1.

Discuss the Preparation of a project report.

Answer»

An entrepreneur can get the report prepared by technical consultancy organisations or by auditors or by government agencies. 

The report should include the following:

(i) Technical feasibility: It should contain the description of product, raw materials, quality control measures, water, power and transport. 

(ii) Economic viability: It involves compilation of demand for domestic and export market. 

(iii) Financial viability: It should cover the aspects like: Non-recurring expenses like cost of land, and building. Recurring expenses like wages and salaries. 

(iv) Managerial competency: Entrepreneurs has to include the mechanism for managing the venture in the project report.

(v) Provisional registration certificate: He has to apply for provisional registration certificate. It will be issued after certain conditions for a period of one year. 

(vi) Permanent registration certificate: If the venture has commenced production, or is ready to commence production, it is eligible to get permanent registration certificate.

(vii) Statutory licence: He should obtain Municipal Licence from the authority concerned. 

(viii) Power connection: He has to make application to Assistant Divisional Engineer of Electricity Board for power connection. 

(ix) Arrangement of finance: Entrepreneur requires two types of finance namely Long term and Short term.



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