New Tejkamal

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Indian Economy Overview

India has a mixed economy system. In a mixed economy system the public

sector (Governed-owned) enterprises exist, along with private sector enterprises

to achieve a socialistic pattern of society.

Planning In India:

After independence India adopted a planned system of economy. Government

of India constituted a Planning Commission in March 1950 with the Prime

Minister of India as its chairman. Planning Commission is a statutory body.

National Development Council-

Chief Ministers of all the states of the country and the members of the Planning

Commission of India constitute the National Development Council. The Prime

Minister of India presides over the council.

Five Year Plans in India-

India after independence adopted the five year plans concept for the planned

economic development of the country. The idea of five year plans in India was

mooted by the great Indian engineer M. Visvesvarayya. This five year plan

concept has been taken from the erstwhile U.S.S.R.

First five year plan-

First five year plan in India was launched in 1951-52. The period of this plan

was 1951-52 to 1955-56. This plan gave the priority to the development of

agriculture, irrigation, power and transport in order to create a base for rapid

industrial growth of the country.

Second five year plan-


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8. Pradhan Mantri Grammoday Yojna

9. Self Employment to the Educated Urban Youth

Indian Banking System-

'Bank of Hindustan' was the first bank of India which was opened in Kolkata in

1770. Again in 1806 AD, British government established Bank of Bengal, in

1840 Bank of liable exports and visible imports of two countries in trade with

each Bombay and in 1843 Bank of Madras. Ml three banks were known as is

called balance of payment. If the difference is positive the Presidency banks. In

1921 Imperial Bank of India was established payment (B.O.P.) is called

favourable and if negative it is amalgamation of the three Imperial banks. In

1955 after nationalisation Med unfavorable. of the Imperial Bank of India it was

renamed as State Bank of India At present State Bank of India is the biggest

commercial bank of India

In April 1, 1935 Reserve Bank of India was established Mumbai' as itsheadquarters. It is the Central Bank of India. It was nationalist on January 1,

1949. Again on July 19, 1969 fourteen big commerce banks were nationalised.

Export-Import Bank (Exim Bank) was established in 1982 to provide funds to

exporters and importers. The one rupee note bears signature of the Secretary,

Ministry of Finance Govt, of India, whereas the remaining notes bear the

signature of the Governor of the Reserve Bank of India (RBI). The main

function of Reserve Bank of India is to control the monetary policy of the

country and exchange rate of Indian currency. Awadh Commercial Bank was

the first wholly nutritional standards of daily caloric intake of 2400 calories.

Timercial bank which was established in 1880. The Punjab National in rural e a

2100 calories per person in urban areas are said to H bank was established in

1894. Indian Life Insurance Corporation was living below the poverty line.


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Taxes-

Taxes can be levied either directly or indirectly.

Direct Taxes-

Income tax and corporation tax are two main direct taxes.

Indirect Taxes-

Central excise duty and customs duty are two I main indirect taxes.

Bank Rate-

It is the rate of interest charged by the Reserve bank of India for lending money

to commercial banks.

Deflation-

A state of decrease in money circulation resulting ir Prices and unemployment.

Black Money-

It means unaccounted money, concealed income undisclosed wealth. In order to

evade taxes some people falsify their accounts and do not record all transactions

in their books. The lonely which thus remains unaccounted for and is illegally

accumulated

Devaluation-

Devaluation is a term indicating a definite officer downward valuation of

country's currency in terms of its eucharis. value with other currencies,

Hard Currency-

Hard currency is hard or difficult to secure


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Hot Money-

It describes money or currency which everybody), anxious to drop for fear of a

fall in its exchange rate.

Inflation-

It is an increase in the amount of paper money which tends to raise general price

level of commodities.


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INDUSTRY PROFILE

Water is a key to social equity to environmental stability and to cultural

diversity. Water is also firmly linked with health. Pure and safe drinking waterhas always been a necessity. The tradition and style of serving drinking water,

in India, has however changed quite dramatically during the last decade. Almost

a decade ago, the introduction of bottled water or packaged mineral water has

changed the tradition of serving and consuming drinking water. This has

ushered in very strongly, the use of polymers or plastics as materials for water

storage and distribution.

The tradition of bottled water and mineral water is not very old. Even in

western countries the practice of bottled drinking water started only in 1950s.

Since ancient time people have used water from mineral springs, especially hot

springs, for bathing due to its supposed therapeutic value for rheumatism,

arthritis, skin diseases, and various other ailments. Depending on the

temperature of the water, the location, the altitude, and the climate at the spring,

it could be used to cure different ailments.

This started the trend of using mineral water for drinking purposes in order to

exploit its therapeutic value. Since mid1970s large quantities of bottled water

from mineral springs in France and other European countries began to beexported. The concept of bottled water is relatively successful in western

countries due to greater health consciousness.

The categories of bottled water in India are Packaged Natural Mineral Water

and Packaged Drinking Water .Bottled water industry, colloquially called, the

mineral water industry, is a symbol of new life style emerging in India. The

packaged drinking water in India, which is estimated at Rs.850 Crores with over


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200 brands floating in the market, most of which have restricted territorial

distribution. This is a growing market in India as quality consciousness among

the consumers is on the rise. The bottled water market is growing at a rapid rate

of around 20%.At this growth rate, the Rs 7000million per year market is

estimated to overtake the soft drinks market soon. Multinationals, SAB

MILLERS, SHAW WALLACE Coca-Cola, Pepsi, Nestle and others are trying

to grab a significant share of the market. There are more than 180 brands in the

unorganized sector. The small players account for nearly 19% of the total

market. The per capita consumption of bottled water in India is less than half a

litre per year, compared to 111 litres in France and 45 litres in the US.These

points to the future potential beyond the high growth.

Major Players with their brands include Parle Export which introduced Bisleri

in India 25 years ago, Parle Agro with Bailley, Godrej Foods with its Golden

Valley, Coca-Cola with Kinley, PepsiCo with Aquafina, Nestle India with

Perrier, Mohan Meakins and SKN Breweries entered the market with Golden

Eagle and Penguin mineral water, respectively. Nonetheless, Bisleri and

Bailley, both of Parle Origin , enjoy about 50% market share and has become

almost generic with the product. The premium bottled water market in India has

brands like Evian, San Pelligrino, Perrier.

In the market for water purifiers, while Aquaguard from Eureka Forbes, remains

the market leader, several others have made it to the market place. UshaShriram with its Brita water Purifier already established, has launched Indias

first digital water purifier-the water guard Digital in collaboration with Brita

GmbH of Germany. HLL has also forayed into the water business, with its

water purifier device called Pure.

Water Purifiers (residential segment) are growing at 22-25% annually. A high

growth rate indicates a good future potential in these sectors. It is a Rs 5 to 6


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billion industry, with Aquaguard cornering more than 50% of the market. The

rest is divided among Kent RO, Pentair, Ion Exchange and Others.


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COMPANY PROFILE

TEJKAMAL TRADE LINKS

Type of the company:

Private limited company

Year of incorporation:

Incorporated in 1998, based in Bangalore, One of the multifunctional

organisation dealing with various products like soft drinks, packaged drinking

water all over the state. Tejkamal Trade Links(TKTL) was initially into

packaged drinking water business which was branded under SHAW

WALLACE. Brands being ROYALCHALLENGE KNOCK OUT FOSTERS

etc TKTL built highly equipped and most sophisticated plant of Reverse

osmosis and de- mineralising process plant in Tumkur Road for which the

company was awarded with the JAWAHARLAL NEHRU AWARD FOR

EXCELLENCY IN 2004. Taking major market share in packaged drinking

water industry , the company then decided into first diversion as soft drinks

(juicy cool, jive, jeera soda).


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Vision, Mission & Quality policy

Vision:

1 - Create commonality of interests.

2 - Reduce daily monotony.

3 - Provides opportunities & challenges

Mission

We are committed to produce & deliver top quality product to our

consumer. To be the Worlds Premier Consumer products focused on

convenient food and beverages. In every thing we do we strive for honesty,

fairness and integrity.

To achieve this every batch of incoming raw materials are checked forquality by our Quality Assurance Department.

We use only high grade sugar Apart from this, on line & final product checks are carried out at regular

intervals.

We purchase raw materials only from approved sources, approved byindependent laboratories of internal repute.

The entire range of equipments is made out of superior grade StainlessSteel Material.

We give special attention too Personnel Hygiene & Sanitationo House Keeping


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o Good Manufacturing Processo Special attention is also given to keep the Factory Surroundings

Clean & Green by growing Lawn

The firm has one of the best distribution infrastructures in the business toprovide timely services to all our vendors. Their product comes in a wide

range of packages like 200ml, 250ml, 500 ml, 1ltr, 2 ltr, 5 liters, 20 liters

& 600ml & 1.5 liters Soda.

Their packaged drinking water is bottled in fully automatic plant withreverse osmosis, organization & ultra filtration process. Along with latest

pesticides removal system through activated carbon filtration process as per EU

norms.

They process water with the most modern, high tech equipment sodium

filtration resulting in not only healthy but also sweeter packaged drinking water.

Their packaged drinking water is manufactured under a very strict in house

quality control system, ensuring that what we drink is what nature intended.

Promoters of the company

Mr. Vipin Kumar


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Shareholding pattern

Company Name: Tejkamal Trade Links Pvt. Ltd.,

Country/Territory: India

Address:

#726, Belmar industrial estate, near swathi

petro; bunk, 8th

mile, jalahalli, Bangalore -79

E-mail :[email protected]

Products/Services We Offer:

Royal challenge, Blue, Fosters, Knock out,

Royal Blue packaged drinking water, soda

and Jive fruit drink

Business Type: Manufacturer / Supplier

Industry Type: FMCG, Foods & Beverages

Geographic Markets: India

No. of Employees: 200 People

Annual Sales Range (USD): US$1 Million - US$2.5 Million

Share holding pattern

60% of shares held by promoter and 20% held

by Mr. Sheshadri. k and rest by Mr. Rajeev

Solanki

Year Established: 1998

M.D. Mr.Vipin kumar

Legal Representative/CEO: Mr. Sheshadri. K
mailto:[email protected]:[email protected]:[email protected]:[email protected]


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Resident Director (CEO)

GM

(Plant)

Manager

(Finance)

Manager Manager

(Sales & Marketing &/

Assistant

Manager (A/c)

Executive

HR

Executive

Administrator

Executive

General

Senior

Executive

Executive

Accountant

Assistant Clerk Security

Shipping

Executive

Store

Executive

Manager

Production

Manager

(Quality

control

Manager

(Quality

Executive

Production

Executive

(Quality

Control

Chemist

CE/ Executive

Marketin

Area Sales

Mana er

ORGANIZATIONAL CHART

TEJKAMAL

TRADE LINKS (


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Size of land and building

Acquires an area of 4 acres or so including office premises.

Branches:

None

Beverages

Incorporated in 1998, based in Bangalore, One of the multifunctional

organisation dealing with various products like apparels, soft drinks,

packaged drinking water and one of the largest wholesale dealer of

Samsung electronic products all overthe state. Its one of Karnatakas finest

dealers and designer of garments for men, women and children and caters to the

needs of international fashion brands and retailers. Tejkamal Trade Links was

initially into packaged drinking water business which was branded under

SHAW WALLACE. Brands being, ROYAL CHALLENGE, KNOCK OUT,

FOSTERS, BLUE, ROYAL BLUE etc. TKTL built highly equipped and most

sophisticated plant ofReverse osmosis and de- mineralising process plant in

Tumkur Road for which the company was awarded with the JAWAHARLAL

NEHRU AWARD FOR EXCELLENCY IN 2004. Taking major market

share in packaged drinking water industry , the company then diced into . first

diversion as soft drinks (juicy cool, jive, jeera soda),

An ISO 9001:2000 Certified Company has a capacity to produce and sell and

2.5 million bottles of water a week.

The Group's products include packaged drinking water, distilled water, soda

etc.


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As the new soft drink introduced by TKTL is still in introduction stage the

company is conducting direct sales and aggressive salesmanship. The sales is

expanding day by day. The company is now thinking of incorporating an

effective distribution system.


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Product Quantity available

Natural Spring Water 200ml, 500ml, 1ltr

Packaged Drinking Water 200ml, 500ml,1ltr, 2ltrs, 5ltrs, 20ltrs

Soda 300ml, 600ml & 2ltrs

Jive fruit juice 300ml, 600ml & 2ltrs Soda


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Market share

Commands a 29% market share in the country.

Achievements

6 bottles of Royal challenge are sold every second in India. Won Jawaharlal Nehru award for quality and excellence in 2003Won excellence award from KASSIAThe only plant in India with a capacity to produce 4-5 different brands under

one roof

Named by BIS as World class highly systematized plant area


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FUNCTIONAL ANALYSIS

1. PRODUCTION DEPARTMENT

2. MARKETING DEPARTMENT

3. HUMAN RESOURCE DEPARTMENT

4. FINANCE DEPARTMENT


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MANUFACTURING PROCESS

MANUFACTURING PROCESS

Purification Process

Purity and safety are two major factors taken care in sourcing and processing of

Packaged drinking water water. Underground spring is carefully selected based

on its portability and pathogen free water. Great care goes in tapping this

source. Only water below 25 meters is tapped. This is to avoid any surface

contamination to percolate and mix with underground water source. Area

surrounding the water collection tube at the surface is protected and kept clean.

Processing and Quality Assurance

The casing tube itself is protected with stainless steel mesh to give a preliminary

filtration to the water. Ultra filtration gives water reduction in turbidity and adds

sparkle activated carbon purifier to remove color and odour in water

Reverse osmosis membrane has porosity of less than 0.01 micron the process

renders water free o microorganisms and also reduces dissolved solids

To ensure packaged drinking water is held safe free from contaminations,

ultraviolet treatment and ozonisation process is carried out. Ozone is unstabletrivalent oxygen, a very powerful bactericide with no side effect, as it

disintegrates into oxygen within couple of hours.

Sterilization effect of ozonised water continues even after water is packaged,

thereby ensuring safety of up to its final packing. To ensure high quality of

packing materials, components like caps and bottles are manufactured in-house

from resins of quality suppliers.


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Good Manufacturing Practices are stringently followed at all times. Processing

is religiously monitored at every stage. Testing source water, processing

parameters, microbial quality, packaging material integrity and finally, shelf life

studies, forms an integral part of quality and safety assurance plan.

Quality checking: Quality is checked by sampling method as a batched test at

every stage of beer manufacturing even quality of bottle is also checked before

actually using.


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SUSTAINABLE ADVANTAGE

Three major sustainable advantages give a competitive edge as the firm

operate in the huge marketplace:

1.Big, muscular brands;

2.Proven ability to innovate and create differentiated products; and

3.Powerful go-to-market systems.

Making it all work are the firms extraordinarily talented and dedicated people.

When they take these competitive advantages and invest in them with dollars

generated from top-line growth and cost-saving initiatives, they sustain a value

cycle for our shareholders.

In essence, investing in innovation fuels the building of their brands.

This in turn drives top-line growth.

Dollars from that top-line growth are strategically reinvested back into new

products and other innovation, along with cost-savings projects. Thus, the

cycle continues.


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MARKETING MIX OF THE FIRM

Industry typeFMCG / Food & Beverages

There are many areas of marketing to work in like Design, Advertising,

Promotions, Consumer awareness; Product awareness etc. and these all area are

originated through the MARKETING MIX which consists of 4 Ps i.e.

PRODUCT- under this decision taken are:

The product itself (design, quality, packaging etc) The diversification of the existing Product

PRICE - under this decisions taken are :

Setting Prices Discounts Credit rules

PLACE - under this decisions taken are :

The best way to sell the products to the customers (Channels ofDistribution)

The transport systemPROMOTION - under this decisions taken are:


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Advertising Sales Promotion Public Relations


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HUMAN RESOURCE DEPARTMENT :HR STRATEGY OF THE COMPANY:

STAFF:

Staff refers to the company human resources, which includes the

manpower available in the entire organization.The company (TEJKAMAL TRADE LINKS) divided its human resource

in to:

1. Technical Staff:

Company classifies employees working in production department where

many activities related to technical are done. Such as filling and making of pet

bottle section.2. Non - Technical staff:

Company also has non - technical staff in security department, dispatch

section and workers in garden etc.

3. Administrative staff:

Tejkamal trade links also have the staff to administrate the company.

Every department has the head of the department; the H.O.D Staff makes

decision in the company after having discussion with the subordinates.

Total Manpower of Tejkamal trade links Pvt. Ltd:

CEO 01

Managers 05

Executives 32

Staff 09

Permanent laborers 90


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Temporary workers (season) 70

Male 120

Female 80

Company also takes temporary workers during the season that is summer season

it takes up to 120 workers and during non-season it recruits only 30 workers to

meet manpower requirement.

RECRUITMENT

Recruitment is nothing but searching and obtaining potential candidates

in sufficient number and quality and stimulates them to apply for job, so that

organization can select the most appropriate people to fill its job needed. There

are two sources of recruitment namely internal and external sources of

recruitment it only follows externals recruitment, such as

1. Casual callers:

2. Placement Consultants:3. Employment Exchanges officers: 4. News Paper Advertisement:

Recruitment Process in Tejkamal trade links:

The recruitment policy adopted by the organization has influence on its

employees and on the efficiency of the company. So the recruitment policy

adopted by the company should aim at right kind of potential candidates toensure right kind candidate have been simulated for the job. The recruitment

policy adopted by the Tejkamal trade links Pvt. Ltd is as follows:

1. The recruitment policy in the company begins with receiving the recreationform concerned department.

2. The plant manager and the manager and other departmental heads willdiscuss the necessity of the job and will take the decisions.

3. The manager will develop the job description and job specification.


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4. The next step is followed by the advertisement of the requirement of the jobif it found necessary.


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Selection procedure in TEJKAMAL TRADE LINKS:

Tejkamal trade links has the simple selection procedure, as it is the

franchise unit. The company follows the following procedure for selection:

1] Application banks:

2] Preliminary interview:

3] Tests:

4] Final interview:

Training:

Training is given to the new employees for 6 months and their superiors are

observed them for that period. For present employees training is given by

sending them to different places.

Some of the training methods followed are,

Job rotation Coaching Job Instruction Lectures Employee empowerment programs.

Wages and Salary Administration:

Salary (Executives) Wages(Workers)

Basic Shift Allowance

D.A Attendance Allowance

H.R.A Washing Allowance

Conveyance Allowance Over time Allowance

Washing Allowance Others


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Provident Fund & Bonus Payment:

1.75% of total salary by the employee. 8.33% of salary i.e. D.A + V.D.A Leaves provided for the employees.

Leaves provided to staff and Executives on the basis of physical days are

given below

Leaves Staff Workers Executives

Casual Leave 12 10

Privileged Leave 18 30

Sick leave 10 15

Welfare Facilities;

1. TEJKAMAL TRADE LINKS considers its employees as a valuable resourceof the organization. Hence various welfare facilities are provided to the

employees.

2. Free two pairs of uniforms are given to employees and one pair of shoesevery year for workers only.

3. Every day 4 times tea is provided to all the employees.4. All employees and workers are covered under ESIC i.e. Employee State

Insurance Corporation 1948.

5. Basic loan facility without interest.6. Production Incentives for overtime work 35-40 Rs. per hr is paid to workers.Retirement benefits to the employees:

1. EPF: If the employees are retired at 58 years, P F Office will give family

pension provided the employee has done a minimum of 10 years service in the

company.2. GRATUITY: Insurance co gives group gratuity scheme to the employees


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who have served the organization for 5 years.

Reports and Records:

Reports & Records are maintained from inception to retirement.

Conventional Methods: Modern Methods:

1. Paper 1. Video

2. Charts 2. Audio

3. Files 3. Magnetic Tapes

4. Blue Prints.

5. Diskettes.

EMS: Employee Management System is used in the company.

3. SKILL:

A skill refers to how smart an employee does his work with available

sources. In marketing department various steps are taken for staff to develop

appropriate new skills for marketing their products.

a. Multi disciplinary skills:In production department some persons have the skill to operate bottle

washing machine, sealing machine, and even some time they also handle small

problems in machines. They themselves identify the problem area of machine

and make it repaired if required.

b. Single skill:

Single skill refers to the only single skill which people, which peoplehave in organization. In Tejkamal trade links only HR people and chemist have

the single skill.


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Skill classification in Tejkamal trade links:

In Tejkamal trade links skill is mainly classified in marketing department

and engineering skills in production department. In marketing department extra

benefit will be given to the persons who achieve the sales target. Every person

in marketing department will be having respective sales target.

Once in a year various steps are taken to import various skills such a

listening skill, presentation skills to customer executives.

4. STRATEGY:

Strategy refers to how an organization will attain its vision, mission

responds to the threats & opportunities of the new capabilities needed in

different departments.

Strategy is the determination of the basic long-term goals and objectives

of an enterprise and the adoption of the course of action and the allocation of

resources necessary for carrying out these goals

The main strategy of TEJKAMAL TRADE LINKS is aiming at gaining thesustainable advantage over the competitors and improving the Product

through quality and reduces cost. It is also trying to improve its position in

the minds of the customers by following up and providing the customer value

and value added service of the competent industry. And also the company is

allocating the resource available very legibly to get best out of the

availability.


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TRANSFER POLICIES: no branches, no transfers.

COMPENSATION POLICIES: Compensation Policies follow ESI-Act

EMPLOYEE STATE INSURANCE ACT:

4.75% -- Employer

1.75% -- Employee

PUNISHMENT SYSTEM:

MEMO (Asking Explanation) SUSPENSION CHARGE SHEET ENQUIRY DISMISSAL

PERFORMANCE APPRAISAL SYSTEM:

Suresh Dasar a unskilled labour through his firm hard work and

dedication moved to top Executive Position with in time span of 4-5 years it

shows that performance appraisal happens according to the hard work of theemployee.


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SWOT ANALYSIS OF HUMAN RESOURCE DEPARTMENT

Strength

Performance appraisal is done on the basis of work & not on the on the jobexperience which motives employees.

High degree of participative management

Weakness

Shortage of effective and skilled labors

Opportunities

Proper training and development programs can enhance the skills ofworkers which help the company in meeting the objectives of organization

Threats

Proper training and development programs can enhance the skills of workerswhich help the company in meeting the objectives of organization


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Finance Department:

Department structure

Terms and concepts used in the study:

Several ratios calculated from the accounting data, can be grouped into

various classes accounting to financial activity or functions to be evaluated. We

classify ratios into the following four important categories.

1. Liquidity ratio2. Leverage ratio3. Activity ratio4.

Profitability ratio

1. Liquidity ratio:

Liquidity refers to the ability of a firm to meet its obligations in the short run,

usually one year. Liquidity ratios are generally based on the relationship

between current assets (the sources for meeting short ten obligations) and

current liabilities.

The important liquidity ratios are:


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Current Ratio Acid Test ratio or Quick Ratio Cash Ratio Net Working Capital Ratio

2. Leverage ratio:

Financial leverage refers to the use of debt finance, while debt capital is a

cheaper source of finance. It is a riskier source. Leverage ratios help in

assessing the risk arising from the rise of debt capital.

The important ratios are:

Proprietary ratio Fixed assets to net worth ratio

.3. Activity/efficiency/turnover ratio:

Activity ratios are employed to evaluate the efficiency with which the

firm manages and utilizes its assets. These ratios are also called turnover ratios,

because, they indicate the speed with which assets are being converted or turned

over into sales. Activity ratios thus involve a relationship between sales and

assets. The proper balance between sales and assets generally reflects that assets

are managed well.


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Balance sheet of Tejkamal trade Links as on 31.3.2010

Schedule

No.

As at

31.3.2010

Amount in

Rs.

As at 31.3.2009

Amount in Rs.

Sources of Funds

Share Capital

01 5000000.00 5000000.00

TotalA 5000000.00 5000000.00

Reserves and Surplus: 4028955.52 2774872.15

Loan fund :

Secured loans

Un-secured loans

02

03

18994771.41

1956982.00

23155568.28

6136969.00

TotalB 20951753.41 28292537.28

Total A+B 29980708.92 37067409.43

Application of Funds

Fixed assets

Gross Block

Depreciation

05

37907215.44

20259782.22

32892326.44

16980898.33

Net blockTotal A 17647433.22 15911428.11

Investments 06 10435540.00 5435540.00

TotalB 10435540.00 5435540.00

Current assets loans and

advances

Inventories

07

07 a

07 b

10117530.00

1724837.62

8403335.00

1004509.45


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Sundry debtors

Cash and bank balance

Loans and advances

07 c

08

3477640.85

4561066.34

194963.81

16534504.78

19881074.81 26127313.04

Less : current liabilities and

provisions

Current liabilities and

provisions

Current liabilities

Provisions

04

4 a

4 b

16363208.00

1975060.11

8962061.72

1664271.00

Total 18338268.11 10626332.72

Net current assets( total-c ) 1542806.70 15500980.32

Misc expenses to the extent

not written off

Preliminary expenses

9100.00 13600.00

TotalD 9100.00 13600.00

Deferred tax asset 345829.00 205861.00

TotalE 345829.00 205861.00

Total (A:E) 29980708.92 37067409.43


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Balance Sheet as at 31st

March, 2011

Schedule

No.

As at

31.3.2011

Amount in

Rs.

As at 31.3.2010

Amount in Rs.

Sources of Funds

Share Capital

01 9000000.00 5000000.00

TotalA 9000000.00 5000000.00


Loan fund :

Secured loans

Un-secured loans

02

03

14344423.56

6174246.00

18994771.41

1956982.00

TotalB 20518669.56 20951753.41

Total A+B 51682799.94 29980708.92


Fixed assets

Gross Block

Depreciation

05

39865706.44

22125463.86

37907215.44

20259782.22

Net blockTotal A 17740243.00 17647433.22

Investments 06 10835540.00 10435540.00

TotalB 10835540.00 10435540.00


advances

Inventories

07

07 a

07 b

11683474.88

6276193.43

10117530.00

1724837.62


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Sundry debtors


Loans and advances

07 c

08

1427306.90

16925115.73

3477640.85

4561066.34

36311990.94 19881074.81


provisions


provisions

Current liabilities

Provisions

04

4 a

4 b

12540509.00

1349972.00

16363208.00

1975060.11

Total 13890481.00 18338268.11



not written off


4600.00 9100.00

TotalD 4600.00 9100.00


TotalE 680907.00 345829.00

Total (A:E) 51682799.94 29980708.92


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March, 2012

Note

No.

As at

31.3.2012

Amount in Rs.

As at

31.3.2011

Amount in Rs.

Equity and liabilities

Shareholders Funds

a) Share capitalb) Reserves and Surplus

Sub total A

9000050

14451277

23451327

9000000

22164131

31164131

Noncurrent liabilities:

a) Long term borrowingsb) Deferred tax liabilities-(net)

Sub total - B

6183273

-6183273

6565387

-

656387

Current Liabilities:

a) Short term borrowingsb) Trade payablesc) Other current liabilitiesd) Short term provisions

Sub totalC

Total

17241604

726177

4543067

-

22510848

13953282

4166009

9265808

458644

27843763


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52145448 65573281

Non- current assets:

a)Fixed assets:

(i) Tangible

(ii) Intangible

(iii)Capital work in progress

b)Non-current investment:

c)Deferred tax asset- (net)

d)Long term loans & advances

Subtotal- a

5690572

-

-

10400000

695676

22310400

39096648

17740243

-

-

10400000

680907

20336455

49157605


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Current assets:

a)Inventories

b)Trade receivables

c)Cash and bank balances

d)Short term loans and advances

subtotal- b

Total

9288724

2362743

1016833

380499

13048799

52145448

11683475

1565379

1427207

1739616

16415676

65573281


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Financial analysis of the company with respect to 2011 and 2012:-

1. CURRENT RATIO: -Current Ratio= Current Asset /Current Liability

YEAR 2012 2011

Current Asset

(Rs.) 13048799 16415676

Current

Liability (Rs.)

22510848 27843763

Current Ratio

( in Times)0.58: 1 0.59: 1

Interpretation: - The standard current ratio is 2:1. It implies that for every one

rupee of current liabilities, current assets of 2 rupee are available to meet them.

In other words, the current assets are 2 times the current liabilities. Liquidity

position, as measured by the current ratio, is much more in the year 2011 as

compared to that of 2012. More the current ratio it implies more the ability of

the company to meet its obligations in full. Increase in current liability is reason

for decrease in ratio in 2012.


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0

0.5

1

1.5

2

2.5

2011 2012

currentratio(intimes)

years

CURRENT RATIO

CURRENT RATIO


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2. QUICK RATIO: -Quick Ratio=Quick Asset/Current Liability

Quick Asset= Current asset- Inventories

YEAR 2012 2011

Quick Asset

(Rs.)3760075 4732201

Current

Liability (Rs.)

22510848 27843763

Quick Ratio (

in Times)0.17: 1 0.17: 1

Interpretation: - The standard quick ratio is 1:1. Quick Ratio is a rigorous

measure of companys ability to service short-term liabilities.. Quick ratio has

been same over two years. This implies that the funds has not been

unnecessarily accumulated and are being profitably utilized. Quick ratio has no

difference mainly due to current liabilities over the years.


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3. NET WORKING CAPITAL: -Net Working Capital=Current Assets-Current Liability

Current Assets= Inventories +sundry Debtor + Cash and bank balance + Loans

and advances

Current Liability= Sundry creditors + share applications + Book overdrafts +

advance

YEAR 2012 2011

Current Assets (Rs.) 13048799 16415676Current Liability (Rs.) 22510848 27843763

Net Working Capital

(Rs.)

(9462049) ( 11428087)

Interpretation: - Net working capital has decreased from year 2011 to year

2012; it shows that the ability of the company to meet its current obligations has

reduced. In the year 2011net working capital shows that the company has no

sufficient current assets to meet the obligations and in the year 2012 current

liability is more than current assets which doesnt result in companys disabilityto meet its obligations as company has longer-term contracts which result in

negative working capital in both years because of high Deferred Revenue

balances

4. PROPRIETARY RATIO: -


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Proprietary Ratio=Equity/Total assets

Total Asset= Fixed asset + Net current Assets + Investments

Equity= Share Capital+ reserves and surplus

YEAR 2012 2011

Equity (Rs.) 23451327 31164131

Total Asset (Rs.) 52145448 65573281

Proprietary

Ratio (in Times)0.50: 1 0.48: 1

Interpretation: - This ratio measures the productivity of the capital employed

in the business, it shows the proportion of the total assets financed by the

proprietors. In the year 2011 the proprietary ratio was higher indicating stronger

financial position of the Company. But the ratio is less in 2012 indicating

decrease in strength of financial position. The ratio has decreased because of

difference in equity compared to that of total asset.


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SWOT ANALYSIS of the company

Strength:

Brands image Financially sound Distribution channel/coverage Technology advancement Quality Price competitive Personnel aspect Market expertise International component High promotional activities

Weakness:

Less brand equity Boundary limited only in India

Opportunities:

Capture the market New areas


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Market potential Brand awareness Increase in investment

Threats:

Higher availability of competitors Direct competitors are about to enter in Pakistani market. Technological environment New in market


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Anneures

Balance sheet of Tejkamal trade Links as on 31.3.2010

Schedule

No.

As at

31.3.2010

Amount in

Rs.

As at 31.3.2009

Amount in Rs.

Sources of Funds

Share Capital

01 5000000.00 5000000.00

TotalA 5000000.00 5000000.00


Loan fund :

Secured loans

Un-secured loans

02

03

18994771.41

1956982.00

23155568.28

6136969.00

TotalB 20951753.41 28292537.28

Total A+B 29980708.92 37067409.43


Fixed assets

Gross Block

Depreciation

05

37907215.44

20259782.22

32892326.44

16980898.33

Net blockTotal A 17647433.22 15911428.11

Investments 06 10435540.00 5435540.00

TotalB 10435540.00 5435540.00


advances

Inventories

07

07 a

07 b

10117530.00

1724837.62

8403335.00

1004509.45


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Sundry debtors


Loans and advances

07 c

08

3477640.85

4561066.34

194963.81

16534504.78

19881074.81 26127313.04


provisions


provisions

Current liabilities

Provisions

04

4 a

4 b

16363208.00

1975060.11

8962061.72

1664271.00

Total 18338268.11 10626332.72



not written off


9100.00 13600.00

TotalD 9100.00 13600.00


TotalE 345829.00 205861.00

Total (A:E) 29980708.92 37067409.43


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March, 2011

Schedule

No.

As at

31.3.2011

Amount in

Rs.

As at 31.3.2010

Amount in Rs.

Sources of Funds

Share Capital

01 9000000.00 5000000.00

TotalA 9000000.00 5000000.00


Loan fund :

Secured loans 02 14344423.56 18994771.41


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Un-secured loans 03 6174246.00 1956982.00

TotalB 20518669.56 20951753.41

Total A+B 51682799.94 29980708.92


Fixed assets

Gross Block

Depreciation

05

39865706.44

22125463.86

37907215.44

20259782.22

Net blockTotal A 17740243.00 17647433.22

Investments 06 10835540.00 10435540.00

TotalB 10835540.00 10435540.00


advances

Inventories

Sundry debtors


Loans and advances

07

07 a

07 b

07 c

08

11683474.88

6276193.43

1427306.90

16925115.73

10117530.00

1724837.62

3477640.85

4561066.34

36311990.94 19881074.81


provisions


provisions

Current liabilities

Provisions

04

4 a

4 b

12540509.00

1349972.00

16363208.00

1975060.11

Total 13890481.00 18338268.11



not written off 4600.00 9100.00


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TotalD 4600.00 9100.00


TotalE 680907.00 345829.00

Total (A:E) 51682799.94 29980708.92


March, 2012

Note

No.

As at

31.3.2012

Amount in Rs.

As at

31.3.2011

Amount in Rs.

Equity and liabilities

Shareholders Funds

c) Share capitald) Reserves and Surplus

Sub total A

9000050

14451277

23451327

9000000

22164131

31164131

Noncurrent liabilities:

6183273 6565387


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c) Long term borrowingsd) Deferred tax liabilities-(net)

Sub total - B

-

6183273 -

656387

Current Liabilities:

e) Short term borrowingsf) Trade payablesg) Other current liabilitiesh) Short term provisions

Sub totalC

Total

17241604

726177

4543067

-

22510848

52145448

13953282

4166009

9265808

458644

27843763

65573281

Non- current assets:

a)Fixed assets:

(i) Tangible

(ii) Intangible

(iii)Capital work in progress

b)Non-current investment:

c)Deferred tax asset- (net)

5690572

-

-

10400000695676

22310400

39096648

17740243

-

-

10400000680907

20336455

49157605


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d)Long term loans & advances

Subtotal- a

New Tejkamal

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