Project Aristotle: The Financials

In response to the comment from Anonymous to my previous post, here are the financials for Project Aristotle:
(Note: All financials are in Rupees and relate to Pune, India. They will have to be extrapolated for other cities / countries)

Outflows:

Per School:

Production:
Rs. 32,400 x 4 = Rs. 129,600/-

Workshops / Rehearsals:
Rs. 250 x 480 = Rs. 120,000/-

Books:
Rs. 70 x 1000 (students) x 4 (productions) = Rs. 280,000/-

Working Capital Overheads (Office, staff, etc.):
15% of Production+Workshops+Books = Rs. 79,440/-

Total Per School: Rs. 609,040.00

No. of Schools: 60

Grand Total: Rs. 36,542,400.00

Inflow:

Per School:

Rs. 2,500 x 750 (students) = Rs. 1,875,000.00

Grand Total:
Rs. 1,875,000 x 60 (schools) = Rs. 112,500,000.00


Market- size, segments,positioning, targeting

No. of Students per school:

From classes 5 to 9:
5 (classes) x 3 (divisions) x 50 (students per division) = 750

No. of Schools:
60

Total Market Size: 45,000 students

Resource requirement-land,labor,capital

Premises:

All that is needed is a central co-ordinating office, either on rent or bought out. Workshops / Rehearsals are to be conducted at the school premises. Performances are to be conducted in the School Hall.

Labour:

Approximately 5 co-ordinating staff to handle marketing and scheduling of workshops / productions.

Workshops to be conducted by educated housewives who shall be trained in the methods of teaching drama and conducting rehearsals. They are to be paid Rs. 250/- per workshop they conduct.

4% of projected revenue per annum to be used for advertising.

Growth Plan

The plan is scalable from 1 to 60. 1 school joining the project pays for itself in the first year. More schools will entail advertising and marketing, which may be leveraged from earnings from the first school.

Core and Peripheral Services

The Core Service is the development of the reading habit in the child. Peripheral services include training in theatre for the child and additional sources of revenue for the school (in terms of musicals and other open productions staged by the school with its trained students).

Pricing

Rs. 2,500/- (approximately $50) per child per year.

Core Ideology

The Core Ideology is to make reading a non-intrusive part of a child’s fun activities, thus using its own motivations to empower it to develop itself.

Deepak