Info Edge India Ltd, the owners of Naukri.com, is having its board meeting today to consider raising funds. In an announcement to the stock exchanges, the company said that the meting is held to “discuss raising of capital through various available mechanisms in India and overseas”. It’s not clear what they will use the capital for. Interestingly, Naukri had raised Rs 174 crore last year via an IPO, and good chunk of it is invested for treasury operations. The company had set apart of Rs 30 crore for M&As and investments. The company is backed by Sherpalo and Kleiner Perkins, Caufield & Byers. ICICI Venture had exited Naukri completely through secondary market transactions to Fidelity Fund and others.
Naukri has also informed the stock exchanges that it had invested $500K in an Indian education portal StudyPlaces.com Inc, USA. The investment is done by a Mauritius based subsidiary of Info Edge. The company’s total commitment in StudyPlaces is said to be $1 million
Saturday, December 22, 2007
Thursday, December 13, 2007
Why Prepare a Business Plan?
Your business plan is going to be useful in a number of ways. Here are some of the reasons not to skip this valuable tool.
First and foremost, it will define and focus your objective using appropriate information and analysis.
You can use it as a selling tool in dealing with important relationships including your lenders, investors and banks.
You can use the plan to solicit opinions and advice from people, including those in your intended field of business, who will freely give you invaluable advice. Too often, entrepreneurs forge ahead ("My Way!") without the benefit of input from experts who could save them a great deal of wear and tear. "My Way" is a great song, but in practice can result in unnecessary hardships.
Your business plan can uncover omissions and/or weaknesses in your planning process.
What to Avoid in Your Business Plan Place some reasonable limits on long-term, future projections. (Long-term means over one year.) Better to stick with short-term objectives and modify the plan as your business progresses. Too often, long-range planning becomes meaningless because the reality of your business can be different from your initial concept.
Avoid optimism. In fact, to offset optimism, be extremely conservative in predicting capital requirements, timelines, sales and profits. Few business plans correctly anticipate how much money and time will be required.
Do not ignore spelling out what your strategies will be in the event of business adversities.
Use simple language in explaining the issues. Make it easy to read and understand.
Don't depend entirely on the uniqueness of your business or even a patented invention. Success comes to those who start businesses with great economics and not necessarily great inventions.
First and foremost, it will define and focus your objective using appropriate information and analysis.
You can use it as a selling tool in dealing with important relationships including your lenders, investors and banks.
You can use the plan to solicit opinions and advice from people, including those in your intended field of business, who will freely give you invaluable advice. Too often, entrepreneurs forge ahead ("My Way!") without the benefit of input from experts who could save them a great deal of wear and tear. "My Way" is a great song, but in practice can result in unnecessary hardships.
Your business plan can uncover omissions and/or weaknesses in your planning process.
What to Avoid in Your Business Plan Place some reasonable limits on long-term, future projections. (Long-term means over one year.) Better to stick with short-term objectives and modify the plan as your business progresses. Too often, long-range planning becomes meaningless because the reality of your business can be different from your initial concept.
Avoid optimism. In fact, to offset optimism, be extremely conservative in predicting capital requirements, timelines, sales and profits. Few business plans correctly anticipate how much money and time will be required.
Do not ignore spelling out what your strategies will be in the event of business adversities.
Use simple language in explaining the issues. Make it easy to read and understand.
Don't depend entirely on the uniqueness of your business or even a patented invention. Success comes to those who start businesses with great economics and not necessarily great inventions.
What is a Business Plan?
The primary value of your business plan will be to create a written outline that evaluates all aspects of the economic viability of your business venture including a description and analysis of your business prospects.
Since this course is broken down into twelve of the most important aspects to consider in starting a business, your business plan can follow this same format. Included in this session and in each of the following sessions there is a sample business plan outline covering each subject. When you put these all together, you will have a starting model for your overall plan.
A business plan is an essential step for any prudent entrepreneur to take, regardless of the size of the business. This step is too often skipped, but we make it easy for you by providing a format to build your plan as you progress through this course.
Business plans can vary enormously. Libraries and bookstores have books devoted to business plan formats. But this course is a place to start. You can then go on from here to design one that would be ideal for your particular enterprise
Since this course is broken down into twelve of the most important aspects to consider in starting a business, your business plan can follow this same format. Included in this session and in each of the following sessions there is a sample business plan outline covering each subject. When you put these all together, you will have a starting model for your overall plan.
A business plan is an essential step for any prudent entrepreneur to take, regardless of the size of the business. This step is too often skipped, but we make it easy for you by providing a format to build your plan as you progress through this course.
Business plans can vary enormously. Libraries and bookstores have books devoted to business plan formats. But this course is a place to start. You can then go on from here to design one that would be ideal for your particular enterprise
InLogistics Gets Funding From Sage Capital; The Fund Plans JV, Focus On SMEs
Mumbai-based private equity firm Sage Capital Advisors (SCA) has picked up an 8 per cent stake in Innovative B2B Logistics Solutions, a Delhi-based private cargo train operating company. It is learnt that the deal is worth about Rs 25 crore. In its one year of operation, Inlogistics has posted a turnover of almost Rs 75 crore.
Inlogistics is one of the 14 private players who were granted the licences to operate container trains by the Indian Railways. It operates seven trains services between East India - North India, South India - East India, North India to South India and North India to West India, according to the company website.
The company has also formed a strategic alliance with Central Warehousing Corporation (CWC) for container train operations. The company’s management include Omi Bhagadiya, Vira Chand Bothra and Sankalp Shukla.
The others in the private container train service business include Rajeev Chandrasekhar’s Hindustan Transportation Infrastructure Ltd in association with NOL of Singapore, Boxtrans Logistics, Central Warehousing Corporation (CWC), Pipavav Rail Corporation Ltd (PRCL) and Hind Terminals, among others.
Sage Plans JV, Own Fund
Meanwhile, a Reuters report says that Sage Capital Advisors plans to form a joint venture with a financial services group to launch a private equity fund or launch its own fund. The firm’s Managing Director Manish Kanchan told Reuters that the JV can raise up to a billion dollars. They plan to reveal the name of the JV partner in a month’s time.
He also said the firm is talking with potential investors to launch a private equity fund of around $200-250 million if the joint venture deal falls through.
As of now, the firm’s proprietary fund (with two investors) has invested Rs 55 crore in four unlisted firms engaged in logistics (InLogistics), infrastructure, real estate and jewellery. Kanchan said that “all the firms will get listed in 2008″.
The firm plans to focus on small and medium enterprises (SMEs) in manufacturing, exports, base metals, logistics and infrastructure in the Tier-I and II cities.
Inlogistics is one of the 14 private players who were granted the licences to operate container trains by the Indian Railways. It operates seven trains services between East India - North India, South India - East India, North India to South India and North India to West India, according to the company website.
The company has also formed a strategic alliance with Central Warehousing Corporation (CWC) for container train operations. The company’s management include Omi Bhagadiya, Vira Chand Bothra and Sankalp Shukla.
The others in the private container train service business include Rajeev Chandrasekhar’s Hindustan Transportation Infrastructure Ltd in association with NOL of Singapore, Boxtrans Logistics, Central Warehousing Corporation (CWC), Pipavav Rail Corporation Ltd (PRCL) and Hind Terminals, among others.
Sage Plans JV, Own Fund
Meanwhile, a Reuters report says that Sage Capital Advisors plans to form a joint venture with a financial services group to launch a private equity fund or launch its own fund. The firm’s Managing Director Manish Kanchan told Reuters that the JV can raise up to a billion dollars. They plan to reveal the name of the JV partner in a month’s time.
He also said the firm is talking with potential investors to launch a private equity fund of around $200-250 million if the joint venture deal falls through.
As of now, the firm’s proprietary fund (with two investors) has invested Rs 55 crore in four unlisted firms engaged in logistics (InLogistics), infrastructure, real estate and jewellery. Kanchan said that “all the firms will get listed in 2008″.
The firm plans to focus on small and medium enterprises (SMEs) in manufacturing, exports, base metals, logistics and infrastructure in the Tier-I and II cities.
Wednesday, November 28, 2007
PayPal Introduces Withdrawal Into Indian Bank Accounts
Here is good news for PayPal users in India. The company which revolutionised online payment in the world has introduced a new feature of withdrawing money into Indian banks.
The users can withdraw money from PayPal to these banks currently - State Bank of India, Bank of India, Canara Bank, Union Bank of India, HDFC Bank, ICICI Bank, ING VYSYA Bank, UTI Bank, Standard Chartered Bank, HSBC, and Citibank.
It’s a great move from the company. Earlier, Indian users had to make a request for a check payment and that would take anywhere from two weeks to a month. The payment was made by PayPal’s Singapore office. They also charged a commission of 3 per cent or so on withdrawal. Now the withdrawal will take only a week or so in normal circumstances. Also, the fee on withdrawal of amount above Rs 7,000 does not attract any fee, while below Rs 7,000 will be charged a nominal fee of Rs 50. That’s decent. See details here.
PayPal now needs to introduce transactions through Indian rupee. It currently does not support rupee, although it has provisions to transact through 17 currencies like US dollar and UK pounds. Once that is done, PayPal can emerge as the cheapest online payment company in India. It can push other service providers in the business into oblivion unless they change their commission structure. Merchants should be happy about this development.
PayPal had recently set up a full-fledged India office in Bangalore. You can expect more things from them.
The users can withdraw money from PayPal to these banks currently - State Bank of India, Bank of India, Canara Bank, Union Bank of India, HDFC Bank, ICICI Bank, ING VYSYA Bank, UTI Bank, Standard Chartered Bank, HSBC, and Citibank.
It’s a great move from the company. Earlier, Indian users had to make a request for a check payment and that would take anywhere from two weeks to a month. The payment was made by PayPal’s Singapore office. They also charged a commission of 3 per cent or so on withdrawal. Now the withdrawal will take only a week or so in normal circumstances. Also, the fee on withdrawal of amount above Rs 7,000 does not attract any fee, while below Rs 7,000 will be charged a nominal fee of Rs 50. That’s decent. See details here.
PayPal now needs to introduce transactions through Indian rupee. It currently does not support rupee, although it has provisions to transact through 17 currencies like US dollar and UK pounds. Once that is done, PayPal can emerge as the cheapest online payment company in India. It can push other service providers in the business into oblivion unless they change their commission structure. Merchants should be happy about this development.
PayPal had recently set up a full-fledged India office in Bangalore. You can expect more things from them.
M Ginger gets USD 2mn v.c funding
mGinger, a permission based mobile advertising network has received $2 million funding from Draper Fisher Jurvetson and NEA-IndoUS Ventures. The company will use the fund for its business growth, build up their technology stack and ramp up their marketing and sales force.
mGinger enables advertisements including offers, vouchers, news and more, sent in the form of SMS on consumers’ mobile phones. These advertisements are specific to consumer interests and demographics mentioned during sign-up and received only in the timings that consumers specify. An additional value-add for consumers, is the earning potential of receiving these advertisements, which is redeemed through a gift cheque from mGinger.
The susbcriber of mGinger gets 20 paisa per sms and can refer his / her friends and family on mGinger. For every advert that referred mobile receives, main subscriber gets 10 paisa and 5 paisa for every advert that friend’s friend receives. Thus mGinger aims to created a pyramid structure mobile advertising list by using referrals and incentive scheme ( smart way of using word of mouth publicity).
This service is akin to Chequemail.com which used to pay users for reading their email and used to sell advertising space. Chequemail which received funding from ICICI venture in dotcom haydays finally closed down (though domain is still active but has no website as there is no name server listed against it).
DFJ which is a early stage / seed stage investor has recently opened its Bangalore Office with Mohanjit Jolly as Director and Sateesh Andra as Venture partner. DFJ other investments in India are seventymm, Komli etc
mGinger enables advertisements including offers, vouchers, news and more, sent in the form of SMS on consumers’ mobile phones. These advertisements are specific to consumer interests and demographics mentioned during sign-up and received only in the timings that consumers specify. An additional value-add for consumers, is the earning potential of receiving these advertisements, which is redeemed through a gift cheque from mGinger.
The susbcriber of mGinger gets 20 paisa per sms and can refer his / her friends and family on mGinger. For every advert that referred mobile receives, main subscriber gets 10 paisa and 5 paisa for every advert that friend’s friend receives. Thus mGinger aims to created a pyramid structure mobile advertising list by using referrals and incentive scheme ( smart way of using word of mouth publicity).
This service is akin to Chequemail.com which used to pay users for reading their email and used to sell advertising space. Chequemail which received funding from ICICI venture in dotcom haydays finally closed down (though domain is still active but has no website as there is no name server listed against it).
DFJ which is a early stage / seed stage investor has recently opened its Bangalore Office with Mohanjit Jolly as Director and Sateesh Andra as Venture partner. DFJ other investments in India are seventymm, Komli etc
basics V Required Activities
It is worth repeating again: The most common mistake and the most costly one is not picking the right business to begin with. This is the time for soul searching.
IF YOU HAVE NOT DECIDED ON A BUSINESS, DO THIS:
On the top of a blank sheet of paper, write an activity you like to do (make this the heading). Do a separate page for each activity or interest you have.
On those same sheets list as many businesses you can think of that are related to that activity.
On the same sheets list all the products or services you can think of that are related to that activity. Use your imagination and think of every possible product or service you could do.
Make a list of businesses that do better in bad times (one may be appropriate for you). Some examples might be pawnshops, auto repairs and fabric stores.
EXAMPLE
Let's assume you end up with three potential businesses: towing service, selling used cars and auto repairs. You can now make a comparative evaluation using the following check-list (or better still your own checklist) with a 1-10 scoring system:
Objective Towing
Service Selling
Used Cars Auto
Repair
--------------------------------------------------------------------------------
Can I do what I love to do? 6 3 10
Will I fill an expanding need? 8 5 10
Can I specialize? 7 8 10
Can I learn it and test it first? 9 8 9
This kind of analysis can help you gain objectivity in selecting your business.
How to Evaluate a Specific Business you have in mind.
Here are some questions to help clarify your thoughts:
Is it something I will enjoy doing?
My favorite activities are: __________________________
I like to serve people by: ________________________________
Will it serve an expanding need for which there is no close substitute?
Can I be so good at a specialized, targeted need that customers will think there is no close substitute?
Can I handle the capital requirements?
Can I learn the business by working for someone else first?
Could I operate as a hollow corporation, without a factory and with a minimum number of employees? ("Hollow corporation" refers to a business where everything is "outsourced," meaning you would subcontract manufacturing and packaging to outside sources. )
Is this a product or service that I can test first?
Should I consider a partner who has complementary skills to mine or who could help finance the business?
Once you have decided what business you want to start, do this:
Make a "for" and "against" list regarding characteristics of the business. On a blank piece of paper, draw a vertical line down the middle of the page and list on one side all the "for's" and on the other all the "against's." Sometimes this will help clarify your thinking.
Write down the names of at least five successful businesses in your chosen field. Analyze what these five businesses have in common and make a list of reasons that make them successful.
Talk to several people in your intended business. Don't be afraid of the negative aspects of your intended business. Instead, seek out the pitfalls: better now than after you open your doors. Take notes if possible. Write down the information as soon as you can.
Analyze the competition that are not doing well and write down the reasons.
Get Completely Qualified
Before you start, get completely qualified:
The best way to become qualified is to go to work for someone in the same business.
Attend all classes you can on the subjects you need, for example: accounting, computer and selling.
Read all the appropriate "how-to" books you can.
Don't be afraid to ask questions or seek help from the most successful people in your intended business
IF YOU HAVE NOT DECIDED ON A BUSINESS, DO THIS:
On the top of a blank sheet of paper, write an activity you like to do (make this the heading). Do a separate page for each activity or interest you have.
On those same sheets list as many businesses you can think of that are related to that activity.
On the same sheets list all the products or services you can think of that are related to that activity. Use your imagination and think of every possible product or service you could do.
Make a list of businesses that do better in bad times (one may be appropriate for you). Some examples might be pawnshops, auto repairs and fabric stores.
EXAMPLE
Let's assume you end up with three potential businesses: towing service, selling used cars and auto repairs. You can now make a comparative evaluation using the following check-list (or better still your own checklist) with a 1-10 scoring system:
Objective Towing
Service Selling
Used Cars Auto
Repair
--------------------------------------------------------------------------------
Can I do what I love to do? 6 3 10
Will I fill an expanding need? 8 5 10
Can I specialize? 7 8 10
Can I learn it and test it first? 9 8 9
This kind of analysis can help you gain objectivity in selecting your business.
How to Evaluate a Specific Business you have in mind.
Here are some questions to help clarify your thoughts:
Is it something I will enjoy doing?
My favorite activities are: __________________________
I like to serve people by: ________________________________
Will it serve an expanding need for which there is no close substitute?
Can I be so good at a specialized, targeted need that customers will think there is no close substitute?
Can I handle the capital requirements?
Can I learn the business by working for someone else first?
Could I operate as a hollow corporation, without a factory and with a minimum number of employees? ("Hollow corporation" refers to a business where everything is "outsourced," meaning you would subcontract manufacturing and packaging to outside sources. )
Is this a product or service that I can test first?
Should I consider a partner who has complementary skills to mine or who could help finance the business?
Once you have decided what business you want to start, do this:
Make a "for" and "against" list regarding characteristics of the business. On a blank piece of paper, draw a vertical line down the middle of the page and list on one side all the "for's" and on the other all the "against's." Sometimes this will help clarify your thinking.
Write down the names of at least five successful businesses in your chosen field. Analyze what these five businesses have in common and make a list of reasons that make them successful.
Talk to several people in your intended business. Don't be afraid of the negative aspects of your intended business. Instead, seek out the pitfalls: better now than after you open your doors. Take notes if possible. Write down the information as soon as you can.
Analyze the competition that are not doing well and write down the reasons.
Get Completely Qualified
Before you start, get completely qualified:
The best way to become qualified is to go to work for someone in the same business.
Attend all classes you can on the subjects you need, for example: accounting, computer and selling.
Read all the appropriate "how-to" books you can.
Don't be afraid to ask questions or seek help from the most successful people in your intended business
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