Crispy Panauti Potato Chips

Pvt. Ltd.
Group 5
Kriti Manandhar
Menuka Watankachhi
Luv Bhattarai
Man Bahadur Shahi

Contents
Introduction
Business

model canvas and its components

Financial statements
Conclusion

Introduction
Panauti-12 ,Kavre
Panauti Known for producing quality potatoes
Product: Potato chips
Crispy Panauti Potato Chips Pvt. Ltd.

Market gap:
i.

ii.

iii.
iv.

Production of good quality potatoes yet no organic potatochips manufacturing company in this area.
Most of the potato chips available in the area have to be
imported from India or through Kathmandu.
Labor cost low in comparison to Kathmandu .
Ultimately there is prospect of good quality potato chips at
reasonable prices.

Panauti Potato Chips Pvt. Ltd.

Panauti-12 Kavre
Produce quality potato chips by mobilizing local
manpower and locally produced potatoes and spices.
Founded and managed by 4 partners.

Business Model Canvas

1.
2.
3.
4.
5.
6.
7.
8.
9.

Customer Segments
Customer relationship
Value Proposition
Key Activities
Key Partners
Cost structure
Key Resources
Channels
Revenue Streams

Customer Segments

Target customers and segments:

People of all age groups within Kathmandu Valley
and Kavre area.
Prefences: Quality(organic) potato chips at lower
prices.
Wide range of taste preferences
Product Positioning:
Quality chips made with locally produced organic
potatoes and seasoned with unique blend of spices.

Customer Relationship
Attracting Customers and retaining them through
advertisement and promotional activities as well as
follow up programs
Advertisements through Advertising agencies
Special promotional packages in events , carnivals.
Maintaining a proper and up to date customer and
dealer database.
Follow up on customer feedback and queries

Main purpose : Good perception of quality of the

chips
This results in customer loyalty and helps in
retaining customers at times of competition.

Value Propositions
Using only organic Panuati potatoes
Using hand grinded locally produced spices

Key activities

Acquiring organic potatoes via local farmers

Acquiring hand grinded spices via local spice dealers
Starting the machinery potato peeler, slicer, fryer.
Flavoring the potato chips.
Packaging
Proper quality management through regular checking
throughout the process.
Hiring trained and well motivated manpower
Proper distribution system

Key Partners
Proprietor team
Suppliers of Potatoes
Suppliers of oil and spices
Suppliers of plastic for packaging
Distributer
Extended relationships with farmers

Cost Structure

Main Raw Materials:

Potatoes
Spices
Oil
Plastic for packaging
Labor cost (daily wages and salaries)
Rent for land and buildings
Machinery acquisition and maintenance
Utilities

Key Resources
Physical Resources:
Land and building
Plant and machineries
Vehicles and distribution network
Human Resources:
Well trained workers
Intellectual resources:
proprietor knowledge
Customer and dealer database
Financial resources:
Own investment(Cash)

Channels

Indirect channel system

Manufacturer
Panauti Potato Chips
Pvt. Ltd

Distributor

Retailer

Customer

Revenue streams
Main revenue source: Sales of potato chips
Additional revenue sources:
Sales of broken pieces supplied to local
chaat businesses and hotels.
Sales of by products (potato peels ) for
fertilizer purposes to nearby farms.
Train unskilled laborers in operating
machines.

Financial Statements
Crispy Panauti Potato Chips pvt.ltd
Balance Sheet
For the period of 31st December
Particular
Assets
current assets

2015

2016

2017

Bank and Cash

353000

382500

170000

Account receivable

200000

300000

400000

Inventory

300000

400000

518625

Total current assets

853000

1082500

1088625

Long-term Assets
Fixed assets
less:Accumulated Depreciation
Total Long-term Assets
Total Assets
Liabilities
Current-Liabilities

550000

522500

496375

27500

26125

24818.75

522500

496375

471556.25

1375500

1578875

1560181.25

Account payable

525000

630000

400000

Accrued Expenses

100000

120000

125000

Total current liabilities

625000

750000

525000

Long-term Liabilities
Owners equity

Owners capital

800000

800000

800000

Retained earnig

49500

30250

750500

830250

235181.25
1035181.25

1375500

1580250

1560181.25

Total owner's equity

Total liabities and equity

Crispy Panauti Potato Chips pvt.ltd

Incomoe statement
For the period of 31st December, 2015

Particular
Revenue

Amount(NPR)

Net Sales

1670000

Total Revenue

less: cost of goods sold

1670000

312000

Rent per month

360000

Marketing and Advertising

180000

Telephone & Utilities

120000

Transportation and travelling

180000

60000

120000

20000

Initial Advertising and Promotion

100000

Legal and Accounting

240000

27500

Salaries (2*5000)+(2*8000)

Insurance
Repair and Maintenance
Licenses and Permits

Depreciation Expenses
Total Costs and Expenses

1719500

Net Income/Net loss

-49500

Crispy Panauti Potato Chips pvt.ltd

Incomoe statement
For the period of 31st December, 2016

Particular
Revenue

Amount(NPR)

Net Sales

1781000

Total Revenue

less: cost of goods sold

Salaries
Rent

1781000

312000

360000

240000

Marketing and Advertising

Telephone & Utilities

144000

Transportation and travelling

240000

60000

120000

Licenses and Permits

10000

Legal and Accounting

240000

26125

Insurance
Repair and Maintenance

Depreciation Expenses
Total Costs and Expenses

1752125

Net Income/Net loss

28875

Crispy Panauti Potato Chips pvt.ltd

Incomoe statement
For the period of 31st December, 2017

Particular
Revenue

Amount(NPR)

Net Sales

2430000

Total Revenue

less: cost of goods sold

Salaries

2430000

384000

Rent

360000

Marketing and Advertising

360000

Telephone & Utilities

180000

Transportation and travelling

360000

96000

120000

Licenses and Permits

10000

Legal and Accounting

300000

24818.75

Insurance
Repair and Maintenance

Depreciation Expenses
Total Costs and Expenses

2194818.75

Net Income/Net loss

235181.25

Conclusion
Crispy Panauti Potato Chip Pvt. Ltd.
Business model canvas walked us through
the many steps and components needed for
starting a business.
There are many opportunities in the local
area , which we have to recognize , plan
and execute on it for a successful business.

Field visit

Thank You