Green Spark Business Plan

HSBC YOUNG ENTREPRENEUR AWARDS 2009-2010

TEAM NO. : BA100060 TEAM NAME : GREEN SPARK

TEAM MEMBERSMd. Sajjad Hossain Umar Abdullah Farhana Bari

E M A I L A D D R E S S [email protected] C O N T A C T N O . +880 1914 200 108

www.GreenSparkLtd.com

Bryophyllum plants are very fast growing plants germinated through the vegetative propagation process. Its leaves are rich with chlorine and iron and also contain a large portion of water.

When the leaves are crushed they take a thick liquid form. Chlorine and Iron become ionized in the liquid.

If copper and zinc plates are immersed in the liquid the system works as a volcanic cell. Electricity generation increases based on the number of electrodes used. Joining the plates in a series connection would generate more voltage (potential difference) and parallel connection would generate more amperage (current). A combination of parallel and series connections can generate large potentials with good flow of current.

Electric and electronic appliances (fan, lights, TV, computers) can use this electricity to run.

When a number of electrode sets of parallel and series connection are immersed in liquid bryophyllum they would form big batteries even power plants.

This is t formati of elect the ion trode sets. Horizonta placed ally electrod sets are in parallel connectio to increa the de l on ase flow of current. Th verticall positioned electrod are in he ly des series connection to generat more pot te tential diffe ference or . voltage.

Here is the porta Contin s able nuous Pow Supplie (CPS) m wer er made of gre Bryoph een hyllum batt tery.

This is the Rural Sparkling Plant for t villages where the s electric is still a dream. city

To su upply liquid bryophyl llum Green Spark n would hire tanker t trucks all o over the country.

And w a vision to provid electrici coverag to every with de ity ge corner of the cou r untry withi the next ten years Green in G Spark starts its journey. k j

Table of Contents

Executive Summary _____________________________________________ 1 Business Idea __________________________________________________ 2 Business Goals & Objectives _____________________________________ 3 Market Potential _______________________________________________ 3 Competition ___________________________________________________ 4 Marketing Plan ________________________________________________ 5 Management Team _____________________________________________ 6 Resource Requirements __________________________________________ 7 Implementation Plan ____________________________________________ 7 Risk Assessment ________________________________________________ 8 Financial Plan _________________________________________________ 9 Appendix _________________________________________________ i - xiii

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EXEC CUTIVE SUMM E MARYGreen S Spark Ltd. is a compa that wo any ould provid environm de ment friendl green el ly lectricity from br ryophyllum leaves. Ele ectricity sec in Bang ctor gladesh is un ndergoing a very critic stage cal st t nowada Not onl the hours of daily lo sheddin problem, in this 21 century more than ays. ly s oad ng half of the total po opulation do not even have the access to el oes n lectricity. In addition to this, a n t recent study reve ealed that n natural gas the main resource for electri s, n icity gener ration is decreas sing very rap pidly. In this situation Green Spar Ltd. wou generate renewable version rk uld e e of conte emporary el lectricity wi a vision to eradicate darkness f ith e from all ove the count er try. At present in Bang gladesh only about 42% of the tot populatio has acce to the el y % tal on ess lectricity acceptin the daily load shedding proble The larg 58% pop ng y em. ge pulation is still off-grid due to d power g generation l limitation a lack of infrastructu facilitie Green Sp and ural es. park consid both ders these se erved and u untapped g groups as it potential market. To the serve group th target ts o ed he would b to provid a perman be de nent solutio to the loa shedding problem a to the untapped on ad g and u group G Green Spark would provide uninterrupted 24-hour electri k icity. Albeit c competition is a major threat for b n business, Gr reen Spark Ltd. believe that with healthy es h competition the en ntire popul lation of Bangladesh can get ele ectricity mo effectiv ore vely and efficien ntly. In exis sting marke the main competitor of the co et rs ompany are IPS and generator g manufa acturers. Gre Spark a anticipa future competition with simil type of products een also ates c n lar p in the m market. To deal with the e l existing and future com d mpetition Green Spark would app its uniqu value G k ply ue proposit tions, marke eting, sales and brandin strategies. To grasp the attentio of genera people ng on al Green S Spark will start electri ification fro a protot om type off-grid village ba d acked up by a 360 b degree promotiona campaign in the first year. Mar al n t rketing strat tegy will fo ocus on two unique o value cr reations: It is electric Genera city ation not st toring and backing up w b while load shedding Customers would be ab to save up to 60% of their trad ble o ditional elec ctricity cost l g will wo egments, fi ield level & online Overall marketing strategy w be divided into tw major se marketi ing, based o the moti of rapid market ex on ive d xpansion. O Online sales from the company c website (www.greensparkltd.c e com/order) and home delivery of the custom f mized prod duct will ensure h hassle free s shopping. W While high d degree of cus stomer satis sfaction thro ough produc quality ct and doo or-to-door af fter-sales ser rvices will e enable Green Spark to b a trusted b n be brand in the market. Three ti managem team o the comp ier ment of pany will work delegat w ting authorit in differe units ty ent to ensur overall s re success. Within the firs two years of operati the man st ion nagement te eam will ensure the sales ta arget of at least 8,000 clients. The team will also work on reach 0 T hing the payback period wit k thin three y years of oper ration. Green S Spark Ltd. w require initial reso will ource of BD 55,048,800 in the fi year. He BDT DT irst ere 17,350,000 is the p project cost and the res is operati cash req t st ing quirement. N NPV of BD 81.45 DT million along with the IRR of 35% sh h hows the fi inancial sou undness of the busine The f ess. payback period is calculated to be 2.94 years. The ratio analy k e ysis, sensiti ivity test an stress nd testing v validate the financial v e viability of t business the s.www.gree ensparkltd.com Page | 1

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BUSI INESS ID DEAElectric sector i Banglade is under city in esh rgoing a ver critical s ry stage nowad days. Resou urces for generating electricity are decr reasing. Cap pacities of the existing plants are i t insufficient to meet t d. le is reds of hour of load-s rs shedding the overall demand The whol country i suffering from hundr everyda and a lar portion of the population doe not even get the ele ay rge es ectricity facility. To support in this situ t uation Gree Spark is the compa that wo en s any ould genera electrici from ate ity 1 bryophy yllum leave as a re es enewable a and environ nment frien ndly version of contem n mporary electricity. Concept B Bryophyllum is a very f growing plant that uses Veget m fast g tative Propa agation 2 Core C to germ minate. The leaves con ntain eleme ents like ch hlorine, iron and water When lea n r. aves are crushed it took a form of th d hick ionized paste. If copper and zinc plat (electrod d tes des) are immers in the p sed paste the s system gene erates elect tricity (Detailed techn nical explan nation is given in Appendix iii). The pro n ocess may b delineate as follow be ed ws: Leave Collection Crush e n Electr ricity Co onsumption Chemical Reaction l Mechanis sm

Green S Spark woul use this concept to generate el ld lectricity th hrough porta able home kits and private power pla ants. With a mission to add a significant amount of electricity in the f y country power se ys ector Green Spark has t vision to provide el the o lectricity at an affordab price ble to all th people of all the plac in Bangl he f ces ladesh. Produc To serv the custo cts ve omers from every walk of life Green Spark d m k divided its business b range in three bro dimensions: nto oad 1. Co ontinuous P Power Supp plier (CPS) CPS is a portable device more l an IPS but with ): p like b uni ique attribu utes. IPS is a power ba ackup system requiring charging o the batte CPS m g of ery. doe not requi charging rather once it is refille with bryophyllum p es ire g ed paste it can generate g ele ectricity for four month continuou hs usly. Ru ural Sparkl ling Plant ( (RSP): This power plan would pr s nt rovide 24-ho electrici to the our ity vill lages where electricity is still not a e available or hardly avail h lable. Bu uilding Inte egrated Pow Plant (BIPP): Th power p wer his plant would provide el d lectricity to a whole bui ilding or even large con ndominium m.

2. 3.

To sup pport the b business ra ange Green Spark will produc liquid b n w ce bryophyllum from m bryophy yllum paste CPS, RS and BIPP would us the liqui to generate electricity. The e. SP P se id liquid should be ch hanged ever four mon with a new lot. ry nths n Source of Reven nue Green Spark w n would sell Continuous Power Su C uppliers (CP and PS) Buildin Integrated Power Pl ng lants (BIPP as a com P) mplete syste Since b em. both these products p require bryophyllu in every four month Liquid Bryophyllum will be G um y hs, B m Green Spark main ks1 2

Commo only known as Patharkuchi s i Product tion of a new p plant from a p portion of ano other plant, suc as a stem o branch ch orPage | 2

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and con ntinuous sou of reve urce enue for the stated syste ems. In the rural areas Green Spar would rk sell elec ctricity from its Rural S m Sparkling P Plants (RSP) ).

BUSI INESS G GOALS & OBJE ECTIVESGreen S Sparks objective is to create a ne Banglad ew desh where each and ev very citizen will be n served with electr ricity. With 10 year of our business we have a ta hin rs b e arget to ma load ake sheddin a history in the coun ng ntry. Anoth key targe of our bu her et usiness is to provide electricity o facilitie to the untapped grou who hav never been blessed with the ele es up ve ectricity before. As this is a relatively new concept in Bang y gladesh, the company has to be very aggre e essive in terms o its operat of tions, mark keting and f financial iss sues to crea a barrier for entry for new ate r competitors. Again Green Sp n park is not polluting the environ t nment like other powe plants er contributing for the env g vironment. rather c The com mpany's go include oals e: To e ensure at least 8,000 cl lients within the first tw years of operation. n wo Rea payback period within three ye of oper ach k ears ration. Prov electric to dista villages where tradi vide city ant itional electr ricity canno reach. ot Prov continu vide uous Resear & Deve rch elopment to increase th efficiency of our pro he y oduct. To replace the extensive use of g e gas, coal in electricit generatio for min n ty on nimizing environmental threats.

MAR RKET PO OTENTI IALBanglad desh is larg gely depen ndent on ga for gene as erating elect tricity. But a matter of great t hazard is that the r reserve of g is decrea gas asing very rapidly and it may happ that the reserve r pen e may be finished v e very soon. So there is a desperat need of finding alt s te ternative ren newable sources of energy. s At present in Bang gladesh only about 42% of the pop y % pulation 3 ha access to the electric as city. The large 58 doesnt even have experience of turning on the ele 8% t e e g ectric bulb a night in this 21st at century Considerin these sta y. ng atistics mark potentia can be di ket als ivided into t groups: two : Served Group P People in thi group hav access to electricity accepting t everyda power is ve o the ay outage problem. T demand The d-supply ga which is covered b load-shed ap s by dding amou unted to 4 1049 m megawatt in 2007-08, 1269 megaw in 2008 watt 8-09 and th demand is increasin every he ng year. V Very few pe eople can a afford expe ensive IPS, generators, online UP etc. for backup PS power d during load shedding. F From marke surveys in leading IP manufac et n PS cturing comp panies it is seen that in 2008 annual sal of only IPS was aro 8 les ound 20,000 pieces wh 0 hich reached 30,000 d3 4

SAARC Regional En C nergy Trade Study 2008, AD DB Annual Report 2008- Banglade Power Dev -09, esh velopment Board (BPDB)Page | 3

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in 2009 Average p 9. price of IPS is BDT 20 S 0,000 to 25, ,000. Sale o large gen of nerators for building b support is also increasing. Sta t arting from BDT 100,0 price of these building genera 000 f ators are even up to BDT 3,000,000. In this situ p uation Gree Sparks Continuou Power Suppliers en us S (CPSs) and Buildin Integrate Power Pl ng ed lants (BIPPs) would of continuo electric at an ffer ous city affordab price to the consum ble mers. Untapp Group Majority of the po ped p y opulation in the count do not have access to the n try electricity because of insuffic e cient capab bility of pow genera wer ation and di istribution. A large al s nother prime focus wou be on th large e uld his potentia market is still untapped. Green Sparks an untappe group thr ed rough its Ru Sparkling Plants. ural Future o opportunitie for electr es ricity gener ration are al huge. Si lso ince the dem mand for el lectricity is incre easing and a very larg untapped market ex ge d xists there are good p prospects fo Green or Spark fo rapid gro for owth.

COM MPETITI IONFor any business c y competition is a major threat. But without he n r t ealthy comp petition ope erational effectiv veness and e efficiency c cannot be ac chieved. So Green Spa Ltd. con o ark nsiders com mpetition to be a good sign. Currently in Bangladesh NO company is generating electricity the way c our com mpany will be generating. In term of cost efficiency, user friendl ms e liness and resource r consum mption Gree Spark Ltd. has clear competitiv advantag So the o en r ve ge. overall com mpetitive environ nment can be expected to go in fav of our co vor ompany.

Compe etition in E Existing M Market A mentioned earlier on 42% of o total population As d nly ouris expe eriencing electricity se ervice. Even within this served m n market a hu demand uge d-supply deficit exists whic is covere through load shedd ch ed ding. As a r result there is the exist tence of strong IPS marke & Generator mark et ket. The co ompetition from the I IPS and generator g manufa acturers is defendabl with o le our certain competiti n ive advant tages. Also from Govern nments pers spective ou products will be a po ur ositive inclu usion in the market. Since the e S governm ment of Ba angladesh is generating electricity through e s g y extensive us of gas, coal and se c selling the electric on a su city ubsidized p price, just in fiscal yea 2005-06 Bangladesh Power n ar h 5 Develop pment Boar (BPDB) i rd incurred an operating loss of BDT 6,948.46 m l T million.

Future Competi e ition Wh we wil focus on the 58% untapped g hen ll n group who are notcurrentl getting th electricit from nati ly he ty ional grid we may enco w ounter futur competiti from re ion new ent trances. Du to infrastr ue ructural lim mitations and electricity generation capacity it will be d y n t difficult for the gov t vernment to bring 100% populatio under the electricity service. Bu Green o % on e y ut Spark c reach t can those distan places w our por nt with rtable CPSs and Rura Sparkling Plants s al g easily. T huge b still unta That but apped mark may encourage othe competito We wil defend ket er ors. ll

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SAARC Regional En C nergy Trade Study 2008, AD DBPage | 4

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those fu future comp petitors thro ough our ra apid expans sion and ov verall marke eting and branding b strategy which are discussed u y under marke eting plan.

MAR RKETIN PLAN NG NUnique Value Pro e oposition U Unique valu propositi ue ions for our business ar r re: 1. Rou the Cloc Electrici Generation Green Spark Ltd is introdu und ck ity n d. ucing such products p for the first tim in Bang me gladesh whi will ens ich sure 24-hou uninterru ur upted contem mporary elec ctricity. 2. One e-Time Liqu and Fou uid ur-Month Se ervice Th is a uniq feature o our produ Our his que of uct. prod ducts will c continue to produce ele ectricity up to four mo onths with o time ref That one fill. mea the cust ans tomers will be require to buy th liquid br l ed he ryophyllum only three times a year r. 3. Cos Benefit To regular h st home users, the average cost of fou months t , e ur traditional el lectricity is B BDT 3,200 to 4,000. Our product wi provide th same elec o r ill he ctricity to the customers only for e a va ariable liquid cost of BD 1250 to 1600. From customers point of vi our prod will d DT m iew duct save about 60% of tradition electricity cost. e % nal y 4. Alte ernative of G Coal Since the reserve of gas is decre Gas, g easing and e extraction of coal is o haza ardous for environmen Green Sp nt park is going to introduce a tota new ren ally newable ener source. rgy Market ting Strategy Our ov verall marke eting strateg will be to sell as ma products (CPSs, gy o any s Power Plants etc.) as possib at an a ble affordable price and t p thereby bu uild a large liquid e bryophy yllum mark for futu revenue Using the unique va ket ure e. e alue propos sition, Gree Spark en will ens sure a more customer f focused mar rketing appr roach. Side by side trad ditional dist tribution channel our comp ls pany will bu a Door uild r-to-Door marketing network. Ou online sales effort m ur will stri to catch the corpora market w advanc options like online order place ive h ate with ced ement & requisit tion (www.greensparkl ltd.com/ord der). Our ov verall mark keting strate will inf egy form the potentia customer about our product be al rs r enefits and will turn th hem into ou actual cus ur stomers. To mak this happ our reg ke pen gular promo otional activ vities will include time to time se e eminars, TV com mmercials, billboard and also d distribution of calenda ars, diaries to differen stake nt holders. (Phase-wise marketin strategy i shown in Appendix iv) ng is Sales S Strategy G Green Spark will build its own di k d istribution n network thr rough a larg sales ge service team who will sell o product & liquid bryophyllu and will also provi after o our ts um l ide sales se ervice to our customers Since the threat of ne entry is t r s. ew there so this sales strat s tegy will make su that no new comp ure petitor is making its way in our m w market. For that reason Green r n Spark w have a large sal service team com will les mprised of p permanent employees. Casual . workers will also b hired on n s be need.

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Brandi Strateg Being th first com ing gy he mpany to pro ovide such c effectiv and user friendly cost ve electrici generatio products Green Spark will stri to be a customer pr ity on s, ive referred and trusted d brand in the market Our prom n t. motional cam mpaign woul be focuse on saving the environ ld ed g nment & resourc ces. People are already aware tha the resou y at urces like g coal ar limited and their gas, re a massive extraction is sometim hazardou for the en e mes us nvironment. At this poi we will focus on . int f the imm mediate nee of finding renewable energy so ed g e ource and w introduc our envi will ce ironment friendly green electricity. Alon with our new innov y ng r vative idea, d door-to-doo after sales service or s will be working a a brandin motivatio for our business. B providin electricity to the as ng on By ng y untappe group, G ed Green Spark will stren k ngthen its brand image The proc b e. cess is envi ironment friendly and most im y mportantly all these go things will be provid at an un ood w ded nbeatable pr rice. 360-De egree Prom motional Ca ampaign T campai is especially design for the first year This ign ned f to ensur the desir impact i the mark For that we will st operatio with a prototype re red in ket. t tart on p village p plant near D Dhaka in an off-grid vil llage which will let peo know th user frien ople he ndliness, cost eff fectiveness, environmen friendline features of the products. From this camp nt ess s m paign we may abl to make a large num le mber of custo omers. We will also set up a demo w t onstrative el lectricity plant to meet local electricity n o need in the famous off-grid tourist spot St. Ma artins Islan with a nd view to attracting to ourists.

MAN NAGEME ENT TE EAMThe ma anagement t team of Gre Spark L is very crucial to it operation efficienc which een Ltd. c ts nal cy reflects the strategic decision making as well. Our Company h four ope C has erations unit Farm ts: Unit, Fa actory Unit Marketing Sales & S t, g, Service Unit and Adm ministration Unit. All un will nits be man naged throu a three tier management me ugh e echanism: ( Strategic Decision Making (i) c Level (i Operatio Decisio Makin Le and (iii Execution Level (Ref Appendix vi) ii) onal on evel i) n f: x Strateg Decision Making L gic n Level Board of direc ctors and op perational h head of Far Unit, rm Factory Unit, Mark y keting, Sale & Service unit and administrati unit together will form this es a ion fo tier of managemen This lev will be responsibl for strate nt. vel le egic decisio making for the ons g compan whereby operational heads will get a clear understand ny l l ding about w to be done. what d Operat tional Decis sion Makin Level This level will include all the ope ng w e erational he eads and the supe ervisory lev employe of Farm Unit, Facto Unit, M vel ees m ory Marketing, S Sales & Serv unit vice and adm unit. A min According t the deci to isions made in the str e rategic deci ision makin level ng operatio onal heads along with the superv visors will make opera m ational decis sions and plans for p executin the strate decisio ng egic ons. Execution Level This tier w be com will mprised of the supervis t sors, first le evel employ yees and workers of the co s ompany. He the sup ere pervisory le evel people will make sure that all the e t workers and emp s ployees wor rking unde them are adhering to the op er e perational plans in p executin their works. ng

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RESO OURCE REQUI IREMEN NTSStartup Resource R Requiremen (in the firs year) nt st Project Cost Fixed A Assets-Farm Unit m Fixed A Assets-Facto Unit ory Fixed A Assets-Offic Unit ce Prelimin nary Expen nses Total pr roject Cost Operati Resourc Requirem (Cash C ing ce ment Cost) Farm U Unit Factory Unit y Office U Unit Selling & Distribut tion Total O Operating Re esource Req quirement (C Cash Resou urce) Total St tartup Reso ource Requir rement(Proj cost + Cash resour ject C rce)

1,950,000 11,100,000 3,500,000 800,000 17,350,000 2,516,800 19,741,000 2,991,000 12,450,000 37,698,800 55, ,048,800

* All the breakdown o resources al e of long with hum resources description is given in the appendix. man s

IMPL LEMEN NTATION PLAN N NResour rcing Under resourcin phase fol ng llowing reso ources will come under considerat r tion. Cas In this p sh: phase in the first year cash resour requirem e rce ment will be BDT 55,0 e 048,800. BDT 35 Millio will be b T on brought into the busine as equity capital. BDT 10 Mill o ess y lion will be b brought as long term l loan and th rest of th cash wil be covere by the operating he he ll ed reve enue which will start to come by th end of se o he econd quart of the fir year. ter rst Hum Resou man urces: For running the operation Green Spa will recruit desired human e ark d reso ources from human res m sources of Bangladesh The desir human skills and qualities h. red q are available in the local human res sources. In the first ye of oper ear ration the company c wou require a total of 9 employ uld 911 yees includi perman ing nent and cas sual worker (Ref: rs. App pendix ii) Fac cility Resou urcing: All the facilitie required including i es infrastructu developm ure ment for start ting the commercial o operation w be ensur locally. The initia farm unit will be will red . al t loca ated at Tan ngail in ou 10 hecta leased land. Othe resource like tech ur are er es hnology, mac chineries an materials are easily a nd available in the local m market. Operat tions Once the resour e rcing is don Green Spark Ltd. wil start its op ne ll peration wh will hich be perfo ormed in the following way: g Phase 1 Phase 2 The sep parate farm unit of th company will produ fast gro m he y uce owing bryop phyllum plants w which are th major raw material for our proje he w f ect. he reach the fa actory unit the next st tep, processing the lea aves for Once th leaves r making liquid Bryophyllum w be starte g will ed.

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Phase 3 Phase 4 Phase 5

Assemb bling of the products (C CPS, BIPP and RSP) wi be done a this point. a ill at . Now th products will be sen to the Sales & Marke he nt eting unit fo reaching our end or level cu ustomers. Liquid bryophyllu will cont um tinue to be sold period dically to th customer as per he rs requirem ment.

RISK ASSES K SSMENT TAnalyzi the critic risk elem ing cal ments Green Spark asce n ertained the following ri factors: isk Risk Fa actors Compe etitor Strat tegies to Mi inimize Ris sk Th process o making e he of electricity from Custo fr omer orient ted marketing and bry yophyllum is quite sim mple and easy distrib e bution net twork and rapid d wh hich might get copied by others and expan nsion. co ompetition m arise. may Na atural cala amities ma hinder the Storin liquid b ay ng bryophyllum for at m pro oduction of bryophyllu f um least t three month hs. Th projectio for gre he on een energy is y ba ased on cur rrent market trends. If the t go overnment s somehow a able to prov vide ele ectricity fo the who nation our or ole bu usiness may get a big sh hock. Since our cost of genera e ation of electr ricity is nea arly 60% le than ess the tr raditional c cost, there is little possib bility that g government may set up big expensive power plan g e nts.

Natura Risk al Econom mical Risk

atory Regula Risk tional Operat Risk

En nergy sector in Bangla r adesh is hig ghly Servic oriented marketin plan ce d ng reg gulated by t governm the ment. would make the p d product pop pular. roduction an plant ma nd achineries may All the equipments are easily m e Pr go out of op o peration whi may af ich ffect availa able in the market. Repairing R the system. e may n take long. not

Contingency Plan At the initial year Green Sp n rs park will fo focus on some basic areas for a develop ping its con ntingency p plan. There is a very high chanc to increa the inte ce ase ensity of competition in the near futu in this industry. So we have a plan to go for a massive e ure S e o expansi and inc ion crease the r range of tar rget market from the second yea of our business. t ar b Albeit o marketi plan wo our ing ould play a defensive role to many of the risk factors, if in any r y k f, case, th business faces sever distress t he re that it is not possible to maintain the current state of t o ownersh and cap hip pital inflow it will fir apply fo subsidies and finan w, rst or s ncial suppor to the rt Govern nment. We a also have a plan to flo a portio of our sh oat on hare in Dha and Ch aka hittagong stock ex xchange.

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FINA ANCIAL PLAN LRevenu Project ue tion The sales fore e ecast has been made based on t current market b the tdemand and existin market g d ng growth trend Accordin to the for d. ng recast Green Spark Ltd will be n d. reaching the follow wing sales le in the c evel concerned years: yRevenue Source e CPS Liquid Bryophy yllum BIPP Byprodu uct Village P Plants Total Re evenue 2011 2 4,400 0,000 3,931 1,200 5,500 0,000 50 0,000 900 0,000 14,781 1,200 2012 48 8,000,000 42 2,888,000 27 7,500,000 100,000 6,300,000 6 124 4,788,000 2013 3 55,000,000 0 72,019,200 0 13,750,000 0 120,000 0 8,100,000 0 148,989,200 0 2 2014 83,000 0,000 123,552 2,000 16,500 0,000 140 0,000 9,000 0,000 232,192 2,000 2015 86 6,000,000 173 3,706,000 19 9,250,000 150,000 9,900,000 9 289 9,006,000

Here diversified re evenue sourc shows th earning st ce he trength of th company he y.

Incom Stateme The pr me ent rojected inco statement for the f ome first five yea is shown below. ars nWe will start with a loss of BD 25,422,6 in the fi year, wh will be converted to a gain l DT 600 irst hich t in the se econd year o BDT 12,4 of 446,937 and will reach BDT 84,03 d 36,936 in the fifth year. e Inc come Statem mentParticul lars 2011 Sales Re evenue 14,78 81,200 less: CO OGS 22,93 37,800 Gross Pr rofit -8,15 56,600 Less: Op perating Exp penses Admin O OH 3,11 16,000 Selling & Distr. OH 12,45 50,000 EBIT -23,72 22,600 Interest 1,70 00,000 EBT -25,42 22,600 Tax 0 Net Inco ome -25,42 22,600 2012 124 4,788,000 83 3,902,000 40 0,886,000 4,896,000 4 17 7,770,000 18,220,000 1,624,084 16 6,595,916 4,148,979 4 12 2,446,937 2013 148,989,200 82,405,000 66,584,200 4,333,000 22,870,000 39,381,200 1,535,262 37,845,938 9,461,485 28,384,454 2014 232,192 2,000 118,563 3,700 113,628 8,300 4,998 8,000 30,950 0,000 77,680 0,300 1,431 1,340 76,248 8,960 19,062 2,240 57,186 6,720 2015 289 9,006,000 132 2,968,000 156 6,038,000 5,279,000 5 37 7,400,000 113 3,359,000 1,309,752 1 112 2,049,248 28 8,012,312 84 4,036,936

Balanc Sheet The accou ce unting period is January to Decem d y mber. The su ummarized BalanceSheet fo five years is shown be or s elow. Detail Balance Sh is show in append l heet wn dix. Balance S Sheet (Sum mmarized)Particul lars Total Li iabilities Total Ca apital Total Li iabilities & C Capital Total Cu urrent Assets s Total Ne Fixed Assets et Total As ssets 2011 9,603,434 9,577,400 19,180,834 2,585,834 16,595,000 19,180,834 201 12 9,205,95 52 22,024,33 37 31,230,289 15,390,28 89 15,840,00 00 31,230,28 89 2013 2 8,727, ,648 47,570, ,345 56,297,993 41,212, ,993 15,085, ,000 56,297, ,993 2014 8,13 36,422 87,60 01,049 95,73 37,471 81,40 07,471 14,33 30,000 95,73 37,471 2015 7,367,608 7 104 4,408,437 111 1,776,044 98 8,201,044 13 3,575,000 111 1,776,044

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Team No BA100060 o.

Financ Ratios and Inve cial s estment Re eturn The following tables featu some im e g ure mportantfinancia and inve al estment retu ratios. T calcula urn The ations of th hese ratios a included in the are appendi ix. Ratio A AnalysisCurrent Ratio Average Collection P e Period (Days) ) Asset Tu urnover Ratio Debt-to-Equity Gross Pr rofit Margin (%) Net Prof Margin (% fit %) Return o Assets (R on ROA) Return o Equity (R on ROE)

201151.7 72 38.30 0.7 77 1.0 00 -55.18% % -171.99% % -132.54% % -265.44% %

20 01287 7.94 12 2.37 4.00 4 0.41 0 32.76% 9.97% 39.86% 56.51%

2013 213 33.81 17.40 2.65 0.18 44 4.69% 19 9.05% 50 0.42% 59.67%

2014188.44 19.16 2.43 0.09 4 48.94% 2 24.63% 5 59.73% 6 65.28%

2015196.40 21.64 2.59 0.07 53.99% 29.08% 75.18% 80.49%

Cash F Flow State ement The cash flow statement for the first five years is presented below. w t dIt is po ossible to se a positiv net cash balance be ee ve h eginning in the first y n year and increasing gradual to BDT 8 lly 80,830,444 in the fifth year. Detai description is shown in the Appe il endix. Descrip ption Total In nflowTotal Ou utflow

20 01158,208,7 720 57,195,3 366 1,013,3 354

2012123,085,034 111,983,545 11,101,489

2013157,177,569 9 123,166,496 6 34,011,073

2 2014261,049 9,793 191,997 7,522 69,052 2,271

2015353 3,042,871 272 2,212,427 80 0,830,444

Cash in hand n Cash di ividends wil be given f ll from 2013 o onwards in a rate of 10 30% an 80% resp 0%, nd pectively

Projec Sensitivi Analys The sen ct ity sis nsitivity tes of the pro st oject has bee done using three endimensi ions: sensiti ivity to profit margin, sensitivity to asset turn t nover and f finally sensi itivity to leverage. In the an nalysis sens sitivity to p profit margin was foun to be cr nd rucial with average vity e n %. oject adhere to the sensitivity es sensitiv of 46.11% and the dispersion of 39.28% Our proj analysis with its su s ustainable pr rofit margin n.

Other Financial Indicator There are some other financ indicato which sh the l rs o cial ors howviability of the bus y siness. They are: y Net Pre esent Value (NPV) e Interna Rate of R al Return(IRR R) Norma Pay Back Period al k The N NPV of the project is positive B e s BDT 81,446 6,689 or 81.45 Million. 5 The I IRR of the project is 35 p 5% Norm Payback period of t project i 2.94 years. mal k the is*F Figures in Mil llion BDT Period Base Best Worst Zero Year o

Stress An nalysis (Sum mmarized) 2011-55.45 -57.03 -62.92 -

201220.30 36.90 6.09

201335.22 55.34 23.09

201452.46 82.51 37.89

201546.27 79.81 32.98

NPV81.45 180.18 19.77

-17.35 -17.35 -17.35

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Page | 10

Team No BA100060 o.

APPE ENDIXAssum mptions1. 2. 3. 4. 5. 6. 7. 8. 9. All calculation have been done on B l ns Bangladeshi currency, B i BDT Th conversio rate is ass he on sumed to at US $1 = BDT 70 t All salary and wages rate have been decided as per the ong l d es n s going mark practice. ket 10% to 15% salary and w % wage increm has bee assumed. ment en Int terest on lon term loan has been a ng n assumed to be 17% Gro owth in sale is calcula on the b es ated basis of rea asonable forecast. De epreciation r has calc rate culated to b 18% usin CAPM & WACC me be ng ethods. De epreciation o fixed ass is calcula on the straight line method on set ated e Lif expectanc of the fix assets h been assumed. fe cy xed has

10. Lan cost has been amort nd tized over 1 years. 100 11. Th productio capacity of plants h been de he on has ecided acco ording the ju udgment of botany f exp pert. 12. It i assumed t liquid B is that Bryophyllum sales will include 10 credit sa m l 0% ales. 13. An nnual fertiliz cost will include 50 credit pu zer l 0% urchase. 14. A/C Payable o this year has been cleared in the following year. C of e 15. A/C Receivab of this ye has been received in the follow C ble ear n n wing year. 16. All the costs h l have been determined a per curren market pr as nt ractice. 17. 10% to 15% p % profit has be adjusted on cost to determine o product sales cost. een d our t 18. Th sales pric of liquid Bryophyllu has been decided to be BDT 12 initially and 130 he ce um n o 20 fro the third year. om 19. Th corporate tax rate has been assum to be 25%. he s med 2 20. Ca dividend will be given from 2013 onw ash ds m wards in a rate of 10 0%, 30% and 80% res spectively. 21. Retained earn nings will be 100% in f e first two ye and the 90%,70% and 20% for next ears en % thr years res ree spectively.

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Appendix | i A

Team No BA100060 o.

Resou urce Requ uirementProject Cost t Farm Un Assets nit Prelimina expenses ( ary (License, Pate Trade Ma Surveys, Legal etc. expenses) ent, ark, L e Land Factory b building Blending Machine g Processin Machine ng Factory F Furniture Generato or Containe ers Office bu uilding Office eq quipment Office fu urniture Total Human R Resources (fo 2011) or Labor (Farm Unit) Labor (Factory Unit) Agricultu uralist Superviso (Farm uni ors it) Superviso (Factory u ors unit) Chemist Assistant Chemist t Shift In-c charge (Factor ry) Technicia (Assembling, Factory U ans Unit) Marketin Manager ng Assistant Marketing M t Manager Admin Staff Accounta ants Sales & S Service Team Members Operation Heads nal Sub Tota al Total Hu uman Resource Requiremen (Persons) e nts Per rmanent 40 80 1 3 6 2 4 4 20 2 3 20 2 200 4 391 911 1950000 800,000 4,000,000 4 2,500,000 2 1,500,000 1,500,000 500,000 200,000 900,000 2,500,000 2 500,000 500,000 1,73,50,000 Casual 380 90 0 0 0 0 0 0 0 0 0 0 0 50 0 520

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Ap ppendix | ii

Team No BA100060 o.

Core C Concept a Techn and nicalThe mo importan character ost nt ristic of bryo ophyllum le eaves is the are full of iron and chlorine. ey c When b bryophyllum leaves a crushed they took a form of thick pas where iron and m are f ste chlorine float as p e positive and negative ions respec d ctively. If e electrodes ( (anode and cathode 6 plates) are placed i the liquid the system works as a Galvanic Cell and ge in d m enerates ele ectricity. Chemis stry & Tech hnical Deta ails In the system, cop pper (Cu) and zinc (Z electro Zn) odes are im mmersed in a solution of Iron Chlorid where ir de ron and ch hlorine are ionized. Because of the Titrata B able acidity of the y bryophy yllum malt at the anode zinc is ox e, xidized per the followin half reac t ng ction: Zn Zn2+ + 2eAt the c cathode, cop pper is redu uced per the following reaction: r 2+ Cu + 2e Cu The tota reaction c be writt as: al can ten 2+ 2+ Zn + Cu Zn + C Cu This is the core co oncept of ge enerating green electric in the G city Green Spark. Another important characteris of Bryo r t stic ophyllum plants is these plants do not require seeds o for the germina eir ation rather they are germinate from th r e ed heir own leaves (ve egetative propaga ation). They take less time to gro mature faster than plants pro y ow, e n oduced from seeds. m Based o these two characteri on o istics Green Spark iden n ntified bryop phyllum lea aves as an id raw deal materia to generat electricity which is f of requ al te y full uired chemic element fast grow cal ts, wing and more im mportantly e environmen friendly. nt

Requi irement of Liquid B Bryophyl llum to Generate E Electricity yFrom re esearch it ha been seen that 1 KG of liquid bryophyllum can produ up to 60 volts of as n G b m uce electric potentials. Our Type-1 CPS woul require 5 KGs and T 1 ld Type-2 woul require 8 KGs of ld liquid b bryophyllum in every fo months. BIPP and RSP would require 150 KGs and 200 KGs m our R 0 2 of liqui respectiv id vely. It mig be noted that CPS can gener ght d S rate 8-30 A Ampere curr rent and Building Integrated System an Rural Spa d nd arkling Plan can genera up to 100 Ampere current. nt ate 0 cProduct ts Liquid Re equirement per Four Months CPS S Type 1 6 KG Type 2 8 KG BIPP 150 KG RSP 200 KG

To prod duce liquid bryophyllu Green Spark will cu um ultivate bry yophyllum l leaves in th leased he land. T The plants that are g germinated through ve egetative p propagation are fast growing. g Bryoph hyllum is su plant tha takes onl 3-4 week to grow. After the pl uch at ly ks lants will be grown the leav will be collected a sent to the factory Then the leaves wil be crushe and a ves and y. ll ed thick paste will be formed. Further pro ocessing wi be done to make l ill e liquid bryop phyllum which w be the m fuel of the produc of Green Spark. will main f cts n6

A Galv vanic cell, na amed after Lu Galvani, is an electroc uigi chemical cell that derives electrical energy from e chemical reactions tak l king place with the cell. hinwww.gree ensparkltd.com Ap ppendix | iii

Team No BA100060 o.

Marke eting Stra ategyPhase 1 | Prototyp Village pe In phase 1 we will develop a prototype v l village with green elec h ctricity plan This village will nt. l be the g ground for o massive media coverage and business exp our e b pansion. This prototype village will be a demo s l onstrative pr roject which will expla the feasibility h ain b and practicality of our elec y ctricity gene eration plan nt. l medias will be delibera l ately involv to gain t attention of the concerned ved the n n All the news m part ties. Phase 2 | Plant in Tourist Sp pot-Saint M Martin Since S Saint Marti is a rem in mote Island having no electricity its not p o y possible to provide electricity using tra aditional gri lines. As a result this plant will ensure the following th id hings: In S Saint Martin people from various s n segments of the society will get to know the f y soun ndness of our electricit generatio plant. ty on This plant will ensure nati s ional and int ternational exposure si ince local an foreign tourists nd freq quently visit Saint Mart t tin. Phase 3 | 360 Cov verage In phase three the extensive p promotional activities will be unde w ertaken to en nsure the following o things: ferent teams will conta with part like hou s act ties using compa anies and de evelopers with Diff plan details. nt AG Green Elect tricity Fair will be arra anged where people wil come and see differe e ll d ent prot totype plant The inter ts. rested partie will be en es ntertained a accordingly. . CSR activities will be end s deavored in phase 3 wh indeed will gear up our branding. hich p d Phase 4 | Door-to o-Door Ma arketing Ne etwork Side by side trad y ditional dist tribution ch hannels our company will build a Door-t r d to-Door marketi ing network As a re k. esult our o overall mark keting mec chanism wi ensure that our ill t potentia customer are gettin informed about our product be al rs ng d enefits and a turning into the are actual c customers o Green Sp of park Ltd. Once the net twork is bui it will al make th liquid ilt lso he market protected f from new m market entra ance. Throu its stro Sales Se ugh ong ervice Team Green m would maint a close relation with its existin and pote tain ng ential custom mers. Spark w Phase 5 | Online O Order Place ement This ph hase is espec cially designed for urb home-us and cor ban sers rporate cust tomers. For hassler free sec cured shoppi we designed our we ing ebsite secur ring it with d digital signa ature from VeriSign V 7 Inc. Cu ustomers ca customiz their desir product using our o an ze red t online inter ractive softw and ware add the product to their cart. U Using credit cards (Master, Visa & American E Express Car they rds) can mak the paym ke ment. There is also ban draft opt e nk tion for tho who do not have th cards. ose he Orders c be place online fro the site w can ed om www.green nsparkltd.com m/order

7

VeriSig Inc. provide a variety of security serv gn es f vices ranging from digital certificates, and managed PKI to twof K factor aut thentication.www.gree ensparkltd.com Ap ppendix | iv

Team No BA100060 o.

Websi Previe ite ewIn th homepage Green he e Spark emphasizes on the saving the environm g ment and the po ositive impac of the ct compa on the natu any ure.

Homepag | www.gree ge ensparkltd.com m In the order placem ment page custom mers can customize their product us sing the interac ctive online software and place online ord ders. The payme process is secured ent s by Ver riSign Inc.

Online O Order Placement Page (Top) | www.green ) nsparkltd.com/order In the bottom par of the e rt Order Placement t page custom mers will put their p creden ntials and pro oceed to make t purchase. the

Online O Order Placement Page (Botto om)www.gree ensparkltd.com Ap ppendix | v

Team No. BA100060 T 6

Organizational Chart a

Boar of Directors rdecision Management De Making Level

Man naging Director

Dir rector (Procu urement)Strategic Decisio on Making Level

Director (Factory)

Dir rector (Mark keting,, Sales & Service) Oper rational Head H

Director n) (Administration

Oper rational Head HOperational Dec cision Making Level

Operational Head

Operational Head

Supe ervisory Level LOperational Dec cision Making Level

Supervisory Level

Super rvisory Le evel

Supervisory Level

Field Worker

Factory Worke er

Sales Team s

Office Staff

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Appendix | vi

Team No BA100060 o.

Balance Sheet0 year Liabilitie es Total Cur rrent Liabilitie es Long Ter Loan rm (outstand ding) Total Lia abilities Capital, O Owners' Partic cipation Retained Earnings Total Cap pital Total Lia abilities & Cap pital Assets Current A Assets Cash Accounts Receivable s Total cur rrent assets Net fixed assets Farm unit Factory u unit Office un nit Prelimina expenses ary Total Net Fixed Assets t s Total Ass sets 1755000 10,745,000 3375000 3 720000 1560000 1 10 0390000 3250000 3 640000 1365000 1 10 0035000 3125000 3 560000 1170000 9680000 3000000 480000 14 4,330,000 975000 9325000 2875000 400000 13,575,000 1 45,000,000 101 13354.03 0 45 5000000 1572480 2585834 2 11 1101489 34011073.1 69052271.21 80830444.19 4288800 4 15 5390289 7201920 7 41 1212993 1 12355200 8 81407471 17370600 98201044 35 5000000 0 10,000,000 50000 9, ,553,434 175000 9,030,952 9,2 205,952 308000 8,4 419,648 8,727,648 432000 7 7,704,422 500000 6,867,608 2011 2012 2013 2014 2015

10,000,000 960 03434.03 35 5000000 35 5000000 9577400 9

8 8,136,422 7367607.566 47 7,570,345 87601049.38 40 0,030,704 8 87601049 16,807,387 1 104408437 1

9577400 2202 9 24337.2 22 2024337 47 7570345

-25 5422600 12,4 446,937 25,546,008 45 5000000 19,180,834 31,230,289 56,2 297,993

95 5,737,471 11 11,776,044

0 16,595,000 15,840,000 15,085,000 45,000,000 19,180,834 31,230,289 56,2 297,993

95 5,737,471 11 11,776,044

Ratio A AnalysisRATIO A ANALYSIS Current R Ratio Cash Rat tio Average Collection Pe eriod (Days) Asset Tu urnover Ratio Debt-to-E Equity Gross Pro Margin (% ofit %) Net Profi Margin (%) it Return on Assets (RO n OA) Return on Equity (ROE n E) 2011 51.7 72 20.2 27 38.3 30 0.7 77 1.0 00 -55.18 8% -171.99 9% -132.54 4% -265.44 4% 2012 2 87 7.94 63 3.44 12 2.37 4.00 4 0.41 0 32.7 76% 9.9 97% 39.8 86% 56.5 51% 2013 13 33.81 110.43 17.40 2.65 0.18 44 4.69% 19 9.05% 50 0.42% 59 9.67% 2014 1 188.44 1 159.84 19.16 2.43 0.09 4 48.94% 24.63% 59.73% 6 65.28% 2015 196.40 161.66 21.64 2.59 0.07 53.99% 29.08% 75.18% 80.49%

Sensitiv Analys vity sisBase Cas se Year r 2012 2 2013 3 2014 4 2015 5 Net N Profit t/Sales 9.9 97% 19.0 05% 24.6 63% 29.0 08% Sal les/Total Assets A 39 99.57% 26 64.64% 24 42.53% 25 58.56% ROA 39.86% 50.42% 59.73% 75.18% Total Assets/Cap pital 141.80% % 118.35% % 109.29% % 107.06% % RO OE 56.51% 59.67% 65.2 28% 80.4 49%App pendix | vii

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Team No BA100060 o.

Sensitivi to Profit M ity Margin Net P Profit Year r AT/S Sales 2012 2 9.9 97% 2013 3 2014 4 2015 5 19.0 05% 24.6 63% 29.0 08%

Sal les/Total Assets A 39 99.57% 39 99.57% 39 99.57% 39 99.57%

ROA 39.86% 76.12% 98.41% 116.19%

Total Assets/Cap pital 141.80% % 141.80% % 141.80% % 141.80% %

RO OE 56.51% 107.94% 139.55% 164.75% Ave erage Dispe ersion

% change 91.00% 9 29.28% 2 18.06% 1 46.11% 4 39.28% 3

Sensitivi to Asset T ity Turnover Net P Profit Sal les/Total Year r AT/S Sales Assets A 2012 2 9.9 97% 39 99.57% 2013 3 2014 4 2015 5 9.9 97% 9.9 97% 9.9 97% 26 64.64% 24 42.53% 25 58.56%

ROA 39.86% 26.40% 24.19% 25.79%

Total Assets/Cap pital 141.80% % 141.80% % 141.80% % 141.80% %

RO OE 56.51% 37.4 43% 34.3 30% 36.57% Ave erage Dispe ersion

% change -3 33.77% -8.36% 6.61% -1 11.84% 20.41% 2

Sensitivi to Asset L ity Leverage Net P Profit Sal les/Total Year r AT/S Sales Assets A 2012 2 9.9 97% 39 99.57% 2013 3 2014 4 2015 5 9.9 97% 9.9 97% 9.9 97% 39 99.57% 39 99.57% 39 99.57%

ROA 39.86% 39.86% 39.86% 39.86%

Total Assets/Cap pital 141.80% % 118.35% % 109.29% % 107.06% %

RO OE 56.51% 47.17% 43.56% 42.67% Ave erage Dispe ersion

% change -16.54% -7.65% -2.04% -8.75% 7.31% 7

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App pendix | viii

Team No BA100060 o.

Cash F Flow Statem ment2011 Inflow Capital Cash B/D D Cash Rev venue Receipt f from A/C Rec ceivable Long Ter Loan rm Total Inf flow Outflow Project C Cost Capital E Expenditure Payment of A/C Payab ble Farm Ov verhaed (cash) Factory O Overhaed (cas sh) Admin O Overhaed (cash h) Selling & Distribution Overhaed (ca n ash) Financial Expenses l Tax Paym ment Dividend Payment d Total Ou utflow Cash in h hand 17350000 0 0 2516800 19741000 2991000 12450000 2,14 46,566 0 0 57195366 10 013354 0 0 50000 66 635000 764 462000 47 771000 177 770000 2,1 146,566 4,1 148,979 0 1119 983545 11101489 0 0 175000 8925000 8 72 2542000 4208000 4 22 2870000 2,146,566 9,461,485 2,838,445 123 3166496 34 4011073 0 0 308000 14281700 10 03220000 4873000 3 30950000 2 2,146,566 19 9,062,240 17 7,156,016 19 91997522 6 69052271 0 0 432000 18114000 113724000 5154000 37400000 2,146,566 2 28,012,312 67,229,549 272212427 80830444 35000000 0 13208720 0 10,00 00,000 58208720 0 10 013354 1204 499200 15 572480 0 1230 085034 0 11 1101489 141 1787280 4288800 4 0 157 7177569 0 3 34011073 219836800 7201920 0 26 61049793 0 69052271 271635400 12355200 0 353042871 2012 2013 2014 2015

Loan R Repayment ScheduleAnnual p payment 21465 Date of T 566; Taking Loan: 1 1/1/2011; Annu Installmen 1; Rate of In ual nt: nterest: 17% ; Year : 10 Periodic Intere est Prin ncipal Ending Be eginning Year Pe eriod Amount Payment Porti ion Po ortion Balance 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 1 2 3 4 5 6 7 8 9 10 10 0,000,000 9,553,434 9 9,030,952 9 8,419,648 8 7,704,422 7 6,867,608 6 5,888,535 5 4,743,020 4 3,402,767 3 1,834,672 1 2,146,566 2,146,566 2,146,566 2,146,566 2,146,566 2,146,566 2,146,566 2,146,566 2,146,566 2,146,566 1,700,0 000 1,624,0 084 1,535,2 262 1,431,3 340 1,309,7 752 1,167,4 493 1,001,0 051 806,3 313 578,4 470 311,8 894 44 46,566 52 22,482 61 11,304 71 15,226 83 36,814 97 79,073 1,14 45,515 1,34 40,253 1,56 68,096 1,83 34,672 9,553,434 9,030,952 8,419,648 7,704,422 6,867,608 5,888,535 4,743,020 4 3,402,767 1,834,672 0

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Ap ppendix | ix

Team No BA100060 o.

Sales F ForecastRevenue Source e CPS Liquid Bryophyllum Building Integrated Sy ystem Byproduc ct Village P Plants Total Rev venue 2011 4,400,000 4 3,931,200 3 5,500,000 5 50,000 900,000 14 4,781,200 2012 48,000,000 42,888,000 27,500,000 100,000 6,300,000 124,788,000 20 013 55,000,0 000 72,019,2 200 13,750,0 000 120,0 000 8,100,0 000 148,989,2 200 2014 83,00 00,000 123,55 52,000 16,50 00,000 14 40,000 9,00 00,000 232,19 92,000 2015 86,000,000 173,706,000 19,250,000 150,000 9,900,000 289,006,000

Revenu ueRevenue from Liquid Bryophyllum e d m Leaf Pro oduction Number Capac per city Year of o Hector Hectar (KG) re 2011 2012 2013 2014 2015 180 0000 180 0000 180 0000 180 0000 180 0000 2 5 7 8 10 Capacity Used (%) U 12 52 62 85 95 Total Leaf f Produced (K KG) 43200 468000 781200 1224000 1710000 Crus shed & Processed Liqu uid(KG) 34 4560 37 74400 62 24960 97 79200 136 68000 Closing Inventory I 0 0 0 0 0

* For the first three years selling price of per kg li iquid is BDT 12 and the selling price is assu 20 umed BDT 130 afterwards

Revenue from Contin e nuous Power Supplier (On ne-time) Combin ned Year 201 11 Type Reven nue Typ pe-1 Type e-2 Selling P Price 5000 5 70 000 per unit Quantity 600 200 2 Total Rev venue Year 201 13 Selling Pr rice per unit Quantity Total Rev venue Year 201 15 Selling Pr rice per unit Quantity Total Rev venue 3000 0000 14000 000 44000 000 Combin ned Reven nue Typ pe-2 80 000 35 500 550000 000 Combin ned Reven nue Type-2 80 000 58 800 860000 000

Year 2012 Selli Price ing per unit u Quan ntity Tota Revenue al Year 2014 r Sellin Price ng per unit u Quan ntity Total Revenue l

Type e Type-1 6000 4000 24000000 Type-2 8000 3000 2 24000000

Combined C Revenue

48000000 4 Combined C Revenue

Type Ty ype-1 6000 4500

Type e Type-1 6000 6500 39000000 Type-2 8000 5500 44000000

2700 00000 280000 000 Type Ty ype-1 6000 6600

83000000

3960 00000 464000 000

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Ap ppendix | x

Team No BA100060 o. Revenue from Buildin Integrated Power Plan (One-time e ng d nts e) Installation Charge n Year Insta alled Units per unit 2010 100 55000 2011 500 55000 2012 250 55000 2013 300 55000 2014 350 55000 Revenue from Rural Sparkling Pl e lants No. of Houses No. of Year in every village y Villages 2010 0 2011 2012 2 2013 3 2014 4 100 100 100 100 100 5 35 45 50 55

Re evenue 55 500000 275 500000 137 750000 165 500000 192 250000

Revenue per r House/Month H h 150 0 150 0 150 0 150 0 150 0

No of o. Mo onth 12 12 12 12 12

Total Re evenue 9 900000 63 300000 81 100000 90 000000 99 900000

Valuati of the P ion ProjectZero Year Sales Rev venue COGS Gross Ma argin Total Ope erating Expenses EBIT Income T Tax Unlevered Net Income d Add. Acc cumulated Dep preciation& Amortizat ation Less: Ch hanges in Ne Working et Capital Less: Cap Expenditu pital ure Net Cash Flow 0 0 0 0 0 2011 14781200 22,937,800 2 -8,156,600 15566000 0 2012 124788000 1 83,902,000 8 40,886,000 4 22666000 18,220,000 1 4148979 2013 148989200 1 66584200 27203000 39381200 9461485 2014 2 232192000 1 113628300 35948000 77680300 19062240 2015 289006000 2 156038000 1 42679000 113359000 1 28012312

82,405,000 11 8 18,563,700 13 32,968,000

0 -2 23,722,600

0 -2 23,722,600 14071020.9 29 9919715.5 0 0 17350000 755000 1510000 2265000

58618060 85346687.9 3020000 3775000

42,464,166 -1 4 12,679,455 -2 25,689,704 -4 40,070,478 -1 16,725,573 0 -65,431,766 0 28,260,476 2 0 0 0

57,874,420 10 5 01,708,538 10 05,847,261

Present V Value of Adju usted Cash 17350000 -5 55450649.1 20296233.8 35224158.5 52 2 2460132.5 46266813.3 Flows(FC CF) Present V Value of Fu uture Cash 98796688.9 9 Flows Less: Proj Cost ject NPV BDT (Mi illion) Check 17350000 81,446,689 81.45 81,446,689 Zero Year Net Incom me IRR -4500 00000 35% 2011 -65,43 31,766 OK 2012 28,26 60,476 2013 57,874,420 2014 101,708,538 2015 10 05,847,261

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Ap ppendix | xi

Team No BA100060 o.

Calcula ation of Ch hange in Working Cap pitalZer Year ro Total Cur rrent Assets Total Cur rrent Liability y Net Work king Capital Change in Net Working Capital n g 45,0 000,000 0 45,0 000,000 2011 2,58 85,834 50,000 5 2,53 35,834 2012 15,3 390,289 175,000 1 15,2 215,289 2013 41, ,212,993 308,000 40, ,904,993 2014 81 1,407,471 432,000 80 0,975,471 2015 98,201,044 500,000 97,701,044

0 42,4 464,166 -12,6 679,455 -25, ,689,704 -40 0,070,478 -16,725,573

Calcula ation of Pay yback Peri iodPayback period has be calculated from financia cash-flow/v een al valuation mode el Year Inves stment An nnual net cash h Cumula ative Net Inflow w Cash Inflows h 0 173 350000 0 0 1 2 3 4 5 -65,431,766 28,260,476 57,874,420 101,708,538 105,847,261 -65 5,431,766 -37 7,171,290 20 0,703,130 122 2,411,668 228 8,258,929

The payb back period is 2 years and 11.30 months ( (2.94 years) As shown on the Chart above, In the 3rd year Net inflow of BD 57,874,420 has occurred in 12 months. n t e t DT 0 d h So, inflow of BDT 54, w ,521,290* has occurred in ( s (12/ 57,874,42 20)54,521,29 11.30 mo 90= onths*(17,350,000 + 37,171,290=BDT 54,521,290) *

Stress T Testing (Ba Case) aseBase Cas se Sales Total Cos st EBIT Tax Unlevered Net Income d Add. Acc cumulated Depreciat tion& Amortiza ation Less: Cha anges in Net Working Capital Less: Cap Expenditu pital ure Net Cash Flow h Discount Rate Present V Value of Adjust ted Cash Flow ws(FCF) NPV (in M Million BDT) Zero Y Year 0 2011 2 14781200 38,503 3,800 -23,722 2,600 0 -23,722 2,600 755 5,000 42,464 4,166 17350 0000 -17350 0000 0 -65,431 1,766 18% 2012 1247 788000 106,56 68,000 18,22 20,000 4,14 48,979 14,07 71,021 1,51 10,000 -12,67 79,455 0 28260 0475.9 18% 20296 6233.8 2013 148 8989200 109,6 608,000 39,3 381,200 9,4 461,485 29,9 919,715 2,2 265,000 -25,6 689,704 0 5787 74419.6 18% 3522 24158.5 2014 23 32192000 154 4,511,700 77 7,680,300 19 9,062,240 58 8,618,060 3 3,020,000 -40 0,070,478 0 10 01708538 18% 524 460132.5 2015 289006000 2 17 75,647,000 11 13,359,000 28,012,312 2 85,346,688 8 3,775,000 -1 16,725,573 0 105847261 1 18% 46 6266813.3

0000 -554506 649.1 17350 81.45

Stress T Testing (Be Case) estBest Case Sales Gro owth Cost Grow wth Discount Rate Saleswww.gree ensparkltd.com

Zero Year 0

0

2011 25% 10% 15% 1847 76500

2012 25% 10% 15% 1559 985000

2013 25% 10% 15% 186 6236500

2014 25% 10% 15% 29 90240000

2015 25% 10% 15% 361257500 3App pendix | xii

Team No BA100060 o.

Total Cos st EBIT Tax Unlevered Net Income d Add. Acc cumulated Depreciat tion& Amortiza ation Less: Cha anges in Net Working Capital Less: Cap Expenditu pital ure Net Cash Flow h Discount Rate Present V Value of Adjust ted Cash Flow ws(FCF) NPV (in M Million BDT)

42,35 54,180 117,2 224,800 120,568,800 169 9,962,870 19 93,211,700 -23,87 77,680 0 -23,87 77,680 75 55,000 42,46 64,166 1735 50000 -1735 50000 50000 1735 180.18 0 -6558 86846 15% -5703 32040 38,7 760,200 4,148,979 34,6 611,221 1,5 510,000 -12,6 679,455 0 4880 00675.9 15% 3690 00322.1 65,667,700 120 0,277,130 16 68,045,800 9,461,485 19 9,062,240 28,012,312 2 56,206,215 101 1,214,890 14 40,033,488 2,265,000 -25,689,704 0 84,160,920 15% 55337170.8 3 3,020,000 -40 0,070,478 0 14 44305368 15% 82507062.6 3,775,000 -1 16,725,573 0 160534061 1 15% 79 9813800.3

Stress T Testing (W Worst Case)Worst Ca ase Sales Gro owth Cost Grow wth Discount Rate Sales Total Cos st EBIT Tax Unlevered Net Income d Add. Acc cumulated Depreciat tion& Ammortization Less: Cha anges in Net Working Capital Less: Cap Expenditu pital ure Net Cash Flow h Discount Rate Present V Value of Adjust ted Cash Flow ws(FCF) NPV (in M Million BDT) Zero Year 0 2011 2012 2013 2014 2015 10% 10% 10% 10% 10% 30% 30% 30% 30% 30% 20% 20% 20% 20% 20% 0 1625 59320 1372 266800 163 3888120 25 55411200 317906600 3 50,05 54,940 138,5 538,400 142,490,400 200 0,865,210 22 28,341,100 -33,79 95,620 -1,2 271,600 21,397,720 54 4,545,990 89,565,500 8 0 4,148,979 9,461,485 19 9,062,240 28,012,312 2 -33,79 95,620 -5,4 420,579 11,936,235 35 5,483,750 61,553,188 6 75 55,000 42,46 64,166 1735 50000 0 -1735 50000 -75,50 04,786 20% 50000 1735 19.77 -6292 20655 1,5 510,000 -12,6 679,455 0 8768 8875.92 20% 6089 9497.17 2,265,000 -25,689,704 0 39,890,940 20% 230 085034.5 3 3,020,000 -40 0,070,478 0 78574228.1 20% 3 37892664 3,775,000 -1 16,725,573 0 82 2053760.9 20% 32 2975566.2

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App pendix | xiii

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