Vegetable Seller Essay

394 Words2 Pages
Executive Summary: We interviewed four small businessmen who sell vegetable in karwan bazar kitchen market. We asked various questions about their business operations.We discover their business practice and how they operate their business.We come to know that the hawkers avoid debt financing, as they find debt to be extremely risky, and depend completely on equity financing. There is no scope of growth as they can not generate enough funds from their business to finance the growth in this competitive market. They only take some interest free current liabilities from their suppliers which they repay continuously on daily basis while they buy inventories from the suppliers, and the remaining amount they pay at the beginning of the Bengali New Year. The vegetable market is highly unstable and therefore the income is not fixed. The vendors can generate enough money to support their family throughout the year with their business. Data collected: CRITERIA 1st Person (Lal Mia) 2nd Person ( Mostafa) 3rd Person Business duration 24years 15 years Initial investment(approx.) 6,000 tk 12,000 tk Current investment 8,000 tk 13,000 tk Equity or debt funds 100% Equity financing 80% Equity financing, 20% debt funds Repayments & terms X 2 years, 100 tk/month Interest rate X 5% Daily starting time of their business 6 AM 7 AM Daily starting investment 5,000 tk 9,000 tk Cash left with them 4,000 tk 4,000 tk Location of selling fishes Karwan Bazar fish market Karwan Bazar Fish market Pricing of the fishes (approx.) Depends Depends Recovery period (approx.) 1 day 2.5 days Business risks Non durable products Non durable products Political Risks Hartals, blockades hampered supply Hartals, blockades hampered supply . Safety issues and other jeopardy Yes, extortion occurs None Business expenses-Daily (approx.)

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