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Business established: 

EQUIPMENTS OF QUARRY SAND IN BENIN.

Production and sale sand for constructions in BENIN

Sea sand exploitation in BENIN,triggers huge erosion of atlantic littoral.And the Government decides to forbid the sea sand exploitation and to promote the sand quarry in the plains.

My company has been selected for managing a quarry sand it is necessary to acquire equipments for production sand .

Facts

Year of establishment

2006

Sales (US$)
Two years ago:
Last year:
This year (forecast): 750,000
Year 2 (forecast): 800,000
Year 3 (forecast): 800,000
Net profit after tax (US$)
Two years ago:
Last year:
This year (forecast): 200,000
Year 2 (forecast): 300,000
Year 3 (forecast): 400,000
Total number of Employees
Two years ago:
Last year:
This year (forecast): 30
Year 2 (forecast): 40
Year 3 (forecast): 60

Finance needed

Finance needed for fixed assets (buying of machines, buildings, ...) 40,000
Finance needed for working capital (salaries, stock, rental, leasing, transport, ...) 10,000
Total finance needed (US$) 50,000

How do you expect this to be financed?

Own Contribution in cash 10,000
Loans (debt) 50,000
Shares in your company that you offer to investors (equity)
Other sources
Total finance needed (US$) 60,000

The Business

What is your product/service?

BENAUGE has a quarry sand and the objective of the COMPANY is to produce with shovel 500m3 per day for sale to companies and particulars in BENIN.

Sand is an important material of construction in BENIN.
In BENIN, companies and particulars consume 5000m3 per day.
the proportion of sand in the constructions of houses and buildings is 50%.
With the hydraulic shovel , BENAUGE COMPANY can produce in minima 500 meters cubic of sand.

In the quarry sand we have 5.000.000.m3 of sand.
the price of 1meter cubic is 5 dollars us.

In the year we will work 300 days.
500m3 per day X 300days =150 000m3 per year

the price of 1 meter cubic=5 dollars us.

Annual sales revenue=150 000m3 X 5 dollars us=750 000 dollars us.

the cost of 1meter cubic=2 dollars us.

Annual cost of production=150 000m3X2dollars us=300 000 dollars us

THE ANNUAL GROSS MARGIN= 750 000 usd-300 000usd=450 000 usd.

In the contract with the Government BENAUGE COMPANY won't pay taxes during two years.
IMPACT OF THIS BUSINESS FOR THE DISTRICT

*After exploitation of quarry sand the sit will be transform in fishfarming . this center will supply the families of AKASSATO and Calavi in
fish.

*The population of the district sheltering the quarry sand will be recruit in priority for working in the quarry sand.

*Each year 2%of net income after tax will be use for building classroom and the hospital for the populations.

*BENAUGE Company has a contract with an environmental agengy for analysis and propositions.

Explain how you will sell your product/service (marketing strategy) and how you will reach your customers (distribution strategy)?

Company BENAUGE, has the sales representatives on all the territory of south BENIN. Each agent will obtain an objective of sale.

COMPANY BENAUGE will sell sand less expensive.

COMPANY BENAUGE will produce sand of good quality.

What makes your business different/better than your competitors (competitive advantage)?

the sand of company benauge is fine and white. It is for constructions and bricks.

The Entrepreneur & Management

Describe the entrepreneur & management

AZANHOUE G.A.GASTON General manager of BENAUGE COMPANY.
-jurist specialist of business law
-superior technician of company's management.
-specialist of quality eoropean norm ISO.
-management of constructions

period:1997-2001 Head of department constructions of OFEDE ONG

period:2001-2004 Head of marketing department of COMPANY MAHADE FAMS.

Since2002 President of the association BENIN-DENMARK
Since2000 President of foundation United States of AFRICA.

Since October2006 GENERAL MANAGER of COMPANY BENAUGE.

During many years after my studies, J have managed associations, fundations and companies. J have also do many probationaries periods in Europa and Africa.

J had also managed American and European projects of school constructions.

Development

How does your business improve the local living standards (social and environmental)?

Company Benauge sarl ,manages a quarry sand who will contribute to developp the district of calavi.
Because a part of the profit will be use for building social infrastructures of the populations.

the populations will be recruit in priority in the company BENAUGE.

COMPANY BENAUGE will accompany the district in its development.

Needs
Advice - PR, marketing