AAPKA KABAADI

aapki seva mein...

SECTION 1 : EXECUTIVE SUMMARY

 AAPKA KABAADI will be a technology driven company working on IaaS

(Information as a Service) based model for the technology platform to make Smart Waste
Management system. Our platform will help to find and map assets that streamline the
collection of post-consumer waste, schedule efficient & cost-effective pickups and
incorporates them into Recycling/vendor network.

 Our company will be operating in the local areas of Jammu city only for now. It may be
expanded in the future period of time.

 AAPKA KABAADI aims at organizing and professionalizing the rag picking business
that exists in the form of an unorganized sector and use the business model for better
sustainable environment.

 We are planning to make this project accessible for the local consumers who find selling
rag a time consuming and a meticulous job.

 Aapka Kabaadi will be a business model requiring a team of 2 to 3 people in the

beginning to put the project in motion.

 We collect scrap from Home, apartments, local businesses, offices, shopping malls,
schools, hostels , hotels, hospitals & restaurants. Anybody can contact us and we may
vary rates for wholesale pickup.

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 SECTION 2 : PROJECT BACKGROUND

The project which is proposed by us deals with the regular kabaad or in local language we call it
"RADDI". Our project is a part of solid waste management initiatives. 'Waste' in a broader
perspective includes organic waste or liquid waste; inorganic waste which includes metal, paper,
plastic; construction and demolition waste. We will be dealing with inorganic waste.

According to our research, many other ventures have been undertaken before to tackle inorganic
waste and make a sustainable and profitable business out of it. One such venture is of Kanpur
brothers. The duo worked on the strategy that turned the discarded flowers into other items like
incense sticks, items used for havans or sacrificial fire etc. It was named as Help Us Green**.

Toxics Link, a New-Delhi based environmental NGO, classifies waste pickers into four
categories:
a) Those who carry sacks and collect anything of resale value from open drains and bins;
b) the kabadi or bhangar men on bicycles who collect from households and then segregate
glass, paper, and bottles from plastics;
c) those who ride tricycles and collect almost 50 kg of waste each day and travel long
distances to sell them, and finally,
d) those who work for scrap dealers.
e)

SECTION 3 : PROBLEM STATEMENT

 Overview of Problem Statement

Rag picking industry as a waste management industry is though well established in India,
but still has wide opportunities for young entrepreneurs to enter in this field. Many
families are currently earning their livelihood from this industry, but still there are
loopholes which can be identified and corrected.

(**https://www.firstpost.com/business/helpusgreen-two-kanpur-youngsters-initiative-to-convert-holy-
waste-to-fragrant-items-2595752.html)

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 India produces 62 million tonnes of waste which comprises of 43 million tonnes of solid
waste. Sadly, almost 70% of this waste is untreated and dumped at landfill sites.
While, the solid waste management rules have made waste segregation for disposal
mandatory for every waste generator, it is still far from being implemented. Mostly due to
lack of awareness and effective means of alternatives for disposal of dry waste. However,
good news is that as urban Indians are evolving fast to keep pace with latest technologies
and their services, the waste management sector too, seemed to be gearing up to provide
online services to them.

Given that rag-picking is a totally informal sector it is hard to quantify how much waste
is collected in this manner, but there are rough indicators: Only 75-80% of the waste
generated in India is collected by municipal bodies. And more than 90% of India does not
have a proper waste disposal system.

A lot of garbage clearing thus is the done informally, by rag pickers who work without
any job security, salary or dignity. Not just that, they are regularly exposed to cuts,
infection, respiratory diseases and tuberculosis apart from poverty, humiliation,
harassment, and sexual abuse on the streets, as IndiaSpend** investigations found.

 Actual Problem
The main problem that exists in the business of rag picking are the loopholes in the
industry of waste management right now. The rag picking is a completely informal and
unorganized sector wherein the poor and local rag pickers are exploited by the bigger
people in the business. there are local collectors, area collectors and then finally city
collectors that get into the chain of selling before the kabaad reaches the factory for
recycling. Due to the presence of informal structure, it is the households that suffer. The
local vendors wander from lane to lane carrying their empty racks in search of kabaad or
raddi, which the customers are willing to sell.

**https://archive.indiaspend.com/cover-story/why-ragpickers-unrecognised-and-unpaid-are-critical-for-
waste-management-in-india-43164

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 For the fast moving world, the problem in this system is that the consumers have to
waste a lot of time in searching for such vendors when in need as there is no specific
timing of the vendors to arrive. Or they have to get into rate bargains with the vendor
about selling prices of the materials regarding which they are completely unaware of.

Technology is being revolutionized and today's business industry, in whatsoever sector,

demands the business to have an online portal so that it could flourish and be able to
survive the dynamic business environment. The problem is that customers need to be
aware about rag pickers around them and the feasibility criteria and only online portals
could fulfill this issue.

So, the immediate cause of this problem can be stated as the wide consumer base in
Jammu and the insufficiency of the existing informal system to meet the demands in an
organized manner.

SECTION 4 : SOLUTION

Our project "AAPKA KABAADI" will enter into online Scrap market to organize the
process related to Buy & Sell of waste from the customers online. As there are many loopholes
in the existing scrap/kabaad system. We aim to make a wider impact in our flourishing waste
management industry by forming our own team and collaborating with all the vendors to form a
profitable chain management with a hassle-free online pick up pre-arrangement for our
customers through a dedicated Mobile Application & a vendor purposed mobility solution to
crack down nerve free communication between customers and vendors where we will have our
dedicated team to monitor all the web process for a smooth functioning. We will operate in
Jammu for now. Our dedicated teamwork on the request will deliver the best service and solution
for the request. Buying product online is easy, getting rid of them when it becomes
useless/redundant/old is not. We will provide the service for the same.

Our direct BENEFICIARIES will be the households or the customers who will book the
pickup. They will be directly benefited from the ease and viability the project provides. The

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indirect beneficiaries will be the society whose concern will be taken care of and the local rag
pickers who are planned to be involved in the business once it grows.

OUR MISSION STATEMENT

We aim to provide hassle free, time saving and quick services to the customers by putting our
green super heroes in action with eco-friendly carry bags and an electronic weighing machines to
ensure transparency and contribute to the environment sustainability in best possible manner.

OUR VISSION
To achieve sustainable growth and be recognized as an established online local ragpicking
business wherein customers can trust us completely with their contribution to environment; to
spread our network to every area of Jammu and to break taboo of society that rag picking is a
dirty job and with our organized and hygienic services.

Key Objectives Of The Project

 To be able to cover 20-30 customers in a day by the end of the year.
 To provide simple and cost effective platform to the consumers so that selling scrap
becomes hassle free and easy task for them.
 To provide timely and quick service to the consumer by scheduling pickups from door
step.
 To form an efficient team of kabaadiwala's who will deliver the best possible services to
the consumer.
 To be transparent with the customers in terms of prices and weight. A rate list will be
uploaded on the website and our agents will be armed with eco-friendly carry bags and an
electronic weighing machine.

Long Term Goals

 To involve as many local rag pickers as possible in the model.
 Contribute back to the society in the forms of donation and cleanliness.

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 SECTION 5 : OPERATIONAL PLAN /WORK PLAN

 AAPKA KABAADI will function in a manner that the interested or customer who is
willing to sell raddi will book a schedule pickup through the website or call. The phone
number will be displayed on the website.

 Our project will be an INFORMATION driven project. A website named as

www.aapkakabaadi.com will be set up for the purpose. For the beginning time or time of
establishment, there will only be a website as an online portal. Later an application will
be developed for the same purpose.

 Our team required will comprise of 3-4 people will have to be recruited as the part of the
team who will go from home to home to pick up the scrap scheduled for ; the manager
and the accountant role will be handled by the founders of the business.

 PLAN FOR PICKUP

Customers can contact us through the website or the whatsapp no. given on the website.
The pickup will be scheduled within2 days . The customer according to his convenience
can chose the slot of timing ie., morning evening or noon. The customer can also track
the pickup on the website. We will be scheduling pickups for the next day. Since in the
beginning customers will be less, so we will not include local rag pickers rather our team
will go on 2 vehicles. Later when customer base increases we will include local rag
pickers in our business and they will be then covering the local market as per the
schedule given to them through our application and dump the scrap in the evening in our
vans which will then be taken to the storehouse.

 To add values to our project we have decided to tie up with an NGO to whom will we
supply donated clothes and also the money of sale of scrap if anyone wishes to will be
donated to them.


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 The PRICES of the various items or materials will be displayed on the website for the
transparency factor with the customer :-

TIN PLASTIC BOTTLE

10 / kg 9 / kg

BATTERY IRON

40 / kg 17 / kg

COPPER CARDBOARD

350 / kg 7/kg

E-WASTE NEWSPAPER
25 / kg Rs. 9/ kg

BOOKS TYRE
9/kg
Rs 5 per kg

BRASS POLETHYNE BAGS

250/kg 5/kg

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 BICYCLE MIX WASTE

4/kg
100-150

STEEL CLOTHES

26/kg O.OO/ kg

NOTE : Rate of materials not mentioned here can be negotiated but at the price of scrap only. A
consumer can sell anything not of use to us be it the vehicles even.

 Once the scrap will be collected , it will be brought to the central location of
land which will be our plant wherein the scrap will be weighed, combined
and segregated into different materials to be sent to various industries for
recycling. The products which can't be recycled will be sent to the
incineration plant so that the waste can be converted into energy.

SECTION 6 : SWOT ANALYSIS OF AAPKA KABAADI

STRENGTHS
 Usage of technology
Unlike the local rag pickers, our organization will be using the equipments like electronic
weighing machine. It will not only help the customers to know the exact amount of rag
being sold by them but will also help our employees to weigh the material in a less
chaotic manner.
 Virtual platform
On contrary to the traditional ragpicking practices where the vendors moved from house
to house in search of customers; we shall be having an interface online where the
customers who need the service shall comeforth themselves and fill in the request for the
same.

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 Easy access
With the establishment of the portal online the customers will not have to go in search for
a rag picker but just login to our website and without any hassle their appointment with
our rag picker will be finalized.
 Customer satisfaction measures
One of the positive change that our business shall be bring around is in this sector will be
creating a mechanism where the customers are provided a platform to lodge their
complaints and provide their suggestions in improving our services.
 Sustainability
One of the goal of our business shall be working for a sustainable environment. The bags
to be used for the movement of rag shall be environmental friendly and we will also be
promoting the concept of recycling.

WEAKNESS
 Resistance from existing rag pickers
The age old rag pickers will not be very welcoming to our business; as they would
consider us their tough competition.
 Less profitable
Initially the business of rag picking will not be very profitable as the margin for profits is
very low. And the cost of setting up is high.

 Building customer base

Customers have been associated with the local vendors for a long time and then expecting
an immediate switch towards our business which is completely new in the market will be
tough job..
 Limited resources
Being a startup the availability of resources to our disposal shall be very limited. It shall
take time to build up a solid base of resources required for the business.

OPPORTUNIITES

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  New concept in the market of Jammu
Starting an online portal for rag picking is a complete new concept in our region. No
competition on this level existing right on. So this is an untapped sector and so an
opportunity for us.

THREATS
 Competition From Local Kabaadiwala's who already exist in the market and are
working effectively. Already existing market leaders pose a huge threat to our business as
they have a well acquired markets with a strong customer base.

COMPETITORS ANALYSIS**
There are many competitors in this field who operate in their respective areas but wish to
expand and so are a threat to our firm. Foloowing are a few of them :-

(1) The Kabadiwala

‘Sell Scrap & Earn Money’, is what their website says. Just what a traditional kabadiwala
(scrap dealer) would do, while making rounds in the by lanes of our localities with a weighing
scale, calling out in a typical style.
Locations served: The Kabadiwala is currently present in Bhopal, Indore, Ahmedabad&
Aurangabad

(2) Junkart
Junkart is a startup which aspires to flourish in the waste management industry by
collaborating with all the vendors to form a profitable chain management and provide a
hassle-free online pick up for customers through a dedicated Mobile App.
Locations served: In Delhi-NCR. Their services are catching up in Bangalore & Mumbai as
well.

**https://www.google.co.in/url?sa=t&rct=j&q=&esrc=s&source=web&cd=6&cad=rja&uact=8&ved=2ahUKEwiar_Pz2ZvhAh
W1muYKHYuMB48QFjAFegQIBhAB&url=https%3A%2F%2Fiknowwaste.com%2Fsave-the-landfill-these-waste-pickers-let-
you-encash-your-trash-just-by-a-click%2F&usg=AOvVaw24sMXLgpKzTIuZw_lqXk9W

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 (3) Toter
Toter is Hyderabad’s first digital doorstep recyclable pickup service from Waste Ventures
India. They assure a transparent service in terms of price or weight. While they had started off
with waste pick up service for the city’s transport and food delivery needs, they are now
changing the way waste is collected from households across Hyderabad as well.
Locations Served: Hyderabad

(4) Karma Recycling

This one’s for electronic devices. Karma Recycling buy your old electronic device like used
smartphones, tablets, and laptops in any condition and recycle by fixing or re-engineering
them and then reselling them.
The website: Karma Recycling
Locations Served: New Delhi, Gurgaon, Noida, Ghaziabad, Faridabad, Chandigarh, Mohali,
Ludhiana, Jalandhar, Amritsar, Jaipur, Indore, Ahmedabad, Vadodara, Mumbai, Pune,
Hyderabad, Bangalore, Coimbatore & Chennai

(5) Khalibottle
This one’s for those living in Bengaluru. Similar to the services listed above, Khalibottle is
also an online platform which lets you sell your dry waste and unused items, including
coconut shells! The company aims to bring in more dignity to the informal waste recycling
profession, while creating cleaner, sustainable communities through better use of resources.
The website: s
Locations Served: Bengaluru

SECTION 7: FINANCIAL MODEL

We will bring in Capital of Rs 200000 and land as capital for 8 lakhs. We will take a loan of
4,00,000. The land which will act as the central store house is an asset which we already own
and are using it for the business. Loan will be taken against the busines land.

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FIXED COSTS

 Office set up - Rs 30000

 Electrical weighing machine - Rs 10000 , 2 machines of 5000 each
 Website development costs - Rs40,000
 Transportation Vehicles costs Rs 3,00,000 (2 vehicles at second hand prices)

VARIABLE COSTS

 Advertising costs ( through news paper, websites ,sponsors etc ) - Rs 10000

 On plant labour costs - Rs 450 per person per day
 Vehicle Maintenance - 4000 - 4500 per month per vehicle
 Transportation charges -2000 per truck per month
 Website maintenance charges- 2000 pm
 Miscellaneous costs :-
Uniform costs including gloves- 1000 per person
Costs of packaging materials of scrap - Rs 1000

REVENUE / INCOME MODEL

The revenue in the model can be generated by recycling the wastes in the factories and the
amount generated from them. The materials will be sent to the respective factories like all the
newspaper , second hand books will be sent to the paper mill, iron materials will be sent to iron
and steel industry etc.

We will be selling the materials to the factory at the following rates :-

MATERIAL PRICE PAID BY FACTORY PER KG

IRON 25.00
PLASTIC 15.00
PAPER 15.00
CARDBOARD 12.00
BATTERY 60.00
COPPER 385.00
TIN 15.00
STEEL 35.00
BRASS 300.00
TYRE 10.00
ELECTRONIC WASTE 32.00

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 From the above prices an income revenue statement can be prepared which will help us
to calculate the net profit earned after deducting the profits.

REVENUE ASSUMPTION
We have made an assumption for the first year of business and following quantities we
will be able to sell :-

1. Paper - 5380 Kg 7. Steel - 1000kg

2. Tyre - 750Kg 8. Copper - 40kg
3. Cardboard - 2800kg 9. Battery - 410kg
4. Plastic - 2560 kg 10. Electronic waste - 320 kg
5. Tin - 900 kg 11. Iron -400 kg
6. Battery - 300 kg 12. Brass -90 kg

INCOME EXPENDITURE STATEMENT FOR THE FIRST THREE

YEARS

PARTICULARS 2019-20 2020-21 2021-22

A. Income/Revenue
Net sales revenue 5,79,000 7,95,320 10,99,856
B. Total expenses on Costs
Cost of scrap paid to customers 2,58,920 4,04,575 5,86,750
Interest on loan and installment 40000 36000 32000
Website charges 24000 24000 24000
Salary to team ( 6500 each ) 156000 156000 156000
Transportation expenses of truck 24000 24000 24000
Office dev cost written off 5000 5000 5000
Website development cost w/off 4000 4000 4000
Packaging costs 2500 2500 2500
Vehicle maintenance charges 72000 108000 108000
Advertisement Expenses 10000 - -
Cost of labour 70000 90000 120000
Total of expenses 646420 866075 1066250
Net profit/loss ( A-B) (87,420) (50,755) 33,606

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 BALANCE SHEET FOR 3 YEARS BEGINNING FROM 2019-20
FINANCIAL YEAR
2019-20 2020-21 2021-22

LIABILITIES
Long term Loan @10% interest 4,00,000 3,60,000 3,20,000
Capital 10,00,000 10,00,000 10,00,000
Net Profit/loss (87,420) (50,755) 33,606
Total sources 13,12,580 13,09,245 13,53,606
FIXED ASSETS
Land 8,00,000 800000 800000
Vehicle ( less dep ) 3,00,000 270000 243000
CURRENT ASSETS
Cash in hand 1,29,580 1,55,000 2,26,000
Miscellaneous 3000 4000 4000
Website 40000 40000 40000
Office 40000 40000 40000
Total Assets 13,12,580 13,09,245 13,53,606

SECTION 8 :CLOSING STATEMENT

The above mentioned project has been proposed while keeping in mind the wide scope of the
same as it is not only a fresh idea in the sector but also an initiative taken while keeping the
environment safety in mind. Keeping in mind the uniqueness of the idea we shall be expecting
external funding that will only boost our growth and help us achieve our predetermined goals
and objectives within the time set up. Also that the educated handlers like us shall work in a
more productive way as the critical work of segregating the types of wastes and disposal of the
same in the most environmental friendly way will be studied and understood well before in time.
This project will be our small initiative towards the development of our city and bringing in a
more sophisticated technology and handling of the rag picking business.

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