Project Proposal.docx

AAPKA KABAADI aapki seva mein... SECTION 1 : EXECUTIVE SUMMARY 

AAPKA KABAADI will be

a technology driven company working on IaaS

(Information as a Service) based model for the technology platform to make Smart Waste Management system. Our platform will help to find and map assets that streamline the collection of post-consumer waste, schedule efficient & cost-effective pickups and incorporates them into Recycling/vendor network. 

Our company will be operating in the local areas of Jammu city only for now. It may be expanded in the future period of time.

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AAPKA KABAADI aims at organizing and professionalizing the rag picking business that exists in the form of an unorganized sector and use the business model for better sustainable environment.

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We are planning to make this project accessible for the local consumers who find selling rag a time consuming and a meticulous job.

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Aapka Kabaadi will be a business model requiring a team of 2 to 3 people in the beginning to put the project in motion.

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We collect scrap from Home, apartments, local businesses, offices, shopping malls, schools, hostels , hotels, hospitals & restaurants. Anybody can contact us and we may vary rates for wholesale pickup.

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SECTION 2 : PROJECT BACKGROUND The project which is proposed by us deals with the regular kabaad or in local language we call it "RADDI". Our project is a part of solid waste management initiatives. 'Waste' in a broader perspective includes organic waste or liquid waste; inorganic waste which includes metal, paper, plastic; construction and demolition waste. We will be dealing with inorganic waste.

According to our research, many other ventures have been undertaken before to tackle inorganic waste and make a sustainable and profitable business out of it. One such venture is of Kanpur brothers. The duo worked on the strategy that turned the discarded flowers into other items like incense sticks, items used for havans or sacrificial fire etc. It was named as Help Us Green**.

Toxics Link, a New-Delhi based environmental NGO, classifies waste pickers into four categories: a) Those who carry sacks and collect anything of resale value from open drains and bins; b) the kabadi or bhangar men on bicycles who collect from households and then segregate glass, paper, and bottles from plastics; c) those who ride tricycles and collect almost 50 kg of waste each day and travel long distances to sell them, and finally, d) those who work for scrap dealers. e)

SECTION 3 : PROBLEM STATEMENT  Overview of Problem Statement Rag picking industry as a waste management industry is though well established in India, but still has wide opportunities for young entrepreneurs to enter in this field. Many families are currently earning their livelihood from this industry, but still there are loopholes which can be identified and corrected. (**https://www.firstpost.com/business/helpusgreen-two-kanpur-youngsters-initiative-to-convert-holywaste-to-fragrant-items-2595752.html)

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India produces 62 million tonnes of waste which comprises of 43 million tonnes of solid waste. Sadly, almost 70% of this waste is untreated and dumped at landfill sites. While, the solid waste management rules have made waste segregation for disposal mandatory for every waste generator, it is still far from being implemented. Mostly due to lack of awareness and effective means of alternatives for disposal of dry waste. However, good news is that as urban Indians are evolving fast to keep pace with latest technologies and their services, the waste management sector too, seemed to be gearing up to provide online services to them.

Given that rag-picking is a totally informal sector it is hard to quantify how much waste is collected in this manner, but there are rough indicators: Only 75-80% of the waste generated in India is collected by municipal bodies. And more than 90% of India does not have a proper waste disposal system.

A lot of garbage clearing thus is the done informally, by rag pickers who work without any job security, salary or dignity. Not just that, they are regularly exposed to cuts, infection, respiratory diseases and tuberculosis apart from poverty, humiliation, harassment, and sexual abuse on the streets, as IndiaSpend** investigations found.

 Actual Problem The main problem that exists in the business of rag picking are the loopholes in the industry of waste management right now. The rag picking is a completely informal and unorganized sector wherein the poor and local rag pickers are exploited by the bigger people in the business. there are local collectors, area collectors and then finally city collectors that get into the chain of selling before the kabaad reaches the factory for recycling. Due to the presence of informal structure, it is the households that suffer. The local vendors wander from lane to lane carrying their empty racks in search of kabaad or raddi, which the customers are willing to sell.

**https://archive.indiaspend.com/cover-story/why-ragpickers-unrecognised-and-unpaid-are-critical-forwaste-management-in-india-43164

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For the fast moving world, the problem in this system is that the consumers have to waste a lot of time in searching for such vendors when in need as there is no specific timing of the vendors to arrive. Or they have to get into rate bargains with the vendor about selling prices of the materials regarding which they are completely unaware of.

Technology is being revolutionized and today's business industry, in whatsoever sector, demands the business to have an online portal so that it could flourish and be able to survive the dynamic business environment. The problem is that customers need to be aware about rag pickers around them and the feasibility criteria and only online portals could fulfill this issue.

So, the immediate cause of this problem can be stated as the wide consumer base in Jammu and the insufficiency of the existing informal system to meet the demands in an organized manner.

SECTION 4 : SOLUTION Our project "AAPKA KABAADI" will enter into online Scrap market to organize the process related to Buy & Sell of waste from the customers online. As there are many loopholes in the existing scrap/kabaad system. We aim to make a wider impact in our flourishing waste management industry by forming our own team and collaborating with all the vendors to form a profitable chain management with a hassle-free online pick up pre-arrangement for our customers through a dedicated Mobile Application & a vendor purposed mobility solution to crack down nerve free communication between customers and vendors where we will have our dedicated team to monitor all the web process for a smooth functioning. We will operate in Jammu for now. Our dedicated teamwork on the request will deliver the best service and solution for the request. Buying product online is easy, getting rid of them when it becomes useless/redundant/old is not. We will provide the service for the same.

Our direct BENEFICIARIES will be the households or the customers who will book the pickup. They will be directly benefited from the ease and viability the project provides. The 4

indirect beneficiaries will be the society whose concern will be taken care of and the local rag pickers who are planned to be involved in the business once it grows.

OUR MISSION STATEMENT We aim to provide hassle free, time saving and quick services to the customers by putting our green super heroes in action with eco-friendly carry bags and an electronic weighing machines to ensure transparency and contribute to the environment sustainability in best possible manner.

OUR VISSION To achieve sustainable growth and be recognized as an established online local ragpicking business wherein customers can trust us completely with their contribution to environment; to spread our network to every area of Jammu and to break taboo of society that rag picking is a dirty job and with our organized and hygienic services.

Key Objectives Of The Project 

To be able to cover 20-30 customers in a day by the end of the year.

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To provide simple and cost effective platform to the consumers so that selling scrap becomes hassle free and easy task for them.

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To provide timely and quick service to the consumer by scheduling pickups from door step.

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To form an efficient team of kabaadiwala's who will deliver the best possible services to the consumer.

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To be transparent with the customers in terms of prices and weight. A rate list will be uploaded on the website and our agents will be armed with eco-friendly carry bags and an electronic weighing machine.

Long Term Goals 

To involve as many local rag pickers as possible in the model.

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Contribute back to the society in the forms of donation and cleanliness.

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SECTION 5 : OPERATIONAL PLAN /WORK PLAN 

AAPKA KABAADI will function in a manner that the interested or customer who is willing to sell raddi will book a schedule pickup through the website or call. The phone number will be displayed on the website.

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Our project will be an INFORMATION driven project. A website named as www.aapkakabaadi.com will be set up for the purpose. For the beginning time or time of establishment, there will only be a website as an online portal. Later an application will be developed for the same purpose.

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Our team required will comprise of 3-4 people will have to be recruited as the part of the team who will go from home to home to pick up the scrap scheduled for ; the manager and the accountant role will be handled by the founders of the business.

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PLAN FOR PICKUP Customers can contact us through the website or the whatsapp no. given on the website. The pickup will be scheduled within2 days . The customer according to his convenience can chose the slot of timing ie., morning evening or noon. The customer can also track the pickup on the website. We will be scheduling pickups for the next day. Since in the beginning customers will be less, so we will not include local rag pickers rather our team will go on 2 vehicles. Later when customer base increases we will include local rag pickers in our business and they will be then covering the local market as per the schedule given to them through our application and dump the scrap in the evening in our vans which will then be taken to the storehouse.

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To add values to our project we have decided to tie up with an NGO to whom will we supply donated clothes and also the money of sale of scrap if anyone wishes to will be donated to them.

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The PRICES of the various items or materials will be displayed on the website for the transparency factor with the customer :-

TIN

PLASTIC BOTTLE

10 / kg

9 / kg

BATTERY

IRON

40 / kg

17 / kg

COPPER

CARDBOARD

350 / kg

7/kg

E-WASTE

NEWSPAPER

25 / kg

Rs. 9/ kg

BOOKS

TYRE

9/kg

Rs 5 per kg

BRASS

POLETHYNE BAGS

250/kg

5/kg

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BICYCLE

MIX WASTE 4/kg

100-150

STEEL

CLOTHES

26/kg

O.OO/ kg

NOTE : Rate of materials not mentioned here can be negotiated but at the price of scrap only. A consumer can sell anything not of use to us be it the vehicles even.

 Once the scrap will be collected , it will be brought to the central location of land which will be our plant wherein the scrap will be weighed, combined and segregated into different materials to be sent to various industries for recycling. The products which can't be recycled will be sent to the incineration plant so that the waste can be converted into energy.

SECTION 6 : SWOT ANALYSIS OF AAPKA KABAADI STRENGTHS 

Usage of technology Unlike the local rag pickers, our organization will be using the equipments like electronic weighing machine. It will not only help the customers to know the exact amount of rag being sold by them but will also help our employees to weigh the material in a less chaotic manner.

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Virtual platform On contrary to the traditional ragpicking practices where the vendors moved from house to house in search of customers; we shall be having an interface online where the customers who need the service shall comeforth themselves and fill in the request for the same.

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Easy access With the establishment of the portal online the customers will not have to go in search for a rag picker but just login to our website and without any hassle their appointment with our rag picker will be finalized.

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Customer satisfaction measures One of the positive change that our business shall be bring around is in this sector will be creating a mechanism where the customers are provided a platform to lodge their complaints and provide their suggestions in improving our services.

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Sustainability One of the goal of our business shall be working for a sustainable environment. The bags to be used for the movement of rag shall be environmental friendly and we will also be promoting the concept of recycling.

WEAKNESS 

Resistance from existing rag pickers The age old rag pickers will not be very welcoming to our business; as they would consider us their tough competition.

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Less profitable Initially the business of rag picking will not be very profitable as the margin for profits is very low. And the cost of setting up is high.

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Building customer base Customers have been associated with the local vendors for a long time and then expecting an immediate switch towards our business which is completely new in the market will be tough job..

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Limited resources Being a startup the availability of resources to our disposal shall be very limited. It shall take time to build up a solid base of resources required for the business.

OPPORTUNIITES 9

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New concept in the market of Jammu Starting an online portal for rag picking is a complete new concept in our region. No competition on this level existing right on. So this is an untapped sector and so an opportunity for us.

THREATS 

Competition From Local Kabaadiwala's who already exist in the market and are working effectively. Already existing market leaders pose a huge threat to our business as they have a well acquired markets with a strong customer base.

COMPETITORS ANALYSIS** There are many competitors in this field who operate in their respective areas but wish to expand and so are a threat to our firm. Foloowing are a few of them :-

(1) The Kabadiwala ‘Sell Scrap & Earn Money’, is what their website says. Just what a traditional kabadiwala (scrap dealer) would do, while making rounds in the by lanes of our localities with a weighing scale, calling out in a typical style. Locations served: The Kabadiwala is currently present in Bhopal, Indore, Ahmedabad& Aurangabad

(2) Junkart Junkart is a startup which aspires to flourish in the waste management industry by collaborating with all the vendors to form a profitable chain management and provide a hassle-free online pick up for customers through a dedicated Mobile App. Locations served: In Delhi-NCR. Their services are catching up in Bangalore & Mumbai as well.

**https://www.google.co.in/url?sa=t&rct=j&q=&esrc=s&source=web&cd=6&cad=rja&uact=8&ved=2ahUKEwiar_Pz2ZvhAh W1muYKHYuMB48QFjAFegQIBhAB&url=https%3A%2F%2Fiknowwaste.com%2Fsave-the-landfill-these-waste-pickers-letyou-encash-your-trash-just-by-a-click%2F&usg=AOvVaw24sMXLgpKzTIuZw_lqXk9W

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(3) Toter Toter is Hyderabad’s first digital doorstep recyclable pickup service from Waste Ventures India. They assure a transparent service in terms of price or weight. While they had started off with waste pick up service for the city’s transport and food delivery needs, they are now changing the way waste is collected from households across Hyderabad as well. Locations Served: Hyderabad

(4) Karma Recycling This one’s for electronic devices. Karma Recycling buy your old electronic device like used smartphones, tablets, and laptops in any condition and recycle by fixing or re-engineering them and then reselling them. The website: Karma Recycling Locations Served: New Delhi, Gurgaon, Noida, Ghaziabad, Faridabad, Chandigarh, Mohali, Ludhiana, Jalandhar, Amritsar, Jaipur, Indore, Ahmedabad, Vadodara, Mumbai, Pune, Hyderabad, Bangalore, Coimbatore & Chennai

(5) Khalibottle This one’s for those living in Bengaluru. Similar to the services listed above, Khalibottle is also an online platform which lets you sell your dry waste and unused items, including coconut shells! The company aims to bring in more dignity to the informal waste recycling profession, while creating cleaner, sustainable communities through better use of resources. The website: s Locations Served: Bengaluru

SECTION 7: FINANCIAL MODEL We will bring in Capital of Rs 200000 and land as capital for 8 lakhs. We will take a loan of 4,00,000. The land which will act as the central store house is an asset which we already own and are using it for the business. Loan will be taken against the busines land.

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FIXED COSTS    

Office set up - Rs 30000 Electrical weighing machine - Rs 10000 , 2 machines of 5000 each Website development costs - Rs40,000 Transportation Vehicles costs Rs 3,00,000 (2 vehicles at second hand prices)

VARIABLE COSTS      

Advertising costs ( through news paper, websites ,sponsors etc ) - Rs 10000 On plant labour costs - Rs 450 per person per day Vehicle Maintenance - 4000 - 4500 per month per vehicle Transportation charges -2000 per truck per month Website maintenance charges- 2000 pm Miscellaneous costs :Uniform costs including gloves- 1000 per person Costs of packaging materials of scrap - Rs 1000

REVENUE / INCOME MODEL The revenue in the model can be generated by recycling the wastes in the factories and the amount generated from them. The materials will be sent to the respective factories like all the newspaper , second hand books will be sent to the paper mill, iron materials will be sent to iron and steel industry etc. We will be selling the materials to the factory at the following rates :MATERIAL

PRICE PAID BY FACTORY PER KG

IRON PLASTIC PAPER CARDBOARD BATTERY COPPER TIN STEEL BRASS TYRE ELECTRONIC WASTE

25.00 15.00 15.00 12.00 60.00 385.00 15.00 35.00 300.00 10.00 32.00

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From the above prices an income revenue statement can be prepared which will help us to calculate the net profit earned after deducting the profits. REVENUE ASSUMPTION We have made an assumption for the first year of business and following quantities we will be able to sell :1. 2. 3. 4. 5. 6.

7. Steel - 1000kg 8. Copper - 40kg 9. Battery - 410kg 10. Electronic waste - 320 kg 11. Iron -400 kg 12. Brass -90 kg

Paper - 5380 Kg Tyre - 750Kg Cardboard - 2800kg Plastic - 2560 kg Tin - 900 kg Battery - 300 kg

INCOME EXPENDITURE STATEMENT FOR THE FIRST THREE YEARS PARTICULARS

2019-20

2020-21

2021-22

5,79,000

7,95,320

10,99,856

Cost of scrap paid to customers

2,58,920

4,04,575

5,86,750

Interest on loan and installment

40000

36000

32000

Website charges

24000

24000

24000

Salary to team ( 6500 each )

156000

156000

156000

Transportation expenses of truck

24000

24000

24000

Office dev cost written off

5000

5000

5000

Website development cost w/off

4000

4000

4000

Packaging costs

2500

2500

2500

Vehicle maintenance charges

72000

108000

108000

Advertisement Expenses

10000

-

-

Cost of labour

70000

90000

120000

646420

866075

1066250

(87,420)

(50,755)

33,606

A. Income/Revenue Net sales revenue B. Total expenses on Costs

Total of expenses Net profit/loss ( A-B) 13

BALANCE SHEET FOR 3 YEARS BEGINNING FROM 2019-20 FINANCIAL YEAR 2019-20

2020-21

2021-22

Long term Loan @10% interest

4,00,000

3,60,000

3,20,000

Capital

10,00,000

10,00,000

10,00,000

Net Profit/loss

(87,420)

(50,755)

33,606

Total sources

13,12,580

13,09,245

13,53,606

Land

8,00,000

800000

800000

Vehicle ( less dep )

3,00,000

270000

243000

Cash in hand

1,29,580

1,55,000

2,26,000

Miscellaneous

3000

4000

4000

Website

40000

40000

40000

Office

40000

40000

40000

Total Assets

13,12,580

13,09,245

13,53,606

LIABILITIES

FIXED ASSETS

CURRENT ASSETS

SECTION 8 :CLOSING STATEMENT The above mentioned project has been proposed while keeping in mind the wide scope of the same as it is not only a fresh idea in the sector but also an initiative taken while keeping the environment safety in mind. Keeping in mind the uniqueness of the idea we shall be expecting external funding that will only boost our growth and help us achieve our predetermined goals and objectives within the time set up. Also that the educated handlers like us shall work in a more productive way as the critical work of segregating the types of wastes and disposal of the same in the most environmental friendly way will be studied and understood well before in time. This project will be our small initiative towards the development of our city and bringing in a more sophisticated technology and handling of the rag picking business.

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