Proposal for starting TOTAL OIL MANAGEMENT( TOM) all over India

Rev 02 Dated 27-01-2017

START UP INDIA MISSION

Responsibility and Revenue Sharing (RRS) Model

CbS – Filtration division offers an unique opportunity to the interested parties. The proposal is defined below;

A BRIEF ABOUT THE PROJECT

  1. CbS has a plan to offer opportunities under “START UP INDIA“ to start the “Total Lubrication Management (Oil Filtration Business)” on all India basis in joint venture/ Association with the interested parties / individuals.
  2. Any person/concern (REFERRED HERE AFTER AS JVP – Joint Venture Party) that wants to start the filtration business in his area can join hands with CbS on responsibility and revenue sharing (RRS) basis.
  3. On all India basis there is huge potential in all Government owned, privately owned companies, Power plants, manufacturing Industries, hotels, etc. These customers look for parties that can provide “TOTAL LUBRICATION MANAGEMENT” services on contract / rental basis. Just for example State of U.P. has paid 100 crore last year to the agencies for cleaning of their transformer oil in various distribution transformers in addition to the cleaning with their own machines. A large percentage of distribution transformers fail due to improper upkeep of transformer oil. Each manufacturing company has a budget of few crores to manage their lubrication needs.

    The brief details and scope of work is defined below:

CbS SCOPE

  1. CbS will provide the Oil filtration machine of business demand capacity absolutely free of charge to the interested person who is willing to start contract oil filtration operations under START UP MISSION to support the Capital input requirement of business which is normally a serious constraint for a bubbling entrepreneur.
  2. CbS will provide training and technological back up to the Start up entrepreneur and his team.
  3. To provide training for business process and accounting billing and business generation in hand holding mode.

ENTERPRENUER (JVP) RESPONSIBILITY

  1. To have serious willingness and intention to grow in business.
  2. To create a team to carry out business.
  3. To take training seriously and learn about various processes and plant.
  4. To devote time to carry out market survey and asses the business availability and operation cost.
  5. To obtain family moral support for business as START UP.
  6. To take orders for cleaning on behalf of CbS and to undertake movement of machine to site and carryout job.
  7. All the revenue that gets generated will be shared 40: 60 basis. After the deduction of taxation money, 60% of the revenue will be transferred to the party. CbS will retain only 40%.
  8. CbS will not bear any running /Operation /maintenance / or any kind of expenses.
  9. Billing etc. will be done by CbS only in the name of the customer directly till the machine is not transferred to the party.
  10. Money will be received by CbS directly with the efforts of the party.
  11. The party will have to provide the BG for the full amount valid for a minimum period of three years or The cheque for the full amount (good for payment certified by bank) towards the Guarantee of the machine payment.
  12. In case filtration machine is required to be mounted on a vehicle. Vehicle will be provided by the party. Scheme is only for filtration machine.
  13. Operation running Transportation to client, general repair and maintenance of the machine, employing the man power or any other direct or in direct cost will be the responsibility of the party only.
  14. All statuary regulation Taxation papers etc will have to be met by the party only

General Terms:

  1. Sharing of the revenue etc will be on the basic cost of filtration received from the party on NRV( net realised value by the company after the removal of all types of Taxes . transportation price adjustment etc basis. No sharing in the taxes or in the expenses what so ever will be done. The JVP partner will be required to pay minimum 50000/- (fifty thousand every month) which will be adjusted on cumulative basis form the revenue earned every month.
  2. Special terms and conditions apply which will be discussed on case to case basis.