BrickLane Consulting Proposal WHAT is BrickLane Consulting?

Services Offered Industries Catered ✓ Market Research ✓ Retail ✓ Brand Leasing ✓ Hospitality ✓ Franchising ✓ Food & Beverage ✓ Recruitment & Training ✓ ✓ Digital Marketing Education ✓ Brand Promotion ✓ Entertainment ✓ Go-to Market Strategy ✓ Warehousing Achievements Brands Worked With Areas of Operation ✓ Tata Westside ✓ Hotel Lemon Tree ❏ /NCR ✓ Pantaloons ✓ Hotel Clarkes Inn ❏ ✓ Lifestyle ✓ Millenium World School ❏ ✓ Amazon ✓ Mount Litera Zee School ❏ Punjab ✓ Big Bazaar ✓ Haldiram’s ❏ ✓ Max ✓ Sagar Ratna ❏ Chandigarh Tri-city ✓ Levis ✓ Bercos ❏ ✓ Flying Machine ✓ Pind Balluci ❏ ✓ W ✓ Bikanerwala ❏ ✓ Biba ✓ Dominos ❏ Mumbai ✓ Wildcraft ✓ KFC

✓ People ✓ Pizza Hut

✓ V2 Retail ✓ EasyDay BrickLane Strengths

● City-wise Market Report City Understanding 1 ● Inventory of Properties ● Product demand analysis Dedicated Training ● 3 Training centers in NCR/UP 2 Infrastructure for Retail ● Multiple Batches running

Network of High ● Business Partners/Investors 3 Net Worth Individuals ● Franchisee options

● With MBOs Business Collaboration 4 ● Modern Trade ● Departmental Stores ● Target Calculation Store Operations 5 ● KPI/KRA Definition ● Case Studies Impulse Buying Retail Market

Companies Miniso Model ✓ Miniso ✓ 4000 stores worldwide ✓ Momoso ✓ Plans to reach 10000 stores by 2022 ✓ Yoyoso ✓ 2018 Revenue - 18000 Crore INR ✓ Ximi Vogue ✓ 2018 Sales - 700 Crores INR ✓ Beccos ✓ Launched in India - August 2017 ✓ DaySo Why Is It for YOU Jewellery Business

Diversification Locations

Trust

Education Lifestyle Threat of New Entrants: The Impulse Retail market LOW

Bargaining Bargaining Competitive Power of Power of Rivalry: Suppliers: Buyers: LOW LOW LOW

Threat of Substitute Product/Service: LOW The Offering

Product Price Household Utility & Gift Items INR 39 to INR 499 products Design based & Attractive packaging Low Price & High Margin 70% Imported & 30% Indian products

Promotion Place Advertising Tier-2 & Tier-3 Cities in India

Direct Marketing, B2B High Footfall areas

Sales Promotion & Loyalty programs Word of mouth Business Verticals

● 1000 to 1500 square feet space 01 Retail ● Mostly owned stores

MBOs & Large ● Fixed space in MBOs 02 Format Stores ● Display of 100-300 sqft per outlet ● 300-500 sqft Kiosk 03 Express Model ● 100% Franchisee Fees ● Identify entrepreneurs Team Structure

Central Office Warehouse Store

1. Accounts 1. Manager 1. Store Manager 2. Operations 2. HR 2. Cashier 3. Purchase 3. Quality Control 3. Customer Care Execs 4. Visual Merchandising 4. Backend Merchandiser 4. Helper 5. Projects 5. MIS Executive 6. Legal 6. Accounts 7. Human Resource 8. Information Technology 9. Marketing 10. Business Development 11. MIS STEP 5: EXIT STEP 1: ENTRY Roadmap May Exit at 700 Invest INR 6.8 CR CR+ Valuation

Impulse Buying Retail Brand Lifecycle STEP 4: EXTERNAL INVESTMENT STEP 2: 10 STORES Liquidate some Equity for Growth 15 CR Revenue

STEP 3: VALUATION

50 CR Valuation Unit Economics

Unit Level Margin Calculations

Buying Price (Cost) 100 Markup 3 MRP 300 GST in MRP 18% 46

(-) GST Revenue 254 (-) Cost 154 Markdown (Net Margin) 51.3% 1 STORE Area COCO 1200 Rs 1,000 * Per SqFt Per Store P&L 2019-2020 Calculations CTC 18.96% Annual Sale Per month Sale Store Salary Calculations Sale 14,400,000 1,200,000 QTY SALARY TOTAL Manager 1 20,000 20,000 EXPENSES Per month YR % Cashier 1 15,000 15,000 Salary 66,000 792,000 5.50% Petty Exp 4,000 48,000 0.33% CCA 2 12,000 24,000 Telephone 2,500 30,000 0.21% Helper 1 7,000 7,000 Maintenance 4,000 48,000 0.33% Total Salary 66,000 Incentive 6,000 72,000 0.50%

* Note: We have considered Rs 1000 sales per sqft Electricity 25,000 300,000 2.08% per month as just 67% of actual figure of Rs 1500 Rent 120,000 1,440,000 10.00% considering new brand, theft and pilferage, transport expense margins etc. TOTAL 227,500 2,730,000 18.96% Overall Revenue & Profit Calculations Year 1 Year 2 Year 3 Year 4 Year 5 Particulars (2019-20) (2020-21) (2021-22) (2022-23) (2023-24) Number of Stores 10 30 60 100 200 Area in SQFT 12,000 36,000 72,000 120,000 240,000 Sale in INR 12,000,000 43,200,000 86,400,000 144,000,000 288,000,000 Markdown (Margin) 51.33% 6,159,600 22,174,560 44,349,120 73,915,200 147,830,400 Backend/Warehouse 2,000,000 2,500,000 3,200,000 4,000,000 6,000,000 Store Rent 1,200,000 3,600,000 7,200,000 13,200,000 24,000,000 Store Salaries 660,000 2,079,000 4,158,000 6,930,000 13,860,000 Electricity 250,000 750,000 1,500,000 2,500,000 5,000,000 Store Running Expenses 165,000 495,000 990,000 1,650,000 3,300,000 Total Monthly Expenses 4,275,000 9,424,000 17,048,000 28,280,000 52,160,000 Net Monthly Profit 1,884,600 12,750,560 27,301,120 45,635,200 95,670,400 Annual Revenue 144,000,000 518,400,000 1,036,800,000 1,728,000,000 3,456,000,000 Annual Net Profit 22,615,200 153,006,720 327,613,440 547,622,400 1,148,044,800 Company Investments One Time Office Rent 125,000 Investments Office Rent Security 375,000 Warehouse Rent 200,000 Warehouse Rent Security 600,000 Store Merchandise Calculation Company Formation, Legal, ROC etc. 200,000 Area 1200 Marketing, Website, Softwares etc. 1,000,000 Per SQFT pc 15 Office Computers etc. 2,000,000 Per pc Cost 100 Merchandise for 10 stores 23,000,000 Wholesale Price 1,800,000 Total Company Investment 27,500,000 10 Store Merchandise WSP 18,000,000 Store Investments Interiors & Furniture/Fixture @ 1800 2,160,000 Backup Merchandise 5,000,000 Rent & Security 480,000 Local Marketing 400,000 Total Initial Merchandise WSP 23,000,000 Total Investment on 1 Store 3,040,000 Investment on 10 Stores 30,400,000 Investment Phases Recurring Expenses Phase - 1 9,900,000 Salary 6,000,000 Phase - 2 23,000,000 Rent 2,000,000 Other Expenses 2,000,000 Phase - 3 35,000,000 Total Recurring Expenses 10,000,000 Total Investments 67,900,000 Total Initial Investment 67,900,000 Team BrickLane

● Leasing & Franchising experience 1 Karandeep Singh ● Developed West UP & Uttarakhand markets over 5 years

● 9 years Marketing & Consulting Experience 2 Abhishek Tomar ● B.Tech., MBA from IIM Lucknow ● Handled team of 200+ as Business Head

● Rich Experience of Store Operations ● 20+ years in Retail industry 3 Sarabjeet Singh ● Managed brands like Blackberrys, Raymonds Thank You