This business idea is for production and marketing of carbon paper. Carbon paper is paper coated on one side with a layer of a loosely bound dry ink or pigmented coating, usually bound with wax. It is used for making one or more copies simultaneously with the creation of an original document. The total investment requirement is USD1,620 with an operational cost of USD428,157 per year, with TRs estimated at US$ 561,600 per year and production capacity estimated at 4 cartons per day, each carton with 100 pieces.
The process involves preparation of coating mix, coating on the paper surface, and cutting it into sizes for the market.
Capital investment in US$
|Capital investment item||Units||Qty||@||Amount|
|Paper cutting machine||No||1||100||100|
|Total cost on machinery||1,620|
Production and operating costs in US$
|Cost Item||Units||@||Qty/ day||Pdn cost/ day||Pdn cost/ month||Pdn cost/yr|
|Dyes and waxes||Ltrs||4.5||10||45||1,170||14,040|
|Utilities(water and power)||35||420|
|Depreciation(Asset write off)Expenses)||34||405|
|Total Operating Costs||35,680||428,157|
- Production costs assumed 312 days per year with a daily capacity of 5 cartons carbon papers
- Depreciation (fixed assets write off) assumes 4 years life of assets written off at 25% per year for all assets
- Direct costs include materials, supplies and other costs that directly go into production of the product.
Project Product costs and Price structures
|Item||Qty/ day||Qty/yr||@||Pdn cost /yr||UPx||TR|
|Profitability Item||Per day||Per month||Per Year|
|Less production and operating Costs||1,372||35,680||428,157|
Carbon papers have a steady market. Carbon papers are used in banks, offices, micro-finance institutions, educational institutions therefore there is a huge potential for carbon paper.
Sources of Raw Materials and Equipments
Raw materials are locally available and equipments can be imported from China or India.
Government facilities and incentives
Some of these items like chemicals used in this industry are imported tax free.