Example Business-plan for production of polymer-sand plates for closing cables

All calculations are shown as an example. Data are relevant to the January 1, 2016 for the Republic of Udmurtia. All prices are without VAT. For calculation the simplified system of taxation is taken.

REFERENCE DATA

Material characteristics:

• size 240х480х12 mm
• plate weight - 1.25 kg.
• number of pieces in one m² - 8.7 plates
• weight of 1m² - 10.9 kg.

Line for production of polymer-sand plates consists of:

• Crusher
• Mixer
• HMU - heating-and-melting unit (extruder)
• Scales
• "Warning plate 24*48" two-places Mold
• Press

Main settings.

Work is carried out in two shifts of 12 hours shift. Productivity of one press mold is of 11.5 m² per hour. Thus, per day the line produces 276 m² of finished products.

INITIAL INVESTMENT

The complete costs of the equipment set, including the cost of commissioning "turnkey" is: 2 552 280.00 rubles excluding VAT.

- Crusher for plastic may not be necessary when you use ready-made primary or secondary polymers, but it will lead to higher prices for the product cost;

- Mixer can be replaced with cement-mixer, but with the loss of productivity.

WAGES FUND

To use the site only three people are enough - manager (25 000 rubles), HMU operator (20 000 rubles), laborer (20 000 rubles). Wages fund is of 65,000 rubles per month for a single shift and 130 000 rubles. at the rate of 2 shifts.

The volume of finished products per month 276 sq.m х 30 days = 8 280 sq.m.

Wages fund per month is 130 000 rub. : 8 280 sq.m. = cost of wages per 1m² is of 15.7 rubles.

UST - 30%, giving 4.71 rubles per 1 m² in the price of finished products.

REQUIRED PRODUCTION AREAS

To accommodate the equipment and raw materials storage areas and products you need to provide about 100 m² of production space and 100 m² for warehouse (it may be outdoors). Industrial premises need not be heated, heating occurs due to heat generation by the equipment. Finished products are stored in the shop, and then moved to the warehouse.

When the rental rate is of 100 rubles per sq.m. then rental cost of production areas will not exceed 10 000 rubles. Thus the rental cost per 1m² of items is of 1.21 rubles.

COST OF ENERGY AND MATERIALS

Raw materials for production of tiles:

• Polymer granules or flakes
• Sand for construction
• Pigment dyeing

Composition of the polymer-sand mixture:

• 75% - sand,
• 0.42% - pigments,
• 24.58% - polymer (one ton includes 245.5 kg of polymer).

The average price for Russia:

• sand – 0.32 rub/kg,
• pigment – 80 rub/kg,
• polymer – 18 rub/kg,

Total cost of raw material (polymer+ sand + pigment) per ton is 5000 rubles. Thus the raw material cost per 1m² of plates is of 54.5 rubles. 6.3 rub. per one plate.

POWER CONSUMPTION per shift

• Crusher of 300 kg/h capacity consumes 22 kW/h. For production of a mixture in an amount of 1600 kg you need 393.3 kg of polymer. To make it the crusher will work for 1.3 hour and consume energy of 28.6 kW.
• HMU - 29 kW/h while heating, while working around the clock with heated HMU consumption reduces 4 times, i.e.: 7.25 kW х 24 hours = 174 kW/day
• Press – 5.5 kW/h. When molding the product the press program is designed for consumption of electrical energy in the lifting and lowering operation of the upper punch, while molding the electrical energy is not consumed. Running time of the slider is 35 seconds. During the day 1000 times x 35 seconds = 35,000 s. = 583,3 min. = 9.7 hours of press operation
• Consumption of 53.35 kW per day.
• Mixer - 5.5 kW/hour, 1 batch - 3 min. Stirs 0.5 tons per one operation of mixing. During shift it produces 1.6 tonnes of mixture for 2000 plates. During the day 9.6 min. Power consumption 0.8 kW.
• Lighting - 12 kW/h

Total energy consumption per day is of 269.05 kW/day, shift of 12 hours takes 134.53 kW.

Cost of electricity for 1 kW/h - 4.03 rubles. Thus, the cost of electricity is 542.16 rub. for 12 hours when producing 1000 pieces of plates. Cost per 1 plate will be 54 kopecks.

Depreciation of equipment is set on their own.

Prime cost of 1 m² of PCC.

FINAL CALCULATIONS

Net profit for the day 72,933 rubles. Gross revenue per day 366 rub.х 276 sq.m.= = 101 016 rub. Net income / Gross Revenue x 100 Return is 73.5 %

One km of the route requires 8333 pieces of bricks with total weight of 31 tons, or 2083 pieces plate for closing cable 24 * 48 weighing 3 tons.

1 semi-truck of PCC replaces 10 semi-trucks of bricks !!!

No.	Description	Plate CC	Brick
1	Size	24 сm х 48 сm (plate CC in size replaces 4 bricks)	24 сm х 12 сm
2	Packaging on 1 pallet	664 ea/ 10 pieces in a bundle	300 ea
3	Weight of 1 pallet	830 kg (1 – 1.25 kg)	1110 kg(1 ea – 3.7 kg)
4	When scrap free falls from a height of 1.5 m. The pointed part creates	dent	Pricked into many pieces
5	Aggressive environmental impact	Not subjected	Gradual destruction
6	Destruction under impact of soil and moisture	50 years	2 years
7	Re-use	possible	not possible

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To get an explanation to the business plan for the production of plates closing cables, please call: 8(800)700-01-04.