Tire processing

Consumers:

The main consumers of rubber crumb are:  manufacturers of rubber sports flooring;  manufacturers of rubber tile for sidewalks, porches of public buildings, playgrounds;  manufacturers road paving (chips, are added to asphalt);  manufacturers of tires (crumb is in the composition of a new tire);  company engaged in the maintenance and operation of the oil industry;  construction company, for use in roofing (mostly flat roofs);  enterprise for the production of rubber products (automotive components);

— Very high profitability of the project

— No procurement of goods, hence no procurement cost of materials

— Goods for the production car is a waste, and there is no need to buy it

— The possibility of obtaining state support, possible additional grants for work in environmental waste disposal.

— More jobs for the population

— The widespread use of manufactured products (Asphalt plants, oil companies, enterprises for the production of rubber coatings, manufacturers of automotive tires)

— No risk of possible illiquidity of the product (no shelf life and high demand)

— More than 1 million vehicles in the region of the project.

— Processing car tyres 1 outputs — rubber shavings, metal chips and textile chips.

— Ability to engage citizens, service stations and businesses on the delivery of waste tires through issuance of certificate of ecological disposal of this waste, because all of these organisations pay tax to the state for failure to comply with the environmental standard of disposal.

— Monthly net profit of about from 1 200 000 to 3 500 000 roubles.

The whole business is safe from any risks

— After the full cost of the project, additional production of rubber plates, rubber coating resulting from the processing of rubber shavings.

— After 5 years, the launch of the new equipment for the processing of waste into fuel, as a result of environmental processing of waste

Growth in monthly net profits from 10 000 000 rubles per month

NET profit of the INVESTOR FOR 5 YEARS (60 MONTHS) — 24 200 000 RUBLES, excluding NEW PERFORMANCE (Rubber cover, fuel production)

Marketing With the purchase of production equipment with the manufacturer to be awarded the franchise agreement, under which the manufacturer of crumb rubber and coatings from it will use developed and promoted brand. Also will create a network of manufacturers of crumb rubber and coatings throughout Russia (it is also possible neighboring countries), with a common base of suppliers of raw materials and buyers of finished products. It is expected the full support for the production and sale of products. Annual fee for franchisees (royalty payments) will amount to 50,000 roubles per year. For marketing of finished products in the near future by recruiting a sales Manager. Sales is organized through direct sales (telephone and personal talks). It is also planned to actively use the tools of product promotion via the INTERNET. During the settlement in the work of working with buyers can use the following terms and conditions: cash / non-cash payment, deferred payment up to 30 days 70% of the cost, the system of discounts for regular clients, depending on volumes.

The tasks of the staff:

1. Driver collector – to Deliver daily for at least 2 200 pieces of car tires.

2. Shifts (day and night) – Production per day 6 600 kg. Rubber shavings.

For 3 300 for each shift group of workers.

420 kg per hour, for 140 tires per hour from each shift.

At the rate of 3 kg per one tire.

3. The sales Manager is selling rubber shavings per month for 151 200 kg at least.

4. Accountant to monitor the arrival of the money into the account, the timely payment of taxes and salaries, and also has to combine the position of lawyer of the enterprise.

A preliminary calculation:

Worst — case scenario --

1. Production of 5 500 kg per day = 5500 x 24 (days) = 132 000 kg.

2. Manager = 120 000 kg x 15 RUB = 1 800 000 RUB.

3. RUB 1 800 000 – 900 000 RUB = 900 000 rubles

Expected scenario —

1. Production of 6500 kg per day = 6500 x 24 (days) = 156 000 kg.

2. Manager = 150 000 kg x 16 RUB = 2 400 000 RUB.

3. 2 400 000 — 900 000 rubles = 1 500 000 rubles

— Tasks --

1. Production of 10 000 kg per day = 10,000 x 24 (days) = 240 000 kg.

2. Manager = 240 000 kg x 16 RUB = 3 840 000 rubles

3. 3 840 000 RUB 900 000 = 2 940 000 rubles.

Into account not taken profit from the sale of the obtained textile and metal shavings.

In this case, account is taken only of rubber shavings.

Profit from the metal shavings is within a = 150 000 -300 000 rubles per month.

Where 900 000 rubles — is the cost of utilities, maintenance of office, wages of employees, provision of transport enterprise.

*RUB 15 \ 16 RUB * = minimum calculation of the market value of manufactured rubber shavings where the real market price is 18-20 rubles.