Welcome in Smile Parks Welcome all in smile Parks Industries Limited: The concept to impact everybody, of any cast, creed or religion. It targets every stratum of the society, every age and gender as this is the destination for every aspiring youth of the nation.The Smile Parks Industries Limited is a concept originated from the vision of introducing entrepreneurship as first choice of every youth from every walk of professional education / training, aiming to replace best salaries in campus interview or a government job only thereafter. To accomplish this purpose, at the first level we are providing well coordinated and facilitated opportunities for various levels of business and a wide range of social entrepreneurship at the next.

We have opportunities for a. YOUTH to get properly trained to be ready for a successful entrepreneurship get a Micro Unit with all required facilities for an assured production and sale process with well certified quality and world class packing of their products.b. Second level of entrepreneurs for putting up and managing the Units facilitating the Micro Units with opportunity to have users at doorsteps.c. Unskilled/ Skilled to professionals to have employment at rural place of their choice where they can earn a handsome livelihood without moving away from their families.d. The consumer, public in general, to have the best products at a reasonable price.e. The society and the nation to grow by remarkable contribution to GDP Gross Domestic Production on one hand and social entrepreneurship on the other. The social entrepreneurship activities in our canvas will keep on adding, starting from:i. Illiteracy Eradicationii. Blood and Eye Donationiii. Monitoring of Development Programsiv. Micro financingv. Formal Educationvi. Professional and Vocational trainingsvii. Preservation of cultural heritageviii. Awareness about the importance and benefits of entrepreneurship Smile Parks Industries Limited cordially invites you to join hands with us for our mission.

We are setting up 25 Industrial Estates of Micro Units for Food and Fruit Processing, on 20Acre of Land in every 3rd district of U.P., Under the Governments Food and Fruit Policy 2012 and with

We are setting up 25 Industrial Estates of Micro Units for Food & Fruit processing, on 20 Acre of Land in every 3rd district of U P, under the U P Government's Food & Fruit Policy 2012 and with the trained Entrepreneurs, by 'NIESBUD' Ministry of MSME Govt of India.

Each Industrial Estate consists of 100 Micro Units, along with the common facilities like, power, tool room, laboratory, printing, packaging, fuel pump, community center, cold storage, ware house, transport, marketing, and all required facilities.

Targets:

Creation of 2500 Entrepreneurs running 2500 Micro Units at 25 newly developed state of art Industrial Hubs, which would generate 5,00,000 new employments in the state of Uttar Pradesh

Facilitating 1000 of Farmers who will be selling their crops (agriculture and horticulture) to middle men for its supply to distant units which is turn would sell the products on door steps at the best price.

Presently, the company has acquired lands for five such industrial estates. The 20 acres per estate has been designed starting from soil testing to detailed engineering of civil, electrical and mechanical parts for micro units. Common units and infrastructural facility.

500 entrepreneurs are also at final stage of taking a move, of which 100 are Engineers and Managers.

Company:

Smile Parks Industries Limited is a company incorporated under Indian Companies Act, 1956 with Corporate Identification Number (CIN) U74900UP2011PTC043750 at Office of Registrar of Companies, Kanpur on25th February 2011. The Company is having its Registered Office at HouseNo. 308/26, Jauhari Mohalla, Chowk, Lucknow - 226003 and Corporate Office at Balaji House, Badshah Nagar, Faizabad Road, Lucknow- 226006. www.smileparks.in

The Main objects of the company are as under:

1.To develop infrastructure for Micro Units and to enhance entrepreneurship among the professionals by training them for tile purpose therefore.2.To establish the industrial estate under joint venture, franchisee or independently at various places across India along with construction, purchase and placement of plant and machinery at site.3.To supervise, control the units for quantities production and provide facilities required by the entrepreneur.4.To market the products of various such industrial estate and also make them available to the company.Aim:

(A)To Groom Youth of India from Micro Entrepreneur to Mega Industrialist.(B)To change the psychology of society towards micro and small units as an option against failure to get employment, In place making them lucrative and help country realize it as a platform for entrepreneur to successfully fly to Mega / Large Industry i.e. making them capable to become industrialist.(C)To achieve its aim company has formulated a scheme of facilitating entrepreneur by eradicating all the problems they face in making "Small and Micro Industry as Lucrative Enterprise"- SMILE.(D)Development of one Industrial Cluster at every district of INDIA.

Process:

The company has four phases of business:1. Training of Entrepreneurship Development2. Setting up of Industrial Cluster3. Supervision and control of Common Facilities 4. Marketing and Sales The two phases, in fact, are sequential as the professionals trained by us will be the owners of MICRO UNITS established in the Industrial cluster, but the plan of each is to be taken up separately.

Training of Entrepreneurship:

The Government of India under its Ministry of Micro, Small and Medium Enterprise (MSME) has established Department of Development Commissioner of MSME, http://dcmsme.gov.in/, which is an attached office of the Ministry of MSME, and is the apex bodies to advice coordinate and formulate policies and programmers for the development and promotion of the MSME Sector. The office also maintains liaison with Central Ministries and other Central/State Government agencies, organizations and financial institutions.

The Office of the Development Commissioner MSME is having two national level Institutes for various short term and long term training in entrepreneurship development. The institutes are:1. Entrepreneurship Development Institute of Indiahttp://www.ediindia.org2. National Institute of Entrepreneurship and Small BusinessDevelopment http://niesbud.nic.in

The Company has planned to run a special & rigorous training of 120 classes followed by a project and exams under the Entrepreneurship development program in association with these institutes. Each session will have 4 batches of 40 students, totaling 160 students per 2 months.

The training will be covering following major aspects of entrepreneurship: 1. Understanding Entrepreneurship 2. Basics of Factory Management a. Inventory b. Sales c. Marketing d. Accounting e. Taxation f. Importance of cash flow management g. Technical Process of Production h. Tactics ofi.Purchasesii.Manpower Management iii.Negotiations3. Challenges of Entrepreneurshipa. Inter- relationship of all issues of production - maintenance and salesb. Financial Liabilities management - relation with growth4. Preparation of Project Report- analysis there off (How & Why)5.Understanding the schemes of government for MICRO UNITS -reasons and benefits6.Methodology of converting a dream into plan and a plan to be implemented7.Business Associations-Why, Who, and How?8.Conversion of a Micro entrepreneur into a Mega Industrialist.

Setting up of Industrial Cluster:

The Trained aspirants of entrepreneurship are now ready to take off to their destination, looking forward to contribute in National Development, through

Every achieved level of their life, as Micro Unit Owner to Mega Industrialist.

The requirement is to obtain in to a MICRO UNIT which must be defect free, well served and having all requisites of producing quality goods at International level. Hence is the requirement of a well developed and properly facilitated Cluster of Units. Each Micro Unit will be of 3000 Sq ft for Plant containing the space value Machinery and raw materials storage.

Each unit will be having a proposed outlay as underItem Cost Margin by Aspirant Finance

Registration & Training 0.510.51__

Land4.004.00__

Plant & Machinery25.003.7521.25_

Building 20.003.0017.00_

Working Capital15.002.2512.75_

Total64.5113.5151.00_

The Profiles of each all units is prepared separately under the section "Project Profile of Proposed Micro Units" and the provision of feasibility report, for establishing the Common Units.(A) Tool Room(B) Water

(C) Laboratory(D) Electricity

(E) Packing & Printing Unit(F) Drainage

(G) Power backup(H) Transportation - inward / outward

(I) Storage of finished goods(I) Storage of finished goods

(K) Office facilities(L) Diesel/Gas/Petrol Pumps for captive use

The Proposed Industrial Cluster will incorporate various types of Food and Fruit processing units numbering 100 with the common facilities including:

The Cost estimation of the above facilities is detailed under the section "Creation of Common facilities for group of Entrepreneurs _ "Cluster Development Scheme",

A real micro unit will be awarded to all the qualified aspirants along with their certificate of passing the training of Entrepreneurship.

Supervision and control of Common Facilities:

The real benefit, to the Micro Units holders. Is the additional provision of Common facilities. Some of them are available in number of other Industrial Estates but Tool Room, Laboratory, Printing Packing Unit, Office with Administrative Club and Finished Goods Storage area are exclusive features of this proposal.

Among these Tool Room, Laboratory and Printing and Packaging Units will be established and run by the company on cost + fix profit based on usage time basis for use by the Micro Units.

All other common facilities will also to be controlled by the company, for which company will be charging maintenance fee from the entrepreneurs on actual + 20%, being 1.20% per unit. The 0.20% per unit, accumulating 20% of maintenance charges will be kept for reserves.

The Company may place a Franchisee for each such cluster to facilitate simultaneous development of multiple projects, to keep on creating opportunities for the aspirants trained by the company, under their Entrepreneurship Training Program.

A separate feasibility report, for establishing the Tool Room, Laboratory and Printing Packing and Packaging Units, is prepared and forming part of this report.

However, for creating interest and being assured of participation of Micro Units a model of common ownership is devised by the company, which assumes a franchisee being involved in the project. The Model will share profit among Company, Franchisee and Entrepreneurs as per following contribution and share basis:

1.The Franchisee will contribute a land area of 10 acres at a 22 feet road, within a distance of 5-8 kilometers from national/ state highway and amount of Rupee one crore. The franchisee will own 25% shares of the Cluster.2.Each Entrepreneur will contribute, Rupees Three Lacs and will own 0.5% shares of the cluster. Hence 100 entrepreneurs will contribute a total sum of Rupees three crores and will own 25% shares.

3.The rest of the margin requirement will be contributed by the company and it will own 25% shares.4.Here is to mention that cost of all other infrastructural facilities will be the part of cost of the land and building of the MICRO UNITS.

Marketing and Sales:

The foremost requirement of any manufacturer and hence the major responsibility for this company is to market and sale the products of the units.

The Marketinq:

The success of marketing is controlled by factors starting from selection of product to after sales service. The Company has taken care of all the areas related therein and has conducted wide - spread and penetrated surveys to conclude the product selection.The conclusions on the various issues are as under:Issue: Which should be the products of the Micro Units in Cluster?Conclusion: The food and fruit based industry is the best option for the State of Uttar Pradesh for following reasons:1.The raw material availability is ample, easily available and at a price lower than the national average price.2.The MNCs and big companies has somehow kept away from putting their units in this state . Properly packed and certified processed food products are normally being supplied from other states from an average distance of 500 kin.3.The facilities being created in the cluster of 100 units, will help in the production of Rs. 100 crore salable products and this will raise the budget up to Rs. 3.00 crores which will be available for publicity. We can expect good results in marketing by this budget.4.The facilities being created are of supreme nature, hence no threat to quality and quantity of the products is evitable.Issue: What will be the marketing strategy?Conclusion: Based on surveys and observations following outline of strategy has been adopted:

The concept of common marketing will help here as it will substantially reduce the cost of marketing per product

The Tools will be:

1. Publicity

2. Network Development

3. Brand Development

4. Retail Outlet Development

Targets are:1. Brand Awareness.2. Purchase Contracts.3. Dealer Creation.4. Retail Point Creation

Plan of Marketing

Organization: Smile Parks Industries Limited, Lucknow

Status: Marketing and Sales agent of 100 micro units located at various district of U.P.

Products: Food and Fruit Processed Items

Quality: International norms being adopted with Lab approved by competent authority.

Packing: Shapes of food grade Plastic, 3 to 7 layered Laminates, card board, hard board and corrugated board as per need of the product and market

Quantity: An average of Rs. 150 Crores to Rs. 225 Crores per Year Rs. 15 Crores per Month

Marketing Budget:

1.Pre Product Launch: 3% of Annual sales target i.e. Rs. 5.40 Crores before two months of Launch

2. Recurring: 5% of Monthly sales target i.e. Rs. 75 LacsTarget Market: Entire Uttar Pradesh with particular focus on 15 districts adjoining Lucknow.

Sales Networks

1. Traditional Retail marketing system - Distributor - Dealer - Retailer2. Bulk Purchaser- Retail store chains and hotels (With caption of specially packed for .......)3. Associations with Gandhi Ashrams and stores of state government like Karamchari Kalyan Nigam

Preamble:

In the direction of Industrialization of State of Uttar Pradesh, there is a fortunate creation of the company by way of motivating hundreds of professionally qualified youths to take up Entrepreneurship as their career option. The company, for this purpose has designed a plan for training the incumbent on the issue, in association with National Institute of Entrepreneurship and Small Business Development, an institute of Ministry of MSME. The Government of India is providing them a fully ready industrial unit of Food and Fruit processing along with state of the art infrastructural facilities and Common Facilities like Tool Room, Power Backup, Laboratory, Packaging etc. to be used by the unit on job work basis. Hence the company has ensured hassle free production with the entrepreneur having well packed and quality tested products in hand.The company has worked on the issue for two reasons;a. Serving Social cause - to the extent of foreseeing large number of second level entrepreneur coming out from these youths, hence starting real industrialization of the state along with creating employment opportunities.

b. Serving Commercial cause - Getting "Marketing and Sales Agency" of the products of around Rs. 200 Crores which otherwise requires ail initial investment of at least Rs. 30 Crores, without brand identification.

Products:

Food and Fruit Processed Items with a large range in three Variants of1.Potato, Tomato, Banana, Pea etc. resulting in to Chips, sev, bhujia and other snacks

2.Apple, Guava, Orange, Pineapple, Amla (Myrobalan), Mango, Papaya, conversion in to pulp to Juice, Jam, Jelly and Shapes (Liquid Line)

3.Grains and Flours of Wheat, Gram, Pulses, Rice and fiber rich grains, layering and taste making (Straight Line)

100 Micro units put together, with capital cost of Rs. 60 Crores[60 lakh each] , and with Common Facilities of Rs. 24 Crores will involve Rs. 84 crores for creation of a Micro Unit with complete production facilities. The three lines of Processing will be capable of producing "n' number of items depending on season, market demand and imagination of the entrepreneurs. Each Unit will be having 2 lines of processing either "Solid Line and Straight Line" or "Liquid line and Straight line".

The variation of the product is possible by way of Raw material on the one hand, processing steps on the other and by changing packaging on other.

Every Micro Unit is capable of producing multiple products, however every unit will be given appropriate and similar production target on weekly basis, with price quotes on fortnightly basis.

Quality:

A centralized laboratory is being established as per the norms of the quality certifying agencies, ensuring International norms being adopted. Few private, large purchasers like Wal-Mart, Spencers, Big bazaar, many more from India and abroad are in touch. They will be counter certifying the lab for' their purposes, ensuring long term relationship with bulk purchasers.

Packing:

The injection molding, with lamination laminate of 3 to 7 layers will make the Micro Unit capable of producing various Sizes and Shapes of food grade plastic. Poly firm, thermal zinc foil, card board, hard board and corrugated board packing facilities will fulfill primary, secondary and tertiary packing requirements as per need of the product and market

Quantity:

The quantity available annually would be around an average of Rs. 150 Crores to Rs. 225 Crores per year, i.e. Rs. 15 Crores per north at the minimum The capital expenditure on Micro Unit of Rs. 60 Lacs, will make them capable of producing Rs. 180 Lacs goods which will be attracting another value addition of Rs. 72 laces by virtue of using common facilities. if we take the thumb rule of asset - turnover ratio of 1:3.

Marketing Budget:

As per market conditions the mega players of the sector are spending 10 to 15% of their gross sales on the marketing of the products. We find following budget to be sufficient to make us sell our products.

Pre Product Launch: 3% of Annual sales target i.e. Rs. 5.40 Crores prior two months of Launch

Recurring: 5% of Monthly sales target i.e. Rs. 75 Lacs

Target Market:We are targeting Entire Uttar Pradesh with focus on 15 districts adjoining Lucknow as per our inland market along with far-east countries from Hong Kong to Malaysia as export possibilities. Presently for this purposes a small input of Rs. 50 lacs per day to the market of more than Rs. 250 Crores across UP and Rs. 50 crores only in adjoining 15 districts is not a very competitive preposition, but to succeed in market the Organization will opt One hand and will be using print and visual media on other hand for our publicity, across Uttar Pradesh. However, events, hoardings as well as displays by various methods will be across 15 adjoining9 districts. We will be creating our sales network also within this periphery.

Sales Networks:1. Traditional Retail marketing system - Distributor - Dealer - Retailer

2.Bulk Purchaser Retail store chains and hotels (With caption of specially packed for .......)

3.Associations with Gandhi Ashrams and stores of state government like Karmachari Kalyan Nigam

SWOT Analysis:

The opportunity of the organization is best evaluated by the "SWOT" which is briefly presented hereunder:

Strengths:1.The present market is growing at the rate 15% per year; the mere contribution of less than 0.5% market share will attract least competition.

2.The present players are located at more than 500 kilometer distance from the state hence we are benefitted bya. Our transportation cost being 10% of our competitors b. Our inventory in transportation being 10% of theirs c. We will reaching to our customer "better fresh and unbroken"3.The strength of our organization is its suppliers who are professionally qualified and properly trained youths and Hence, they are expected to handle the production for smooth and quality supply with proper respectful understanding of banking. This will help in being able to maintain quality and quantity along with continuity of supplies.Explanation: The strengths are inbuilt and availing so needs no special efforts.

Weakness:1. The brand support is not available, as we are a new companyExplanation: The budget for pre - launch publicity is sufficient to serve the purposed we are capable of compensating the weakness by virtue of we being a large group of stake holders with personal presence in market.

Opportunities/Attributes:The producers i.e. the owners of the are Micro Units of Food and Fruit Processing are eligible to avail following concessions which are net available to any of our competitorsa.Minimum load charges on connection of electricityb.Mandi free on procurement of raw materialc.Trade Tax and Vatd.Excise dutye.Cost of capital invested (interest subsidies etc.)f.Subsidy of cost of Plant and Machineryg.Grant on Common facilities

Explanation: The strengths are inbuilt and availing so they need no special efforts.

Threats:No threats are possible to the preposition, other than unforeseen ones

The Sales:The Sales management if followed by a proper marketing de not needs any tactical skill, but yet a professional and a well designed plan is must to achieve hassle free and cost effective sales.The Sales Plan has been prepared keeping important issues in mind, tile issues being:

1. Production Management by the MICRO UNIT2. Testing3. Production of Packaging Material with printing4. Packing5. Finished goods with Inventory management6. Coordination with orders 7. Supply-transport 8. Payments

We have realized the fact that being a group of 100 units we will be requiring our own fleet of vehicles for smooth sales.

Purchase GuaranteeThe purchase guarantee is to be achieved through common brand development and marketing, we being pioneer in manufacturing well packaged, quality certified products in U.P.

It seems easy and possible for bulk purchasers as it insures smooth supply of their inventory without cost involvement on their part. The proximity of tile supplier and purchaser with multiplicity of the items reduces the size of inventory and cost of transport,

Statuaries/Associations &Sanctions:a) Formation of Company Yb) PAN Yc) Bank A/c Yd) TANe) TINf) Service Taxg) Industrial Entrepreneurship Memorandum Yh) Association with EDP Program Pi) Association with DI / MSME under RGUMY Pj) SIDBI - Sanction to common Units and Umbrella sanction for all unitsk) KVIC- Umbrella clearance of subsidy to Micro Unitsl) MSME- Sanction of Subsidy to Common Unitsm) Patent.

CIN:Company Identification Number U74900UP2011PTC043750

PAN: Permanent Account Number AAHCM1990R

IEM: 2413 & 241 to191SlAIIMOI201 1

TAN: LKNS11880B TIN: A.F. CST: A.F. SERVICE TAX: A.F.

PROMOTERS1. Mr. M.H Siddiqui The Chairman & Managing Director of the Company, a name from an eminent business house of old Lucknow. Having interest in Diamonds and Precious Gems. 2. Mr. Krishna Murari A Social Activist running Schools from prep to professional trainings. 3. Mr. Vivek Shukla M.Tech IIT Delhi (Civil Engg.)4. Mr. Gyanendra Kumar M. Sc, MBA (Food Processing)5. Mr. Dinesh Chandra Tiwari MBA6. Mr. Arun Kumar B.Tech (Agriculture Engg.)7. Mr. Dhirendra Pratap Singh L.L.B8. Mr. Sangram Singh M.Com9. Mr. Brijesh Singh M.A10. Mr. Hitendra Verma B.Tech11. Mr. Mukesh Chaudhary B.Tech (prod.), IIFT Delhi12. Mr. D.K Rai B.Tech (Mech.), MBA13. Mr. Atul Tripathi MBA14. Mr. S.K Singh Boiler Engineer15. Mr. I.D Singh B.A & B.Sc Graduate16. Mr. Siddharth Singh P.G Finance

Following are the sanctions of the business of the company as per norms of Ministry of Industry, Government of India:

Sheet Main 281.1 Manufacture of Paper bags ySheet 01 281.2 Manufacture of card board boxes ySheet 02 281.3 Manufacture of Corrugated fiber Board Containers y

Sheet03 281.9 Manufactures of Container and Boxes of Paper or Paper Board ySheet04 289.9 Printing and allied activities, not elsewhere classified ySheet05 313.2 Manufacturing of Packaging Products of Plastics ySheet 06 393.2 Repair of Industrial machinery for Food Industries y

Sheet07 393.3 Repair Industrial machinery other than Food and Textile Industry y

Sheet08 506 Construction and Maintenance of Industrial Plants except Hydro - electric projects ySheet 09 893.1 Project Management ySheet 10 893.2 Market Research Services ySheet 11 893.3 Businesses and Management Consultancy ySheet 12 899.3 Packaging Services y

We Groom Industrialist:

We at Smile Parks Industries Limited are taking a forward move to establish business by setting up of Industrial Estate of Micro Units, with common facilities to cover all possible requirements of the units from training the entrepreneur to marketing of the products manufactured by them.

The situation thus arrived is a land mark in itself but its only a step forward in the direction of our real aim.

Our Real Aim is - Grooming industrialist with following steps:

a.Training the professionals from the fields of Engineering and Management, as Entrepreneur. b. Putting them in Production Management of a Micro- Unit.c.Entrepreneur getting practical experience about the world of Production and Marketing Managements by way of:

I.Running a Micro Unit

ii.Paying off the loans

Iii. Being a stake holder in common units Of Small scale

iv. Being a party for Marketing and Salesd. We believe that such well facilitated units will pay off the debts within 5 years of commencement of their production, the entrepreneur will be having an asset base of Rs. 1.5 Crores, at that point of time with liquidity of Rs. 1 Crores at the minimum. e. then will be the time for them they are to move to medium scale enterprise

f..Repeating the same cycle in another 6 to 7 years will yield a capacity to go for a mega enterprise, using venture capital and public issue route.

The entrepreneur, to have average age of 30 years at present will be putting a medium enterprise at an age of 36 and finally a Mega Industry at the age of 43. The 45th Year of life of this professional is to commence with a platform capable of making him a real INDUSTRIALIST, properly groomed to contribute to national growth.

We have pledged to our nation, with commitment of producing 50 such properly groomed industrialist every year, starting from the year 2014.

Thanks to various policies and agencies of Government of India, we could gather all the requirements for achieving our first step, i.e. putting up of Industrial Estate of well facilitated micro units.

22 Steps of Entrepreneurship:

As published on website of Ministry of Industry, Govt. of India

Introduction:

Having been motivated to become entrepreneur, the next natural question one may now naturally ask is what next. The potential entrepreneurs would become entrepreneurs only when he or she owns an enterprise. One who does not own an enterprise cannot be termed as an entrepreneur the business to be set up can be a manufacturing venture, a trading firm or service establishment. The manufacturing firm will encompass even those steps that are necessary for setting up a trading firm or a service venture.The various steps involved in setting up a business enterprise will be most. complex when it relates to an industrial enterprise. The steps in setting Lip a Small enterprise is:

1. Deciding to enter in business:

This is the most crucial decision a prospective entrepreneur has to take. The person should decide whether to take salary based on employment or opt for self employment/entrepreneurship.

2. Analyzing strengths/Weaknesses:Having decided to become an entrepreneur, one has to analyze his/her strengths/weaknesses. This will enable him/her to know what type of and size of business would be most suitable. This will vary from person to person

3. Training:

Quite possibly the above analysis may reveal deficiencies which are required to be made up, through training. Such training could be:

1. 1 .Developing skills and change attitude towards work by Entrepreneurship and Business Management Training skills2. Developing Technical work skills for proposed product/project

4. Environmental scanning:

It is essential to study the environment in which you shall operate to ensure enterprise success. Get to know the business opportunities and threats in the environment, this will assist proper project identification and selection.

5. Product Selection:

The next step is deciding what business to venture into is the range of products that should be taken up for manufacture and in what quantity. The level of activity will help in deciding size of business and form of ownership .One could generate number of project ideas through environmental scanning, Short listing a few items, closely examining each of them and zero to final product (s).

6. Market Survey

It is easy to manufacture an item but difficult to sell. So it is prudent to survey the market before embarking upon production and ensure that the product chosen is in sufficient demand to ascertain changes in product design required, determined demand supply lag, extent of competition, potential share of the market, possible pricing and distribution policy etc. The principle is to produce what people demand in a form and quantity that can be easily sold.

7. Form of Ownership

A firm can be constituted as sole proprietorship, partnership, limited company (Public/Private), cooperative society etc. This will depend upon the type, purpose and size of your business. One may decide the form of ownership based on resources in hand.8. Location:The next step will be to decide on the place where the business is to set up, Will it be hired or owned, The size of plot covered, open area and the suitability of site will have to be decided. The enterprise can be located based on the availability of skills, resources, market etc.

9. Technology: Manufacturing a product requires various processes so the information on various types of technology should be collected. This will be very useful in determining the type of machinery and equipment to be used.

10. Machinery and Equipment: Having chosen the technology, the machinery and the equipment required for manufacturing has to be decided. Identification of suppliers and their cost estimation has to be dons.

11. Business Registration:Having known various opportunities, the prospective entrepreneur will have to register his/her business entity by way of filing a memorandum with the designated office for this purpose.

12. Project/Business Report:After deciding on the form of ownership, location, technology for manufacturing, machinery and equipment, one is ready to prepare a feasibility report or one's project report. The economic and technical viability of the project has to be established through project report. This will be useful in obtain financial support from financial institutions/Banks.

13. Finance:An entrepreneur has to follow specified procedures to obtain finance from Financial Institutions/Banks.

14. Technical Knowhow:In quite few cases technical knowhow of the envisaged project/business may be required. This can be arranged through Technology supporting institutions and private consultants

15. Power Connection:The site chosen should have adequate power connection. One call calculate the total power requirement, voltage, [phase- single or three and, determine the18

nearest pole from which power will be given, as it can materially determine installation cost.

16. Installation of Machinery:Having arranged for finance, work-shed, power etc., the next step is to procure the machinery and begin its installation. This should be preferred as per plant layout.

17. Recruitment of Manpower:Once machines are installed manpower will be required to run them. So tile quantum and type (skilled, semi skilled, unskilled, administrative) of tile labor has to be determined, source of getting desired labor has to be identified for effective recruitment.

18. Raw materials:The labour requires raw materials to work upon the installed machines which maybe available locally or outside. Systematic arrangement must be done to ensure constant supply of raw material to the enterprise.

19. Production:There should be no wastage of manpower, materials or machine capacity installed.

Production of the proposed items should be taken up in two stages:a) Trial Productionb) Commercial Production

Trial Production will help in tackling of problems confronted in production and test marketing of products. This will reduce the chances of losses, eventuality of mistakes in project/business conception. Commercial production should start after successful trial production.

20. Marketing:Having produced the products/services, the stage comes to sell it. The entrepreneur should consider various aspects on how to reach customers, distribution channels/commission structure, pricing advertising/publicity etc.

21. Marketing Research:Once the products have reached market, periodic market research should continuously be done to collect information from customers using the products. This will help the firm to change the design, taste and make necessary diversification that appeal customer's need and demand.

22. Monitoring:

The prospective entrepreneur should make a periodic monitoring of all components of the business to ensure proper growth and take immediate measures in case of any dwindling in sales, profitability for taking possible corrective measures.

Case Study: Reasons for slow growth and failure of Micro Industry in INDIA

The attention of the author of this case study has been in to as an Industrial Consultant since 1992. During these years (19 years), he has rendered services to around 50 large scale, Small and Medium scale industries.

Recently he has witnessed few MICRO Units who wanted to have his help but were not capable of affording the expenses involved there in. The author was extremely surprised to know that the owners were normally in trouble and were not capable of paying their debts despite of being best of their efforts.

The entrepreneurs were looking for some way of procuring further loan to pay off their debts, especially private ones and restart to earn their lively hood by some other business. They were not ready for rehabilitation of their unit and restart of their business, as they were sure that present scenario in India cannot ALLOW a MICRO Unit to survive.

Not believing a failed Individual is one of the habit of author, but number of persons and their firmness in decision of not re-looking the same business despite of authors help. The required basis made author rethink his habit and go for an investigation.

The investigation started from meeting as many entrepreneurs of the MICRO Units as possible, under various categories: from Food Products to Artisans, Engineering Graduates to illiterates, belonging from real weaker class, rural area to those from creamy layer of the society. The conclusion could be drawn, but the thoughts of author were overlapped by the poor condition of the entrepreneurs. But this interaction could lead to second stop of investigation "The Subsidy"

"Subsidy", The National Service by the political rulers of democratic India, was studied in detail by the author and he could not understand the purpose of subsidy. He utterly failed in understanding the reason of LOCK - IN -PERIOD for the subsidy, which was three years, only if unit is successfully running. This, he could take as a reward for 'success' but would not help in establishing a business or operating it, saving the unit from trouble - not even closure.

Author thought that it must be having some psychological factors but the resource to know these could not be found - but The author could gather another surprise from most of the officials in the serving agency of Governments of Centre as well as state "the subsidy. It is in fact a way for KHANA PEENA, it may not serve purpose but it attracts entrepreneurs to the government scheme. Another reason came up, which made some sense to the author, It facilitates financing bank in reducing risk and increasing liquidity and hence making them capable to minimize the margin requirement for the project'.

Reaching to the bank was most sad as the author could not find any bank in for financing of Micro Units as business, but only as fulfillment of quota. In addition the practice of ignoring the small customers and also not allowing a lower margin (as prescribed by the POLICY of INDUSTRIALIZATION of India) was observed.

The Policy observations by the author forced him to land in a very rosy situation, although difficult to access, and tm could conclude as under:

1. Observation A:

Facility: - A Person, if interested to be a entrepreneur of a Micro Unit is free to contact any of the following, in person or through internet, District Industries Center/ Director Industry/ Development Commissioner, Micro Small and Medium Enterprise (MSME) and he will get all the information about: from registration requirements to project profile, and suppliers contacts to market potential. He will also know about various schemes and, subsidies along with process and requirements for financing. b. Difficulty:- Accessing to the information on websites (because of defective designing) and officials in person is so difficult that even an expert and well educated person will lose the enthusiasm for entrepreneurship, before he gets facility of receiving correct and clear information in full.

2. Observation B: a.Facility: - After gathering the right information, aspirant is to get a project report prepared for which all the above government agencies are available. These agencies will assist him to the extent of claiming cost of project report preparation (Rs. 7000) from government of India.

b.Difficulty: - No one looks around to identify him as entrepreneur but everybody finds him out as a burden. If at all, somebody comes on fulfill his duty "SOME HOW" or the aspirant opts to go to some private agency. The project report so prepared is only indicative, it neither has contents about what it should say nor does aspirant understand the real use of it.

3. Observation C: a. Facility: - The Project Report so prepared leads to registrations and makes way to get sanctions from bank, subsidizing agency, Electricity load and Pollution clearance along with allotment of land.

b. Difficulty: - The process takes so much time that cost of machinery and construction goes beyond prescribed escalation limits or some other problem crops up.

4. Observation D:a. Facility: - The sanction converts into disbursement.

b. Difficulty: - Normally with hike in margin money

5. Observation E:

a. Facility: - The Project is implemented.

b. Difficulty: - The delays and quality compromises crush the aspirant, with assisting agencies inspecting and not assisting.

6. Observation F:

a. Facility: - The trial run leads to commercial production and now the unit is ready to manufacture and sales.

b. Difficulty: - Normally, Trial run is missing.

7. Observation G:

a. Facility: - Goods are ready to sale

b. Difficulty: - Where to sell? At what price? Quality Certification? Quantity? packaging? Regularity in supply? Payment terms? Cost of Marketing? Cost of Sales - transport? Taxations? Every question, answered leaves Quality Certification, Packaging Regularity in supply and above all Costs. 8. Observation H:

a. Facility: - The three remnant problems are having solution under "Cluster Development Scheme" of Ministry of Industry, Government of India. The government provides with all guidance and up to 80% subsidy for the common 'facilities required by a cluster.

b. Difficulty: - Where is the group of similar units? Where are the likeminded entrepreneurs? Who will pass through the same cycle of contacting right person to trial run of these common units? Who will fulfill the loss of time and money of entrepreneur till then?

9. Observation G:

a. Facility: - A composite guidance is available with start point.

b. Difficulty: - No aspirant knows it and if somebody comes to know some how, the explanation is not available in a penetrative and easily accessible manner.

10. Conclusive Observation A: a. Facility: -All the things are available in Policies of Government to help MICRO UNITS grow in India and help an entrepreneur become an industrialist.

b. Difficulty: - There is no one responsible for co-coordinating all policies converting it in to an exhaustive plan and in helping to start from zero to finish with hassle free enterprise.

11. Conclusive Observation B:

a. Facility: - There are number of Training Institutes and courses available to help people.

b. Difficulty: - They are neither complete nor penetrating.

Suggestion:

There is a need of creating / identifying some organization, which should plan a composite Industrial Cluster (for Creating New or Upgrading existing) and go in for identifying the specific problems and their solutions. The author has prepared a plan separately from this case study for development of an Industrial Cluster of MICRO UNITS wherein every problem has been solved. The author has devised a process flow for real development of SMEs, the Glimpse of the scheme is enclosed herewith.

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