VIDEO PRODUCTION AND FILMING BUSINESS IN UGANDA

Introduction

The moving images have almost replaced the conventional still photographs with people opting for films of social gatherings, religious, political and marriage functions, etc. The technological advancement has brought the video close to people, which has led to tremendous growth of video studios centers even in small towns and villages. The project cost isUS$199,632 and estimated annual revenue is US$ 468,000.

 

Production Process, Capacity and Technology

The operating process involves simple steps. However, much depends upon the skill and acumen of the person handling the camera. Equipment; Video Recording Equipment is bought and put in place. Trained and specialized cameramen take the positions of manning this equipment. It is not easily quantifiable as this depends on a number of factors including the quality of the recordings being given out, the charges, etc

 

Capital Investment Requirement in US $

Item Units Qty Price TC
VHS/SVHS Video camera No 1 600 600
Lighting No 2 200 400
External microphones No 2 80 160
Computers No 1 500 500
Computer soft ware No 1 40 40
Labeling machine No 1 300 300
Item Units Qty Price TC
Camera accessories No 1 200 200
CD burning and recording deck No 1 150 150
Editing Gadgets No 1 250 250
Other Equipment No 1 400 400
TC of tools & Equipment 3,000

1. Production costs assume 312 days per year with daily capacity of 2 video coverage.
2. Depreciation (fixed asset write off) assumes 4 year life of assets written off at 25% per year for all assets.
3. Direct costs include: materials, supplies and all other costs incurred to produce the product.
4. A production month is 26 work days
5. Currency used is US Dollars.

 

Production and Operation costs in US $

Direct Materials, Supplies and costs

Cost Item Units @ Qty/ day Pdn cost/ day Pdn cost/ month Pdn cost/ year
Direct Costs
VHS/SVHS Video tapes No 12 24 288 7,488 89,856
VHS/SVHS Video CDs No 10 0.2 2 52 624
Batteries No 4 0.5 2 52 624
Chemicals solutions for developing Liters 50 1 2 7,644 91,728
Subtotal 294 15236 182832
General Costs (Overheads
Labour 27 700 8,400
Selling & distribution 8 200 2,400
Utilities (Water, power) 4 100 1,200
Rent 4 100 1,200
Miscellaneous expenses 8 200 2,400
Depreciation 4 100 1,200
Subtotal 54 1400 16800
Total Operating Costs 63616, 199,632

 

Project product costs and Price Structure in $

Item Qty/ day Qty/ year @ Pdn cost/yr UPx TR
Videos, Films, Movies etc 5 1560 150 234,000 300 468,000

 

Profitability Analysis in US $

Profitability Item Per day Per month Per year
Revenue 1500 39,000 468,000
Less: Production and operating costs 640 16,636 199,632
Profit 860 22,364 268,368

 

Market

The use of electronic media has created a favorable climate for filming of all programmes and events among all sections of people in the society. This can be done to generate higher incomes even in rural areas. Advertising is needed for this project to quickly pick up demand.

Suppliers of Equipment

The equipment is available on the Ugandan markets, Photogenic can provide it.

Government Incentives

Start up costs 25% granted on actual cost over the first four years in four equal installments.

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