BUSINESS OPPORTUNITY PROJECT SUMMARY
PROJECT CONCEPT:
The Project involves the retail of block ice and trading of high-value fishes. For this purpose two (2) units of cold storage facilities shall be fabricated and installed in the Project site.
One unit shall be used for storage of block ice with a capacity of 24 ice blocks or 3 MT at 125 kgs per block. The other unit, designed as walk-in to allow ease of product handling, shall be used for storage of fish with a maximum capacity of 1 MT.
Fabricated all-steel, each cold store unit is estimated to weigh only 2 MT and is thus easily transportable to any remote place with road access.
Using a V-type or belt-driven 3HP compressor for each cold store unit, the project can operate continuously during power outages by using a small stand-by diesel generating set of 7HP or more.
For this reason, the Mini Cold Store can also be located in remote fishing villages where electricity is not available.
The Project shall purchase block ice from ice plants in the capital city at the estimated price, delivered, of P130 per block and retail the ice to local consumers, primarily small-scale fishers at a mark-up of 25%.
The Project shall also purchase the fish caught or harvested by the local fishers/fish farmers at an average cost of P60/kg and sell to consumers in nearby urban centers at a mark-up of 50%.
OPERATING VOLUMES: BLOCK ICE – 24 blocks (3 MT)/day
FISH STORAGE: 1 MT storage, 1 MT/week
ANNUAL GROSS INCOME: PhP 6.12 million
ANNUAL NET INCOME BEFORE INTEREST & TAXES: PhP 1.11 million
ESTIMATED TOTAL PROJECT COST: PhP 1.09 million
COST OF COLD STORAGE UNITS: PhP 200,000 (3 MT Block Ice Storage) and PhP 150,000 (1 MT Fish Storage)
RETURN ON INVESTMENT RATE (R0I) /PAYBACK PERIOD: 102.1% p.a. / 1.0 year
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