KAUSHAL JHA

BANGKOK (THA)
Role(s):
Founder/Owner/Principal

furniix

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Location: Bangkok
Industry: Manufacturing
Year Founded: 2011
Number Employees: 1-10 people
Business Stage: Creation/Idea
Entity Type: Sole Proprietorship
Description: Brief about Business: 1. Organization Type: The venture will be a Limited Company as per Thai laws. The manufacturing plans as well as admin and marketing office will be in Thailand itself. The company will deal in manufacturing of Edge Bandings and surfacing materials (i.e. used as accessories in manufacturing of furniture and fixtures). The end products will be marketed and sold locally as well as overseas. 2. Product Details: The primary scope of production will be for edge bandings and surfacing material. This product finds application in office and home furniture that adds value to the end product by enhancing the appearance and protection. The required raw materials for such production include thermoplastic raw materials like PVC, ABS, PP, Polyester etc. It is manufactured in various, colours, patterns, and dimensions to suit the end product and customer preferences. 3. Current Market Situation: There are only few renowned companies which have good brand names. Most of them are either producing thick edging or thin edging; only 6 companies are producing both thin edge and thick edge. Manufacturer has to match the edges color same as the Surface color of the board (Pre-laminated MDF/HPL/Melamine faced Board/Plastic faced board). Out of these 6 renowned companies, only 2 companies are producing Surfacing material (Melamine paper) and plastic edging. Apart Melamine surface there is huge demand for ABS/ PP Surfacing material (0.2 mm) in the market for application of surface as well for profile wrapping. Objectives and Mission of the company Mission: Establishing a reliable source for our clients where then can be assured of good quality products with a professional and stable business partnership Objectives: To establish a Manufacturing company with sustained growth with an objective of full customer satisfaction by continuous upgradation of system with involvement of Employer, Employees, Vendors and Customers and also to provide high quality products at competitive price along with the creation of brand in the market. Value to Your customer (Our Advantages on competitors) • Market Demand at Present : The biggest and profitable market is Australia, New Zealand and Korea where company can make more profit. These 3 markets are very stable in case of colors and customer does not want to change colors very easily. However other markets are fast color changing. In this market we can work with bulk quantity manufacturing for White, Black and Grey which can attract to stockiest. Thailand market is most volatile market in case of colors. In this market colors changes very fast so have to work with option tailored made color match. Short time color match will be a key success to capture market for small quantities to big quantities. Indian market is growing very fast and this market is low end market with heavy competition. All Middle East market is low end market, where bulk manufacturing will be a key success to achieve the target market share. • Our Competitive Advantages : o There are less no of Edge banding producers in comparison to other type of extrusion products. o The uniqueness of this particular product is color control in production colors (Batch to Batch). Companies used to get failed when one batch of color varies from other batch which is a big issue for all the companies. We have gained better knowhow on such control which gives us an edge on our competitors. o We have established a good contact network for customers. Being in this industry for 10 years, we know all the customers as well players who matters. At the same time we have very good relations with the raw material suppliers who provide good quality raw materials at very reasonable price. o We have very good knowhow on how to control the raw material consumption cost based on suitable application of reusable ingredients. o We would produce 0.2 mm surfacing material which is currently manufactured by only few companies which also manufacture thin (0.4 to 0.6 mm) edge bandings. o Customer has advantage to procure from single source company with next to Zero tolerance of colors as surfacing and edging is produced at same place. o Thin edge (0.4 mm) and thick edge (up to 3 mm) can be produced at same company. Our competitors main produce only one type of edge banding o Unlike most of our competitors we will also produce tailored colors in addition to the standard ones. Current Status of the Projects: o Have prepared the financial as well material needs for the execution of project. o Have listed out the machine suppliers and currently in communication with them on pricing and functionality add on details. o Have a team of professionals ready to join the company with expertise on sales/marketing, production, QC and maintenance. o The Not-Yet-Finalized issues are : • Name of the company • Source of Finance ( Investor/Bank ) • Location of the Plant Management Team: • CEO, Head Sales and Marketing [ Confirmed ] • Production Head [ Confirmed ] • Admin and Finance [ Not Yet ] • Board of Directors [ Not Yet ] Amount You need over next six months and how it will be used for disbursement: • Cost of Machines and Plant preparation (i.e. in overall assets ) needed during first 6 months : US$ 6,561,290 • Cash flow (working capital) needed during first year ( taking into considerations of the clients credit period ) and raw material: US $ 8,928,032 Note: In such kind of manufacturing, it would be more appropriate if financial needs are considered for 12 month. Exit Strategy: We look forward to hear from your side on this issue.