This pre-feasibility study is about Florist Shop business in the floriculture sector. Florist Shop is a retail outlet having a warehouse and an in-house living facility for workers to deal in a variety of fresh flowers, flower baskets, bouquets, event decoration and car decoration for weddings. The shop will be located in developed urban areas and cater to the needs of local customers as well as surrounding areas.
The proposed project has capacity of selling 144,750 flowers, basket & bouquet car decorations and events. Total project cost is estimated at Rs. 3.21 million with capital investment of Rs. 2.69 million and working capital of Rs. 0.52 million. Based on an equity finance model, the project NPV is around Rs. 3.73 million, with an IRR of 38% and Payback Period of 3.54 years. The project will provide employment opportunities to 9 people including the Owner. The legal business status of this project is assumed to be ‘Sole Proprietorship’.
The estimated potential of the project varies according to the selected business dimensions including but not limited to business model, marketability, investment size, availability of raw material and location. However, the estimated revenue of the proposed business would be Rs. 12.38 million in the first year. It is proposed that the status of this business should be a sole proprietorship.