Starting a Business

1. Starting a Business August 11 & August 16, 2011

2. Company Overview • Name of company and its description • Sole proprietor, partnership or corporation? • How will the company grow from small to large or from domestic operations to foreign operations • What products and where will you sell them?

3. Company Overview (Contd…) COMPANY NAME TYPE GROWTH PRODUCT Glocom (Global Communication) Partnership -Private Domestic & International Sim Card Branded clothes & accessories Gradually added brands at low price Partnership -Private Brand Wars Clothes of famous musicians Youth – Service, Price and cost control Partnership -Private Crazy Cloth Cloaks - Temperature controlled & Back Relief Metros & International Partnership -Private Cloak It Colleges and Educational Institutes Computer tablets in writing benches Daos Technologies Private

4. Product and Service Description • Sell your idea by generating some excitement • Be factual but enthusiastic • What knowledge or skill is required for producing / providing the product / service? • What tangible or intangible resources will be required for producing / providing the product / service

5. Product / Service Description (Contd…) Selling Your Idea “Ting, Tong – Stress Gone” “Fusion in Fashion” Knowledge / Skill Required Management, Engineers, CAs, People Skills Tangible Resources Glocom (Global Communication) Cloak It Daos Technologies Intangible Resources Glocom (Global Communication) Brand Wars Daos Technologies Crazy Cloth Cloak It

6. Marketing Strategy • What is your target market for the product / service? (type of customers, regions, cities, villages, etc.) • Why have you selected the target market? What unmet needs and demands can your business cater to through your product / service? • How will differentiate your product / service from your competitors? • How will you communicate with your target markets regarding your product / service • How will your distribute the product / service

7. Marketing Strategy (Contd…) Direct selling, media – banners, hoardings, mobile SMS Glocom Brand Wars Social Networking websites and customer feedback Crazy Cloth Social Networking websites and customer feedback Cloak It Ads on TV, newspapers, electronic stores like IKEA, Croma , etc. Fashion designers’ stores Daos Technologies Direct selling to colleges and educational institutes

8. Management • Identify the management structure among team members based on the ownership structure (sole proprietor, partnership, etc.) of your company • Explain the functions of your management structure

9. Compliances • Companies Act, 1956 - Companies to be formed by registration that includes framing the responsibilities of the business (sole proprietors, public / private limited company) • Indian Partnership Act - relation between persons who have agreed to share profits of a business carried on by all or any of them acting for all • Indian Societies Registration Act, 1860 - societies might be formed by a MoA by any seven people associated for any literary, scientific, or charitable purpose. The memorandum of association had to be filed with the Registrar of Joint-stock Companies. • Registrar of Cooperative Societies – Registration and cancellation of a cooperative society • For all companies: • Memorandum of Association (MoA) – Document that governs the relationship between the company [its members and creditors (banks, financial institutions, individual depositors, etc] • Articles of Association – Description of the constitution of your company: • Issuing shares • Intellectual rights / property, patents, etc • Management decisions • Dividend policy (if any)

10. Compliances (Contd…) • Competition Act, 2002 - Indian traders must not do any activity for promoting monopoly. If they will do any activity in the form of production, distribution, price fixation for increasing monopoly and this will be against this act and will be void. This act is very helpful for increasing good competition in Indian economy.  • Monopolies and Restrictive Trade Practices Act, 1969 – aims to prevent concentration of economic power to the common detriment, provide for control of monopolies and probation of monopolistic, restrictive and unfair trade practice, and protect consumer interest. • The Chartered Accountants Act 1949 - To regulate the profession of Chartered Accountants in India. • The Company Secretaries Act 1980 -  The Institute of Company Secretaries of India awards the certificate bestowing the designation of Company Secretary (CS) to a candidate qualifying for the membership of the Institute. • Income Tax Act, 1961 – Taxes on incomes

11. Compliances (Contd…) • Indian Patent Act, 1970 • State Sales Tax Acts or Central Sales Tax, 1956 • State Excise Acts of Central Excise Act, 1944 • For manufacturing businesses • Industrial Dispute Act, 1947 • Factories Act, 1948 • Consumer Protection Act, 1956 • Industrial Development and Regulation Act, 1951 • Consumer Protection Act, 1986 • The Environment (Protection) Act, 1986 • Air Pollution Act • Water Pollution Act • The Foreign Trade (Development and Regulation) Act 1992 - An Act to provide for the development and regulation of foreign trade by facilitating imports into, and augmenting exports from India and for matters connected therewith or incidental thereto.

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