Vision Grammar School

Group Members
WAFA RIZVI
MUHAMMAD YOUSUF KHAN
MUHAMMAD TARIQ YOUNUS
FARHAN FAROOQ HEREKER

Opportunities

OPPORTUNITIES
OVERALL INCREASE IN THE DEMAND LEVEL
GROWING PUBLIC KNOWLEDGE ABOUT THE
IMPORTANCE OF EDUCATION
GOVERENMENT INCENTIVES
LIMITED ACCESS TO AFFORDABLE QUALITY
EDUCATION

INCRESING NUMBER OF GRADUATES GIVING

US A VAST SUPPLY OF TEACHERS
POOR FACILITIES IN GOVERNMENT SCHOOLS
RECENT HEC SCENARIO DIRE NEED FOR A
QUALITY INSTITUTION
LIMITED GOVERNMENT AND PUBLIC
SCHOOLS

Basic Overview

Basic Overview
LAUNCHING A SCHOOL BY THE NAME OF
VISION GRAMMER SCHOOL IN PECHS

CLASSES FROM NURSERY TO

MATRICULATION
PROVIDING EDUCATION FROM PRIMARY
LEVEL ONWARDS ENSURES CONSISTENT
QUALITY OF EDUCATION FROM AN EARLY
STAGE

LOCATION : PECHS
BLOCK 6 , ADJACENT
GULISTAN-I-ZAFAR
THE BUILDING HAS
BEEN TAKEN ON 5
YEAR RENT AND
6MONTH ADVANCE
HAS BEEN PAID.

ROOMS
Classes
Library
Science Lab
Activity Room
C. Lab
Staff Room
Arts and Crafts
Kitchen
Pricipal
Account/VP
Total

20
1
2
1
1
2
1
1
1
1
31

Market Coverage

Market Coverage
Population Size and Target Market
The total population of Jamshed Town is 733821.
VGS is at initial stage of the business hence only
4% of the complete market is targeted that is 576
children.
According to Population by Level of Education
and Rural/Urban the urban population of Sindh
primary,middle and matric are 23.61, 20.71 and
19.19 respectively.

Primary
Middle
Matric
Total Student

137
120
111
368

POPULATON BY SELECTIVE AGE GROUPS (in %) www.statpak.gov.pk

Administrative
Units
Sindh
Rural
Urban

5 years or
less
15
16.94
12.95

18 years or
above
49.95
54.59

Literacy has also based upon the distribution of literacy rate

percentage group wise in labor force survey 2007-08 (in %)
www.statpak.gov.pk

Age Group

Literacy rate

05-09

11.11

10-16

22.15

Population by Level of Education and Rural/Urban (in %) www.statpak.gov.pk

Administrative
Unit/Sex

Below Primary Middl Matri

Primary
e
c

Sindh

15.56

27.13

19.20 17.84

Rural

21.36

36.46

15.19

14.28

Urban

13.37

23.61

20.71

19.19

Introduction
Population of jamshed town
18 and above
Less than 18
less than 5
5 to 18
Poverty Rate
Remaining
literacy rate
50% are willing to send their child to new school
target market
expected
primary 23.61 %
middle 20.71 %
matric 19.19%
Total Students

733821
0.5459
400,593
333228.12
0.1295
43,153
290,075
0.7000
203053
87,023
28944
14,472
14,472
579
137
120
111
368

Financials

Initial Capital Requirement

Financing Requirements
Description

Cost

Total Capital Cost (rounded off)

Advance Rent
Reg Charges
Bank Balance
Total Working
Capital

3,350,000

Working Capital
480,000
50,000
1,007,000

4,837,000

Opening Cash

Per
Month

Misc.
Advance salary

387000
620000

Total Cash

100700
0

2 Years Cash Flow

CASH FLOW
Particulars

2011

2012

Opening Cash
Other Income
Add:Cash Reciepts
Total Cash Available

PKR 1,007,000

PKR 214,770

PKR 11,444,356
PKR 12,451,356

PKR 15,270,649
PKR 15,485,419

Less: Payments
Purchases
Labour
OH
Operating Expenses
Interest Exp
Taxes
Repayment of Loan

PKR 55,000
PKR 7,440,000
PKR 3,870,000
PKR 120,000
PKR 493,374
-PKR 176,473
PKR 434,685

PKR 17,000
PKR 7,626,000
PKR 4,874,400
PKR 139,000
PKR 419,478
PKR 260,133
PKR 508,582

PKR 12,236,586

PKR 13,844,592

PKR 214,770

PKR 1,640,827

Total Payments
Net Cash

Profit and Loss Statements

Description

Sales Revenue

Year 1

Year 2

Year 3

Year 4

Year 5

PKR

PKR

PKR

PKR

PKR

11444355.62

15270649.41

18849299.19

22202238.36

27457752.32

Total Direct Labor Cost (Annual)

7440000

7626000

7854780

8090423.4

8333136.102

Fixed OH

3870000

4874400

5120308

5478160.76

5811227.225

55000

5000

5000

5000

5000

11365000

12505400

12980088

13573584.16

14149363.33

79355.6175

2765249.415

5869211.188

8628654.2

13308388.99

20000

12000

12000

12000

12000

9000

28000

20000

28000

28000

Activity Room

21000

20000

28000

20000

121121

Miscelleaneous expense

70000

91000

100100

110110

568940

Depriciation

568940

568940

568940

568940

730061

Total Operating Expences

688940

719940

729040

739050

-609584.3825

2045309.415

5140171.188

7889604.2

12578327.99

Interest Expence

493374

419477.5071

333018.6104

231861.7012

113508.1175

Earning Befor Tax

-1102958.383

1625831.908

4807152.578

7657742.498

12464819.88

Tax Expence

-176473.3412

260133.1052

769144.4125

1225238.8

1994371.18

Net Income after Tax

-926485.0413

1365698.802

4038008.166

6432503.699

10470448.7

Less; Cost of Good Sold

School and student Registration

Total Cost of Goods Sold
Gross Profit

Less; Operating Expences

Promotional Expense
Arts and crafts material

Earning Befor Interest and Tax

ROI, IRR
and Payback Period
CALCULATION OF NPV

YEAR

AMOUNT

DF 25%

DCF

(4,837,000)

1.0000

(4,837,000)

2,011

214,770

0.8000

171,816

2,012

1,640,827

0.6400

1,050,129

2,013

5,652,734

0.5120

2,894,200

2,014

11,957,980

2,015

IRR
ROI

22,182,818

36.01%
-19%

0.4096
0.3277

4,897,989
7,269,309

NPV

11,446,443

28%

83%

133%

216%

Financing Options
Financing Distribution
Description
Percent Amount
Debt Financing
0.6
2,902,200
Equity
0.4
1,934,800
Total Financing Requirement
4,837,000