously with another procedure.
Detailed Steps and Explanation of procedure to start Business in India
Procedure 1.
Obtain director identification number (DIN) online from the Ministry of Corporate Affairs portal
(National).
Time to complete: 1 day
Cost to complete: `100
Procedure 2.
Obtain digital signature certificate online from private agency authorized by the Ministry of
Corporate Affairs (National).
Time to complete: 3 days
Cost to complete: `1,500
Procedure 3.
Reserve the company name online with the Registrar of Companies (ROC) (National)
Time to complete: 2 days
Cost to complete: ` 500
Procedure 4.
Stamp the company documents at the State Treasury (State) or authorized bank (Private)
Time to complete: 1 day
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Cost to complete: `1,300 (` 200 for MOA + ` 1,000 for AOA for every ` 500,000 of share capital
or part thereof + `100 for stamp paper for declaration Form 1)
Procedure 5.
Get the Certificate of Incorporation from the Registrar of Companies, Ministry of Corporate
Affairs (National)
Time to complete: 5 days
Cost to complete: `14,133 (see comments)
Procedure 6.
Make a seal (Private)
Time to complete: 1 day
Cost to complete: ` 350 (cost depends on the number of seals required and the time period for
delivery)
Procedure 7.
Obtain a Permanent Account Number (PAN) from an authorized franchise or agent appointed by
the National Securities Depository Ltd. (NSDL) or the Unit Trust of India (UTI) Investors
Services Ltd., as outsourced by the Income Tax Department (National)
Time to complete: 7 days
Cost to complete: ` 67 (` 60 application fee + 12.36% service tax + ` 5 for application form, if
not downloaded)
Procedure 8.
Obtain a Tax Account Number (TAN) for income taxes deducted at source from the Assessing
Office in the Mumbai Income Tax Department
Time to complete: 7 days
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Cost to complete: ` 57 (` 50 application fee + 12.36% service tax)
Procedure 9.
Register with the Office of Inspector, Shops, and Establishment Act (State/Municipal)
Time to complete: 2 days
Cost to complete: ` 6,500 (` 2000 + 3 times registration fee for trade refuse charges)
Procedure 10.
Register for Value-Added Tax (VAT) at the Commercial Tax Office (State)
Time to complete: 12 days
Cost to complete: ` 5,100 (registration fee ` 5000 + stamp duty `100)
Procedure 11.
Register for Profession Tax at the Profession Tax Office (State)
Time to complete: 2 days
Cost to complete: No cost
Procedure 12.
Register with Employees Provident Fund Organization (National)
Time to complete: 12 days
Cost to complete: No cost
Procedure 13.
Register for medical insurance at the regional office of the Employees State Insurance
Corporation (National)
Time to complete: 9 days
Cost to complete: No cost
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5.MOTHERBOARD
5.1 About motherboard
1. PCI Slot - This board has 2 PCI slots. These can be used for components such as Ethernet
cards, sound cards, and modems.
2. PCI-E 16x Slot - There are 2 of them on this motherboard diagram, both are blue. These
are used for your graphics card. With two of them onboard, you can run 2 graphics cards
in SLI. You would only need this if you are a gamer, or working with high end video /
graphics editing. These are the 16x speed versions, which are currently the fastest.
3. PCI-E 1x Slot - Single slot - In the PCIe 1.x generation, each lane (1x) carries 250 MB/s
compared to 133 MB/s for the PCI slots. These can be used for expansion cards such as
Sound Cards, or Ethernet Cards.
4. Northbridge - This is the Northbridge for this motherboard. This allows communication
between the CPU and the system memory and PCI-E slots.
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5. ATX 12V 2X and 4 Pin Power Connection Power Connection - This is one of two power
connections that supply power to the motherboard. This connection will come from your
Power Supply.
6. CPU-Fan Connection - This is where your CPU fan will connect. Using this connection
over one from your power supply will allow the motherboard to control the speed of your
fan, based on the CPU temperature.
7. Socket - This is where your CPU will plug in. The orange bracket that is surrounding it is
used for high end heat sinks. It helps to support the weight of the heat sink.
8. Memory Slots - These are the slots for your RAM. Most boards will have 4 slots, but
some will only have 2. The color coding you see on the motherboard diagram is used to
match up RAM for Dual-Channel. Using them this way will give your memory a speed
boost.
9. ATX Power Connector - This is the second of two power connections. This is the main
power connection for the motherboard, and comes from the Power Supply.
10.IDE Connection - The IDE (Integrated Drive Electronics) is the connection for your hard
drive or CD / DVD drive. Most drives today come with SATA connections, so you may
not use this.
11.Southbridge - This is the controller for components such as the PCI slots, onboard audio,
and USB connections.
12.SATA Connections - These are 4 of the 6 SATA connections on the motherboard. These
will be used for hard drives, and CD / DVD drives.
13.Front Panel Connections - this is where you will hook in the connections from your case.
These are mostly the different lights on your case, such as power on, hard drive activity
etc.
14.FDD Connection - The FDD is the Floppy Disk controller. If you have a floppy disk
drive in your computer, this is where you will hook it up.
15.External USB Connections - This is where you will plug in external USB connections for
your case or USB bracket.
16.CMOS battery - This is the motherboard's battery. This is used to allow the CMOS to
keep its settings
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5.2 How A Motherboard Is Made...???
The life of a motherboard begins in the PCB Production Unit, which is where life starts for all of
the motherboards that ACE produces. No wonder ACE has the ability to put out 3.75 lakhs of
motherboards a year at this single factory! The 'Operators' of the plant live and work on the samecampus in what are called dorms. These dorms have community bathrooms and at least four
people per sleeping area. With the operators working close to the factory it makes it easy for the
line to run 24 hours a day thanks to two twelve hour shifts that go from 8 to 8. That means
the average operator works 72 hours a week on the production line. The various process that
motherboard goes through are explained below...
Drilling The PCB
The tour started in the drilling station, which is where large copper sheets (motherboards)have
all their mounting holes drilled out. Since ACE makes motherboards for various companies and
markets they have dozens of these machines running at the same time. The Hitachi PCB
Drilling Machines that ACE was using are recent ND-Ne models that are equipped with full
range spindles that can operate between 125,000 and 200,000 revolutions per minute. Each one
of these drilling machines can drill ten sheets of PCB at once! Let's take a look inside a couple
of these machines.
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Looking inside an empty Hitachi drilling machine one finds a series of drill spindles and drill
bits and a large drilling surface for the PCB to be placed. Let's take a look at one with a PCB
ready to be drilled!
Here is a shot with a PCB being drilled when the picture was taken. The Copper PCB sheets are
are covered by a metal sheet during the entire drilling process that will become part of the inner
layers of the PCB once the lamination process is complete. Don't let this picture fool you
though. The sheet in the picture above has thousands of holes in it!
Since not all holes are the same size on a motherboard numerous drill bits are needed to drill
just a single motherboard model, so the drilling machine changes out bits as needed all by itself.
In just a couple minutes one of these machines can drill hundreds of various size holes with
amazing precision! The drilling process was by far the most fun process to watch.
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Here is a close up of the metal sheets to give you an idea of just how many holes are being
drilled in such a small area.
ACE had dozens of these late model Hitachi PCB Drilling Machines (Model #ND-6L210E)
running at the same time and it was an impressive and loud area to be observing.
Laminating & Copper Plating
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Now that the inner layer has been sheared and drilled on for about 30 minutes the inner layer is
now complete and can move on to the next step. The sheets of metal and copper are sent off for
copper sheet lamination in a huge clamping machine, capable of laminating a large number of
PCBs at the same time. We were unable to see this machine on our tour in action as no PCBs
were being laminated during our tour, but the machine can be seen above. The PCBs that pass
the screening step that is done after this stage are then routed to ensure that they are the correct
size. Once this process is completed, the PCBs are sent off to the edge beveling machine. Now
that the inner layer has been laminated, routed, beveled and drilled on for about an hour the
'inner lair' is now complete and can move on to cleaning.
The large sheets of PCB are cleaned at this point in time . The PCBs are brushed, drilled andthen de-burred before rinsing. Here you can see the boards going into the rinsing machine.
The boards come out the other side of the machine (as seen above) and are then stacked into
groups so they can be copper plated.
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Before the outer layer can be etched into the PCB, the board needs to be plated with
copper. Pictured above are hundreds of boards waiting to be dipped in the copper plating
solution.
When the boards are ready to be dipped ACE operators carefully clean the boards in a chemical
tank (seen in front of the men hanging the PCB's)before each PCB is hung and dipped into the
solution. ACE is able to do dozens of boards at the same time, so this process goes pretty quick.
We got lucky on this part of the tour and was able to see some boards being hung for copper
plating.
Etching
Here the cleaned boards go through an Alignment Exposure Unit. This machine basically
photographs both sides of the PCB, allowing closer inspections of the circuitry to be completed
before etching. If they are approved they go on to the Etching process.
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After the etching process is complete, the D/F lamination layer is removed and the PCB is
rinsed once again in a machine like we just saw on the previous page.
After the sheets are cleaned they are starting to look like a motherboard! Here we can see that
the sheets of PCB that we have been following actually have three micro-ATX motherboards
on them. Having a hard time making them out?
Here is a closer look at one of the PCBs and as you can see it's starting to look like something
computer enthusiasts would understand!
Solder Masking
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The boards are looking super clean after the cleaning process, but they still need to be cut.
Nothing like getting a little trim cut!
The boards are given one last wash to make sure they are spotless as they are about to have
some color added to them. The machine that washes the boards is impressive. Check out all the
valves and pressure gauges on that thing!
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Once the boards are all washed they are broken down into the group they belong to, so they can
head over to the solder mask printing area to get whatever color they need.
After the board is cleaned one last time the PCBs are cut and sent to the solder mask printing
area, which is where a coating will be applied to the printed circuit board. This coating is
designed to insulate and protect the copper traces and keep them from shorting together during
the wave soldering process that takes place later when surface mounted components are
installed.
After the boards have cured all the logos, branding, model numbers and information about the
boards' features should be already printed on the PCB. The boards are now ready for the surface
mount assembly line as the making of the PCB is finally completed!
After having the solder paste applied, the bare PCB boards are stacked into an automated vertical
storage rack called a PCB Buffer Loader, until ready to be passed through to the SMT assembly
machine.
Solder printed motherboards awaiting the SMT process
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Surface Mount Assembly
With the PCB now made and ready for Printed Circuit Board Assembly (PCBA) we can move
over to another building and take a look at how all the surface mounted components are
installed. The boards are hand fed into the machine that applies the solder and then the boards
move on down the assembly line.
Next up is the pick and place, which is my favorite machine as it's fast and impressive to
watch. This machine places all the transistors and resistors in their right places with deadly
accuracy. Right after the boards come out of the pick and place the board goes through an oven
to make sure none of these components will be bumped later during assembly.
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Once the board comes out of the oven it is cooled by six large cooling fans (the blue box in the
image above) and is inspected by humans for the first time. These workers are just making sure
that the pick and place installed all the components and didn't miss anything.
A motherboard part way through the SMT process. Large ICs have yet to be placed.
Pick and Place Chipsets
Processors sockets are set up so that they can be picked up
by the machine and placed on the PCB
Trays of socket 478's and ATI Radeon 9100IGP chipsets await feeding into the large FUJI
QP341 pick and place SMTmachines.
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Each IC is visually inspected by the machine with small light
boxes to ensure no defects in solder leads or solder balls
The IC is then carefully placed on the PCB. It takes 1-2
seconds per large IC component.
The Oven
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Since the pick and place assembled all the pieces that need perfect alignment the other
components that don't need exact placement are installed by hand. Here you can see nearly a
dozen workers placing all the larger components like capacitors and memory slots onto the
boards.
After these componets are installed the board it goes into the wave soldering machine and oven.
In this machine waves of solder splash on the bottom of the board. Every component installed
has a solder point that pokes through the underside of the board and the wave solder machine
applies just enough solder to the back of each board in order to fix the components in place. It
then moves on to the oven where these components are locked into place and cooled.
Wave Soldering
The slots, sockets, connectors and capacitors that were plugged into the board on the
manual assembly line now need to be soldered to the motherboard. Manual soldering would be
too time consuming, so Gigabyte makes use of a special soldering process called wave soldering.
This imposing piece of mechanics is the final step on the conveyor belt that runs through the
manual assembly lines. It runs the bottom of each motherboard through a 'wave' of liquid solder
(induced by flowing the molten solder over a raised ledge) at a precise height, so that the metal
leads of the plugged-in components are coated with solder. Each board passes through this wave
for 2-4 seconds, after which it is allowed to cool naturally so the solder can solidify around the
contacts.
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About to go into the solder wave
machine.
Note the lead weight on the socket. This
stops it floating up in the solder
Larger sockets sometimes have a tendency to float up a little, so small lead weights are used to
hold these sockets down.
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Flowing Over The Molton Solder
Control panel for the wave solder machine. Hot!
Inside the solder wave reflow machine. Note the 'waves' of
liquid solder at 242 degrees Celsius
The above shows us the liquid solder, whose waves are produced for the soldering purpose...!!!
Motherboards going through the solder wave machine
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Motherboard passing over the 'wave' of liquid solder.
Visual Inspection
After the oven the boards are again cooled and given another visual inspection.
After the visual inspection a fake CPU is installed to check that there is a complete circuit. The
fake CPU has a 4-pin 12v power connector on the top and it checks that there is basically a
complete circuit between the 24-pin ATX power connector and the CPU socket. If the board
passes testing it will go on down the line, but if it fails it is sent to re-work.
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6.ACE TECHNOLOGIES BOARD VARIETY :
Our company manufactures a variety of motherboards which can serve the requirements of
the user. These boards contain chipset and processor of intel core 2 duo and are designed usingthe chipset architecture of intel inside.The prices of these boards vary from the range of 2500-
5500 ` depending on the features of the board.
The model no. and specifications of different boards manufactured by us are as follows :
1.Ace sever board 3xatp :
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Specifications:-
Essentials
Status Launched
Launch Date Q1'10
Expected Discontinuance 2013
Limited 3-year Warranty Yes
Extended Warranty Available for Purchase (Select Countries) Yes
Board Form Factor ATX
Chassis Form Factor Rack or Pedestal
Socket LGA1156
Integrated BMC with IPMI No
Supplemental SKU No
DescriptionEssential server features for e
applications
Target Market Small Business/1st Server
Memory Specifications
Max Memory Size (dependent on memory type) 16 GB
Memory Types DDR3 ECC UDIMM, RDIMM
# of Memory Channels 2
Max Memory Bandwidth 1333 GB/s
# of DIMMs 4
ECC Memory Supported Yes
Graphics Specifications
Integrated Graphics Yes
Expansion Options
PCI Support 32 bit/ 33 MHz
# of PCI Express Ports 4
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PCIe x8 Gen 2.x 1
PCIe x16 Gen 2.x 1
PCIe x8 Gen 1.x 1
I/O Specifications
USB Revision USB 2.0
# of USB Ports 4
USB 2.0 Configuration (Back + Internal) 6
# of SATA Ports 6
RAID Configuration 0, 1, 10, 5
# of Serial Ports 1
# of LAN Ports 2
Integrated LAN Dual GbE
Package Specifications
Max CPU Configuration 1
Energy Star Yes
Low Halogen Options Available No
Advanced TechnologiesAce Remote Management Module Support No
ace Intelligent Power Node Manager No
ace Matrix Storage Technology Yes
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2. Ace workstation board h863max :
Specifications:-Essentials
Status Launched
Launch Date Q2 2009
Expected Discontinuance 2012
Limited 3-year Warranty Yes
Extended Warranty Available for Purchase (Select Countries) Yes
Board Form Factor Standard ATX
Chassis Form Factor Rack and Pedestal
Socket LGA1366
Integrated BMC with IPMI No
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Embedded Options Available No
Supplemental SKU No
Target Market Small Business/1st Server
Max Memory Size (dependent on memory type) 16 GB
Memory Types DDR3-UDIMM, ECCUDIMM
# of Memory Channels 3
Max Memory Bandwidth 1333 GB/s
# of DIMMs 4
ECC Memory Supported Yes
Graphics Specifications
Integrated Graphics No
Expansion Options
PCI Support 32 bit/33MHz
# of PCI Express Ports 6PCIe x1 Gen 2.x 0
PCIe x4 Gen 2.x 1
PCIe x8 Gen 2.x 0
PCIe x16 Gen 2.x 2
PCIe x1 Gen 1.x 2
PCIe x4 Gen 1.x 0
PCIe x8 Gen 1.x 0
PCIe x16 Gen 1.x 0
IO Expansion x4 Gen 1.x 0
IO Expansion x8 Gen 2.x 0
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I/O Specifications
USB Revision USB 2.0
# of USB Ports 12
USB 2.0 Configuration (Back + Internal) 12
# of SATA Ports 6
# of eSATA Ports 0
RAID Configuration Intel Matrix RAID (0, 1, 5)
# of PATA Ports 0
# of Serial Ports 0
# of LAN Ports 1
Audio (back channel + front channel) Dolby home theater with high definition.
Integrated LAN Single, GbE
Firewire 1394a
Package Specifications
Max CPU Configuration 1
Low Halogen Options Available No
Advanced TechnologiesIntel Remote Management Module Support No
Intel AC97 Technology Yes
Intel Matrix Storage Technology Yes
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3 .Ace Compute Module MFS5520VIR :
Specifications:-Essentials
Status Launched
Launch Date Q2'09
Expected Discontinuance Q1'13
Limited 3-year Warranty Yes
Extended Warranty Available for Purchase (Select
Countries)Yes
# of QPI Links 2
Board Form Factor 1U
Chassis Form Factor Rack or Pedestal
Socket LGA1366
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Supplemental SKU No
Max TDP 95 W
DescriptionCompute Module based on the Intel 5520
Chipset I/O
Target Market Small and Medium Business
Memory Specifications
Max Memory Size (dependent on memory type) 192 GB
Memory Types DDR3 ECC UDIMM, RDIMM
# of Memory Channels 3
Max Memory Bandwidth 1066 GB/s
# of DIMMs 12
ECC Memory Supported Yes
Graphics Specifications
Integrated Graphics Yes
Graphics Output Front Panel 15-Pin
I/O Specifications
USB Revision USB 2.0
# of USB Ports 4
Integrated LAN Intel 82575EB Gigabit Ethernet Controller
Package Specifications
Max CPU Configuration 2
Low Halogen Options Available No
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7.ISOCERTIFICATION
Processes and procedures
ISO standards are developed through precise processes including several pre-
defined stages in order to create an industry-wide consensus
International Standardization is a multi-stakeholders process involving industry, science,
academia, consumer and governments.
As well as Standards, ISO also produces other deliverables, such us Publicly Available
Specifications (PAS), Guides, Technical Specifications (TS), Technical Reports (TR) andInternational Workshop Agreements (IWA).
The procedures for developing ISO standards are defined in the ISO/IEC Directives and
ISO supplement, three core documents describing basic procedural and drafting rules to
be followed by ISO committees.
Stages of the development of International Standards
An International Standard is the result of an agreement between the member bodies of
ISO. It may be used as such, or may be implemented through incorporation in national
standards of different countries.
International Standards are developed by ISO technical committees (TC) and
subcommittees (SC) by a six-step process:
Stage no. Stage Name
Stage 1 Proposal stage
Stage 2 Preparatory stage
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Stage 3 Committee stage
Stage 4 Enquiry stage
Stage 5 Approval stage
Stage 6 Publication stage
Review of International Standards (Confirmation, Revision, Withdrawal)
All International Standards are reviewed at the least three years after publication and
every five years after the first review by all the ISO member bodies. A majority of the P-
members of the TC/SC decides whether an International Standard should be confirmed,
revised or withdrawn.
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8.LOAN
Tips for Getting Your Bank Loan Approved
Finding the money needed to start a new business is almost always one of the most difficult
obstacles new owners face. The most likely (and easiest) sources of capital are your families,
friends and own savings. However, you should not overlook institutional sources aswell Without a previous track record in business, securing a bank loan may be
difficult. Banks cite risk factors and increasing costs of servicing small accounts as the primary
reasons for minimizing their exposure to small businesses. Still, it can be done. Here are the
steps that you should take to improve your chances of getting that much-needed bank loan:
1. Keep in mind that to stay in business banks need to make loans. Do not be afraid to ask for
one. That is what the loan officer wants you to do. To increase your chances of getting a loan,
look for a bank that is familiar with your industry and who has done business with companies
like yours. Seek out banks that are active in small business financing. Some banks lend on a
conventional basis (lending money without government support), while some banks participatein government programs (in the form of government participations involving direct government
funds or loan guarantees). However, be aware that banks often demand stiff collateral
requirements for start-ups.
2. As an entrepreneur, make sure that you are thoroughly prepared when you go to your banker's
office to request a loan.You need to show your bankers that a loan to you is a low-risk
proposition. Have on hand a completed loan application, copies of cash flow
and financialstatement projections covering at least three years, and your cover letter.
3. Learn to anticipate every question that he or she has. Remember, the combination ofinformation and preparation is the most powerful negotiating tool in the world. A confident and
thoroughly prepared borrower is four times more likely to have his or her loan approved than a
borrower who does not know the answer to some of the basic questions a banker asks. To show
the extent of your preparedness, your business plan should also include answers to your banker's
questions. These questions normally are:
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y How much money do you need? Be as exact as possible; although adding a little extra forcontingencies will not hurt.
y How long do you need it for? Be prepared to go into detail about what the money will dofor you and why your business is a good risk.
y What are you going to do for it? Businesses use loans for three things: to buy new assets,
pay off old debts, or pay for operating expenses.y When and how you will repay for it? Your cash flow projections should provide a
repayment time frame. Convince the banker of the long-term profitability of your
business and your ability to repay the loan by using your financial projections andbusiness plan.
y What will you do if you do not get the loan?
4. Do not take an apologetic and negative attitude. Keep your negativity in check. Present
yourself as an entrepreneur who can and will repay the loan. Boost your image by providing your
loan officer with any promotional materials about your business, such as brochures, ads, articles,
press releases, etc.
5. Dress in a professional manner for the interview. This is a business transaction, so treat it as
such.
6. Do not stretch the truth in your loan application.Broad, unsubstantiated statements should be
avoided. The lender can easily check many of the facts on your application. If you cannot
support statements with solid data, then don't make them. Do your homework and spend time
doing research to be able to support everything you say, including every single number in your
projections. It is best to keep projections, assets lists and collateral statements on the
conservative side.
Steps for taking Financial Loan:
1. Financial Report
2. Financial Documents like balance sheets, etc.
3. Cash Flow Statements
4.
Income Tax Returns
5. Guarantors List
6. Copy of Agreements with seller OR suppliers, if any
7. Proforma Invoice
8. Copy of bank statement OR Passbook
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9.COSTS
9.1 Place
y
Place:- Karjat
y Area:- 3 acres
y Rate per acre= ` 30 lakhs
y Total land cost:- `30*3= `90 lakhs
y Land tax/yr= 10%= `9 lakhs
Contruction Cost
Contruction cost of our plant is about ` 2.25 crore.
Model of Our Company
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9.2 Manpower
Total Manpower required in our company is of 330 people consisting of:-
Skill No. Labourers Pay/Month in ` Pay/Year in `
Unskilled 50 2000 0.12 crore
Semi-Skilled 125 8000 1.20 crores
Skilled 75 12000 1.08 crores
White Collar 80 20000 1.92 crores
Total 330 - 4.32 crores
TOTAL Manpower cost/yr= ` 4.32 crores
9.3 Utilities
Electricity- 10 lakhs/mnth= `1.2 crore/yr.
Water- 2.5 lakhs/mnth= ` 30 lakhs/yr.
Working Capital- `15 crores.
Components- ` 40 crores.
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9.4 Machines Required
1. Hitachi ND-6121
2. Fuji CP-743e
3.
U wave solder.
4. Hellar1900EXL, etc
9.5 Machinery costs
1. Drilling machine
This machine is used for drilling the PCB which is the intial stage of manufacturing of the
motherboard.
Cost per machine is Rs. 75 lakhs
Quantity- such 8 machine will be required to fullfil our need of producing 1 lakh motherboard
per year.
Other specifications:-
Model no. Hitachi ND-6121
Vintage:-2000
2. Laminating & Copper plating
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This machine is used for coating the pcb with the copper layer n laminating it with some special
material which is done with the help of this machine
Cost:- Rs. 70 Lakhs per machine
Quantity:- Such 10 Machines will be required.
3. Etching Machine
This machine is used for etching the Pcb in order to form the ckt on the copper clad pcb n
remove the unwanted copper. There are two methods of etching out of which one is used
here...
Costs:- Rs. 15 lakhs per machine
Quantity:- Such 5 machines will be required in our factory.
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4. Placing the components
This machine is used for placing the SMD components onto the PCB. The reels consists of
various components. The machine consists of an arm which takes 1 component n then places
it on the PCB.
This machine works on various programs.
Model no:- Fuji CP-743e
Costs:- Rs.47 lakhs per machine
Quantity:- such 20 machines will be required in our factory..
SMT section in Factory
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5. Wave soldering machine
This Machine is used for soldering the components which were placed on the Pcb earlier.
This machine uses wave soldering technique which is superior as compared to dip soldering
or manual soldering.
Model No:- U wave solder.
Costs:- Rs. 50 lakhs
Quantity:- such 15 machine will be required to solder such large amount of PCBs.
6. Reflow oven machine
After soldering the PCB is passed through the reflow oven machine which gives a blast of
hot air to place everything in place.
Model no:- Hellar1900EXL
Costs:- Rs. 3 lakhs per machine
Quantity:- such 5 machines will be required.
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10. TAXATION
India has a well developed tax structure. The power to levy taxes and duties is distributed among
the three tiers of Government, in accordance with the provisions of the Indian Constitution. The
main taxes/duties that the Union Government is empowered to levy are:- Income Tax (except tax
on agricultural income, which the State Governments can levy), Customs duties, Central Excise
and Sales Tax and Service Tax. The principal taxes levied by the State Governments are:- Sales
Tax (tax on intra-State sale of goods), Stamp Duty (duty on transfer of property), State Excise
(duty on manufacture of alcohol), Land Revenue (levy on land used for agricultural/non-
agricultural purposes), Duty on Entertainment and Tax on Professions & Callings. The Local
Bodies are empowered to levy tax on properties (buildings, etc.), Octroi (tax on entry of goods
for use/consumption within areas of the Local Bodies), Tax on Markets and Tax/User Charges
for utilities like water supply, drainage, etc.
Excise duty
Central Excise duty is an indirect tax levied on those goods which are manufactured in India and
are meant for home consumption.
The excise duty is calculated according to the Central Excise Tariff Act, 1985 which indicates
the excise which needs to be paid on each n every product.
According to act our company needs to pay 10.30% excise duty on our total turnover i.e 10.30%
of `90 crores = `9.27 crores/yr
Minimum Alternative Tax (MAT)
A company is liable to pay tax on the income computed according to the provisions of the
Income Tax Act, but the profit and loss account of the company is prepared as per provisions of
the Companies Act.
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It is not applicable to us.
Dividend Distribution Tax (DDT) or Tax on Distributed Profits of domestic companies
Under Section 115-O of the Income Tax Act, any amount declared, distributed or paid by adomestic company by way of dividend shall be chargeable to dividend tax. Only a domestic
company (not a foreign company) is liable for the tax. Applicable as per profit of each year.
Wealth Tax on Companies
Wealth tax is a direct tax, which is charged on the 'net wealth' of the 'assessee' under theWealth
Tax Act. All companies (public or private) are liable to wealth-tax if their taxable 'net wealth'
exceeds the prescribed limits. All the companies have thus been brought at par with other wealth-
tax assesses.
Not applicable to us.
Income tax
Company whether Indian or foreign is liable to taxation, under the Income Tax Act,1961.
Ascertain the 'total income' of the company by aggregating incomes falling under following
head:- Profits and Gains of Business or Profession. To the total income so obtained, 'current and
brought forward losses' should be adjusted for set off in subsequent assessment years to arrive at
the gross total Income. Thus the total income so computed is the 'gross total income'.
First yr profit expected for sale of 3.75 lakh units is `26.05 crores with total turnover of `90
crores & Income tax payable at the rate of 33% is equal to `8.60 crores.
y
Total turnover =`
90 croresy Manufacturing cost = `63.95 crores
y Profit = `26.05 crores
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11. WHY SHOULD YOU PREFERACE TECHNOLOGIES....????
PCs with Ace Desktop Boards and Ace processors deliver more of the benefits of a trusted brand, including industry-leading product quality, outstanding service and long-term system
reliability.
Price :
Our company provides boards at the best possible price in the market with a variety of
motherboards which can be selected according to the requirements of the user.
Ace 945 board : Offers good performance through high-bandwidth dual-channel DDR2 memory,1066/800 MHz system bus, PCI Express* x16 graphics port and PCI Express* x1 I/O ports,
Serial ATA 3.0 Gbps and Hi-Speed USB 2.0 connectivity
o Ace motherboards (Our)Price `2400.
o Apteck industries : `2500
o Cuba technicals : `2550
o Intel motherboards :`3500
o Hitachi boards n drives : `2750.
Features :
Offers better memory performance, responsiveness, power efficiency and data protection, the
Ace P965 Express Chipset allows your PC to be the center of home computing.
Built