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CBA (Cost Benefit Analysis Report):NonVeggies

General Information:
Purpose: The purpose of this cost-benefit analysis is to determine
whether the investment in operational, technical Staf is the best
option for Non-Veggies and its interested investors, to pursue at
this time.
Overview: Non-Veggies is looking for investment to make itself the
best brand when it comes to the Non-Veg market. Hence we at non
veggies believe that a thorough study of utilization of investment is
necessary not only for the betterment of the industry but also to give
our investors the best ROI.
Here we present the cost benefit analysis for recruitment of staff,
which shall be done in mainly three departments to maximize the profit
and these departments are:1) Operational department
2) Technical department
3) Marketing department

Operational Department: Mainly comprises of the staff responsible


to meet the demand effectively and efficiently:Job role

Salary
pm(INR)

number required

total salary (post


wise in INR)

Total salary
(year in INR)

Butchers

20000

120000

1440000

Helper Cum Cleaners

10000

60000

720000

Supervisors

25000

50000

600000

Delivery Boys

15000

10

150000

1800000

Total

70000

24

380000

4560000

Benefit:
This Operational Department is capable of managing a demand(orders)
of=X orders per depot per day
Hence, for 2 Depot: 2X
Total Orders in a month=2X*28
Considering the average order cost =435 INR
Potential Gross Revenue= 435*2*X*28
Gross Profit per month=105*2*X*28(considering average profit:105)
Hence yearly gross profit= Gross Profit per month*12
Net Profit (annual)=
Summary:
Cost incurred:
Revenue generated:

Profit generated:
Technical Department: Non-Veggies being a food technology
company, having a proficient technical team is not only essential for
the functioning and branding of company, but also for
maintaining smart inventory management systems(refer
Inventory management report)
The tech department comprises of:
Salary
pm(INR)

Job role

total salary
(post wise in
INR)

number
required

Total salary
(year in
INR)

Senior Web Developers

50000

100000

1200000

Junior Web Developers

20000

80000

960000

Senior Android Developer

50000

100000

1200000

Junior Android Developer

20000

80000

960000

SEO, SMO, Online Activity,


PR, Facebook and other
online Presence and
marketting

20000

40000

480000

Total

160000

14

400000

4800000

Marketing Team: Reaching the customers and generating awareness


and demand for our exceptional products is their main purpose. At
initial stages the main purpose of marketing team will be to reach
and convince maximum influencers (dieticians, nutritionists,
personal trainers, pediatricians, doctors) to partner Non-Veggies.
And also to conduct grassroots and ground marketing. Real time
marketing is essential to build a brand name really quickly.
Salary
pm(INR)

Job role

Number
required

total salary (post wise


pm in INR)

Total salary
(year in INR)

Call Center &


Support Senior
executive
Call Center Junior
Executives

12000

24000

288000

15000

75000

900000

Marketing Senior

45000

90000

1080000

Business
Development and
marketing reps

25000

100000

1200000

97000

13

289000

3468000

Total

Benefit:
CLV=2361.26 INR
Estimated reach of Team=X new users a month
Revenue generated=X*2361.26
Estimated CLV(subscription)=8000 INR
Revenue Generated=8000*Y
Total Revenue generated=2361.26*X+8000*Y

Summary:
Cost incurred=
Revenue generated=
Conclusions and recommendation
Estimated payback period:
Based on our CBA report our Project is a very viable project and the
intangible losses on failure of project are ignored due to our capability
and brief but useful experience in the industry and also due to lack of
strong competitors.
Hence our CBA can validate that investing in Non-Veggies staff
(assuming the risk factor) would not only take the companys revenue
to new heights but will also generate a very good ROI for the investor
involved in the seed round(in a short period of time.

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