INTRODUCTION
If an individual is skilled at photography or videography, then starting a videography enterprise is a natural choice in rural India nowadays. It opens enormous business opportunities for both amateur and skilled video producers. Irrespective of economic downturns, weddings remain a stable business as it is a once-in-a-lifetime event for most couples. Families of couples are ready to pay hefty fees to make their big day memorable. The videography enterprise, specializing in photography and video mixing, typically provides other services like banner printing and album making.
MARKET POTENTIAL
The photography market had a total sales value of INR 6335 million back in 2014 and increased to INR 7751 million in 2018. It is expected that Indian photography will grow with a CAGR of 6.05%, and the market value is estimated at INR 11 trillion in 2025. In the wedding season, even catering to small weddings, a videographer can earn a minimum of INR 500,000 to INR 1 million per annum. Currently, drone videography is one of the most emerging trends. Moreover, a videographer may earn money by providing video-related services including pre-production consulting, production, post-production editing, vlogging, and creating short videos for social media platforms such as YouTube and Instagram. Such services are also demanded by real estate businessmen, educational institutions, etc. for developing promotional videos or advertisements.
FUNDING SOURCE
Under the Work 4 Progress programme of the Development Alternatives Group, such enterprises have been financed by Sankalp Swashakti Mahila Mandal and Sakhi Saheli Tejaswini Mahasang (Cluster Level Federations) and SKS Micro Finance Institution, with an average loan size of INR 30,000.
BUSINESS ECONOMICS
FIXED CAPITAL (One Time Expenditure)
| MACHINERY & EQUIPMENT | AMOUNT (in INR) |
| Mixing Console (Desk) | 47,500 |
| Desktop | 25,000 |
| 2 Colour Printers (@ INR 14,500/unit) | 29,000 |
| Laminator | 5,000 |
| Video camera | 30,000 |
| Tripod | 1,500 |
| Camera Light | 5,000 |
| Three Point Light Kit | 25,000 |
| Shotgun Microphone | 3,000 |
| Audio XLR Cable | 500 |
| Wireless Microphone | 6,000 |
| Headphone | 2,000 |
| Lenses – Wide Angle, Clear | 11,000 |
| Flash Drives, Memory Cards, etc. | 5,500 |
| External Hard Drive | 6,000 |
| Camera Bag | 2,500 |
| Portable Inverter and Battery | 14,000 |
| TOTAL | 2,18,500 |
WORKING CAPITAL (for a 2-month cycle)
| RAW MATERIAL | AMOUNT (in INR) |
| Lamination Sheet (500 sheets in 1 pack) (1 pack @ INR 150/pack) | 125 |
| A4 Size Printing Paper (750 sheets @ INR 0.5/sheet) | 180 |
| Color Cartridge (lasts for 600 pages) | 800 |
| B/ W Cartridge | 250 |
| DVD (5 DVDs @ INR 50/piece) | 219 |
| Album Sleeves (1,200 units @ INR 5/unit) | 1,160 |
| Album Covers (12 units @ INR 70/unit) | |
| STAFF AND LABOUR | AMOUNT (in INR) |
| Entrepreneur’s Salary (@ INR 10,000/month) | 23,000 |
| Two Full-time Workers (@ INR 8,000/month) | |
| UTILITIES & OTHER EXPENSES | AMOUNT (in INR) |
| Electricity Bill | 1,000 |
| Rent | 12,000 |
| Water | 1,000 |
| Internet Bill | 3,000 |
| Transportation | 6,000 |
| Maintenance | 12,000 |
| TOTAL | 96,715 |
FINANCIAL SUMMARY (Annual)
| FINANCIALS | AMOUNT (in INR) |
| Fixed Cost | 2,18,500 |
| Working Capital (for each cycle of 2 months duration) | 96,715 |
| Total Enterprise Cost | 3,15,215 |
| Annual Revenue | 9,92,700 |
| Total Expenditure (annual working capital) | 5,80,290 |
| Enterprise Profit | 4,12,410 |
| Payback Period (in months) | 7 |
BASIC ASSUMPTIONS
- The number of operational days in a month is 25.
- On average, the following services are performed every cycle, with the total revenue being INR 1,65,450
| Particulars | Quantity | Selling Price/Item (in INR) | Amount (in INR) |
| Xerox | 400 | 5 | 2,000 |
| Black and White Printout | 100 | 10 | 1,000 |
| Colour Printout | 100 | 12 | 1,200 |
| Sound Recording andMixing | 12 | 3000 | 36,000 |
| Banner Designing | 16 | 2,000 | 32,000 |
| Album Making | 12 | 1,500 | 18,000 |
| Photoshoot (Outdoors) | 12 | 3,000 | 36,000 |
| Video shoot | 3 | 6,000 | 18,000 |
| Lamination | 500 | 25 | 1,250 |
| Photoshoot (Studio) | 2000 | 1000 | 20,000 |
Note: All figures mentioned are indicative and for reference purpose only. Development Alternatives Group bears no liability for accuracy. For any further information, please contact Development Alternatives on +91-11-2654-4100 or +91-11-2654-4200.
Star Entrepreneur
Harishankar has been interested in electronics since he was a child tinkering with machines at his father’s workshop. During Covid-19 he even streamed local cricket matches on Youtube.
- Invested INR 50,000 of his own savings and took loans amounting to INR 1,00,000 to setup
- Average monthly income at INR 7,000
- Jobs created 3 (seasonal)