Project Profile Draft - Aysha - Update 26 05 12

AYSHA MEMORIAL SPECIALIZED HOSPITAL (PVT.) LTD.
TABLE OF CONTENTS
PAGE
EXECUTIVE SUMMARY
Summary Sheet
5-6
INTRODUCTION
SECTION ONE
1.1BACKGROUND
7-8
1.2 OBJECTIVE
MANAGEMENT ASPECTS
SECTION TWO
2.1 DESCRIPTION OF BUSINESS
9-14
2.1.1 Corporate Status and Background
9-10
2.1.2 Short Bio-data of the Directors
10-11
2.1.3 Management
11-12
2.1.4 Nature of Business
12
2.1.5 Services
12-14
TECHNICAL ASPECTS
SECTION THREE
3.1 THE BMRE
15
3.2 CAPACITY
15-18
3.3 LAND AND LOCATION
18-20
3.4 BUILDING & CONSTRUCTION
20
3.5 MACHINERY & EQUIPMENTS
21-23
3.6 ERECTION & INSTALLATION
23
3.7 REQUIREMENT OF RAW MATERIALS
24
3.8 UTILITIES: POWER, GAS & WATER
24
3.9 FUEL AND OIL
25
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PROJECT PROFILE

3.10 CONVEYANCE
25
3.11 FURNITURE, FIXTURE & EQUIPMENTS
25
3.12 SECURITY CHARGES
25
3.13 ADVERTISEMENT AND PUBLICITY
25
3.14 WASHING AND CLEANING CHARGES
26
3.15 REPAIR AND MAINTENANCE
26
3.16 PRINTING AND STATIONERY
26
3.17 ENTERTAINMENT
26
3.18 COMMISSION
26
3.19 MANPOWER REQUIREMENT
27-29
3.20 PROJECT IMPLEMENTATION SCHEDULE
29
MARKETING ASPECTS
SECTION FOUR
4.1 INTRODUCTION
30
4.2 BACKGROUND HISTORY
30-31
4.3 GOVT. POLICY FOR HEALTH CARE
31-32
4.4 PROPOSAL
32
4.5 EXISTING FACILITY
32-34
4.6 DEMAND AND SUPPLY GAP
34-36
4.7 MARKETING STRATEGY
36
4.8 PROMOTIONAL ACTIVITY
36
4.9 CONCLUSION
37
FNANCIAL ASPECTS
SECTION FIVE
5.1 MODEL OVERVIEW
38
5.2 FINANCIAL MODEL FOR BMRE
38
5.2.1 Cost of the project
38
5.2.2 Model Assumptions
39-40
5.2.3 Results
40
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5.2.4.1 Earnings available for Debt Service
41
5.2.4.2 Balance Sheet
42
5.2.4.3 Income Statement
43
5.2.4.4 Ratios
44
5.2.4.5 IRR and NPV
45
5.2.4.6 Break even analysis
46
5.2.4.7 Payback period
47
CONCLUSION
48
SECTION SIX
3
PROJECT PROFILE

EXECUTIVE SUMMARY
The Aysha Memorial Specialised Hospital (Pvt.) Ltd. (the Hospital) is one of the fastest
growing General Hospitals under the dynamic leadership of Ms. Priti Chakraborty. The
company has realigned itself as an innovative medical service provider through a
completely fresh strategy. The overall strategy is to achieving excellence in terms
total medical services. The management team consists of highly experienced business
and medical professionals who are responsible for the turnaround and exponential
growth of the company.
The financing, arranged by long term bank loan, will be utilized to fund the
expansionary plan of the Hospital which is for three distinct areas. Area 1 constitutes
upgrading the impatient services of existing hospital located at 74/G, Peacock Square,
(Arjatpara), New Airport Road, Mohakhali, Dhaka. Area 2 constitutes the expansionary
plan of outpatient and diagnostic services of the existing hospital along with in the
adjacent area. Area 3 will involve setting up a diagnostic unit in Uttara, Dhaka.
The expansionary plan will be executed in different phases and completed within
December 2013. The total investment requirement fixed assets reach to BDT 1,042
million at the end of 2014. The proposed expansion will create employment
opportunities for additional 130 persons at the end of 2014.
The project is financially viable with an internal rate of return (IRR) of 18.02% and a
net present value (NPV) of BDT 164 million, discounted at 12%.
Improved health service coverage and quality will have a positive effect in improving
the quality of life of the community.
As a result of the further investment will allow the Hospital achieving substantial
growth from the year 2015 and onwards.
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PROJECT PROFILE

Summary Sheet
Name
of
the :
Aysha Memorial Specialised Hospital (Pvt.) Ltd.
Company
Corporate Office
74/G, Peacock Square, (Arjatpara), New Airport Road,

Mohakhali, Dhaka.
Location
74/G, Peacock Square, (Arjatpara), New Airport Road,

Mohakhali, Dhaka.
Nature
of
the
General Hospital
Industry
Services
Comprehensive health services
Facility asked for
Long Term Loan renewal and enhancement and working

capital finance
Facility Amount
Long term loan renewal of BDT 218 million and

enhancement of BDT 297 million.
Working capital of BDT 30 million.
Purpose
For capital expansion as well as further investment in

renovation and modernization.
Tenor asked for

Moratorium
Period :
required
120 months (10 years)

1 Year from the date of drawdown of last installment
(principal only). Interest during the moratorium period
will be capitalized.
Interest
Rate :
13%
considered
The investment will go into generating revenue phase by phase, however within 3
5
PROJECT PROFILE

years full benefit will be availed. The expansion will create job opportunities for 130
people. The debt service coverage ratio of the project works out to minimum 1.40,
1.46, & 1.57 times during the years of loan period. The project is expected to breakeven at 59% of the capacity utilization with sales volume of BDT 1125 million.
Net Present Value (NPV) of the project at 12% discount rate is BDT 164 million with an
Internal Rate of Return (IRR) of 18.02%. Profitability Index is assumed 1.27 Payback
period is estimated to be 4 year 7 months.
INTRODUCTION
SECTION ONE
1.1
BACKGROUND
Bangladesh has made remarkable progress over the past 40 years. Over the past
decade, the country has changed considerably in many ways gross domestic product,
gross national income, and education levels all have risen significantly and the
health system is changing as well. In spite of development successes in the last four
6
PROJECT PROFILE

decades, Bangladesh is one of the most densely populated countries in the world. Its
population of 160 million places a tremendous economic, social and environmental
strain on the countrys resources. With fertility declining from 6.3 to 2.7
children/women, Bangladeshs population is still projected to reach 231 million by
2050. Still a majority of births (85%) in Bangladesh take place at home. The maternal
mortality ratio in Bangladesh is high, with 320 women dying for every 100,000 live
births. Two fifths of Bangladeshi children (41%) are underweight. Child mortality is
high, with 65 deaths of children under 5 per 1,000 live births. Neonatal deaths in
Bangladesh account for 57% of all child deaths. The number of children born per
Bangladeshi woman is currently 2.7. Tuberculosis (TB) is the leading cause of adult
mortality in Bangladesh.
Though the health system has changed, still overall health care consumption in
Bangladesh in both public and private sectors is low compared with other countries
and relative to need. The use of maternity services is particularly low: only 8% of
deliveries occur in a health facility with skilled birth attendants. The private sector is
used for the overwhelming majority of outpatient curative care, while the public
sector is used for a larger proportion of hospital deliveries and preventive care. About
90% of medical care for children with acute respiratory infection (ARI) or diarrhea is
obtained from the private sector. Bangladesh has amongst the highest reliance on the
private sector. This indicates the importance of the private sector in terms of access
and signals the need for effective quality of care measures.
For providing comprehensive private health care services in Bangladesh the Aysha
Memorial Specialised Hospital (Pvt.) Ltd. was established in 1996 at 74/G, Peacock
Square, (Arjat Para), New Airport Road, Mohakhali, Dhaka- 1215, Bangladesh. Now the
Hospital is a well known 100 multi-disciplinary general hospital with the latest
medical, surgical and diagnostic facilities to serve around 150,000 people and provide
all types of clinical service. These services are provided by expert medical
professionals, skilled nurses and technologists using state-of-the-art technology. The
hospital consists of three building having 50,000 square feet floor space on 18 Khata
owned land. The hospital includes three well-equipped operation theater, diagnostic
center, intensive care unit (adult), neonatal intensive care unit, pediatric intensive
7
PROJECT PROFILE

care unit, high dependency unit, stroke unit and haemodialysis unit. After change of
management and ownership, the hospital flourished it as a very good and reliable
referral hospital. Earned name and fame giving service and quality treatment.
The Hospital is planning to construct new consultation centre and expand its
diagnostic facilities further equipped with modern medical equipments and modern
facilities.
1.2 OBJECTIVE
In order to reposition of the Hospital, the current management is willing to expand its
services, specifically the further expansion is designed to:
provide upgrading the inpatient services of existing hospital located at 74/G,
Peacock Square, (Arjatpara), New Airport Road, Mohakhali, Dhaka;
expand its capacity for providing consultation services to outpatients as well as
diagnostic services in the existing hospital and in the extended area; and
Expand diagnostic services by setting up a new diagnostic unit in Uttara, Dhaka.
MANAGEMENT ASPECTS
SECTION TWO
2.1 DESCRIPTION OF BUSINESS
2.1.1 Corporate Status and Background
The Aysha Memorial Specialised Hospital (Pvt.) Ltd. is a General Hospital, located at
74/G, Peacock Square, (Arjatpara), New Airport Road, Mohakhali, Dhaka. It was
established in the year 1996 by Major General (retd.) M. Abdur Rab psc. Total share of
8
PROJECT PROFILE

the hospital was transferred in the year 2004 in favour of Ms. Priti Chakraborty, MR.
Minur Aham Khan and J & J Essential Products. At the end of the year 2011 the
Hospital restructured its shareholding by inducting new shareholders to give an
impetus in the managment. Authorized and paidup capital structure of the company
is as follows:
Particulars
No. of Shares Face Value
Authorized Capital
Amount
in
Taka
2,500,000
Tk. 100.00
250,000,000
530,000
Tk. 100.00
53,000,000
Paid-Up Capital :
Ordinary share
Shareholding position:
Sl
Name & address.
Fathers Name
Position
Share
holding
01 Mrs. Priti Chakraborty

A-1, TTTC Quarter, Tejgaon,
Dhaka-1208.
02 Dr. Ashish Kumar Chakraborty
Uchaliapara, PO + Thana Sarail,
District B. Baria, Bangladesh
03 Mr. Avijit Bhattacharjee FCA
74 B, 1st Floor, Siddeshawri Circular
Chairman,
Late Ashutosh
Managing
Chakraborty
Director &
Late Ashutosh
Shareholder
Director &
Chakraborty
Shareholder
Late Priyabrata
Director &
Bhattacharjee
Shareholder
485,000
20,000
3,000
Road, Ramna, Dhaka

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PROJECT PROFILE

04 Mrs. Nahid Akhter
Ja-42/1, Middel Badda, Gulshan,
Dhaka-1212
05 Miss Haymontika Paul
Late MA Gias
Shareholder
2,000
Shareholder
20,000
Uddin Ahmed
Mr. Dilip Paul
A-1, TTTC Quarter, Tejgaon,

Dhaka-1208.
2.1.2 Short Bio-data of the Directors
Mrs. Priti Chakraborty:
Mrs. Priti Chakraborty got her M.Sc. degree with honours in Chemistry from the
University of Chittagong. She served at different group of companies for about 8 years
at the beginning of her professional life. She obtained her one-year diploma in
cosmetology from U. K. and also received one weeks training on perfumery in
Switzerland. She also received one weeks training on total quality management
(TQM) at Japan. She participated in a workshop on quality Community at Malaysia and
as business delegate at Chennai, India. She is the Chairman of M/S J & J Essential
Products Ltd (a well-known Cosmetics & Toiletries manufacturing company), and is the
Chairman of Aysha Memorial Specialised Hospital Pvt. Ltd. She is also director of
Bangladesh Chamber of Industries (BCI) and general body member of FBCCI.
Dr. Ashish Kumar Chakraborty
Dr. Ashis Kumar Chakraborty graduated with MBBS from Comilla Medical College joined
as the Chief Medical Officer of Christian Medical Center, Brahmanbaria. Dr. Ashis
single-handedly turned an almost moribund hospital to a very vibrant and reputed
hospital in Brahmanbaria. He proved his capacity in hospital management and became
a very popular doctor among the patients. With his experience, Dr Ashis took the
charge of operation of the Aysha Hospital in 2004 and made the Hospital a well-known
referral center all over the country. Because of his sincerity and dedication Aysha
has become a brand in the health sector of Bangladesh.
Mr. Avijit Bhattacharjee FCA
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PROJECT PROFILE

Mr. Avijit Bhattacharjee is graduated with a B.com Hons and M com in Accounting from
the Chittagong University. He stood First Class First in Bcom Hons and First Class
second in M com. Mr Avijit has a long career in Bank and financial institution in
Bangladesh. A practicing chartered accountant, Mr Avijit ended his job career as the
Chief Financial Officer of United Leasing before starting as a partner of an audit and
accounting firm. He participated many training, workshop and seminars at home and
abroad. He is a fellow member of Institute of Chartered Accountants of Bangladesh
and affiliate member of Malaysian Institute of Management.
2.1.3 Management
M/S. Aysha Memorial Specialized Hospital (Pvt.) Ltd. is engaged in business for the
last twelve years. Present management of the Hospital has expertise in management,
marketing and sales, and is capable to run the hospital smoothly and profitably.
The Board of Directors of the company formulates companys policies and provides
guidelines for its day-to-day business operation. The Chairman is supervising and
looking after the overall management of day-to-day activities of the company for
smooth and efficient functioning of the Hospital. A high enthusiastic professional team
consists of Dr. Rafiqul Islam, Dr. Abdul Wadud Baig, Dr. Guljar Hossain Ujjal, is
entrusted with the day to day medical/ clinical management of the hospital led by Dr.
Ashish Kumar Chakaraborty. Highly experienced professional in the field of Sales &
Marketing Mr Shahed Alam, General Manager as head of Sales and Marketing looks
after a team of Sales People and Sales Management. Mr. Mostafizur Rahman, a well
known hospital management expert looks after human resources and hospital
development. Other Managerial personnel are engaged in the field of technical
services, accounts, administration, and hospitality & housekeeping.
2.1.4 Nature of Business
The Hospital is a general hospital dedicated to providing multidisciplinary medical
care and backed by state-of-the-art facilities, the Hospital offers team-based quality
11
PROJECT PROFILE

patient care that will widely acknowledged in Bangladesh. At this Hospital, patients
have ready access to more than 22 specialized departments and services, which is
established as national referral centers.
2.1.5 Services
The hospital was established in 1996 to provide health care services to the community
adjacent to Mohakhali, Dhaka. After change of management and ownership in 2004,
the hospital flourished as a very good and reliable referral hospital. It Earned name
and fame for delivering service and quality treatment. By this time the management
developed the hospital, expanded its beds, facilities and services and procured new
machineries and equipments under the guidance of chairman Mrs. Priti Chakraborty.
Today the Hospital is providing following services:
Hospital Facilities
Intensive Care Unit (ICU)
Neonatal Intensive Care unit (NICU)
Paediatric Intensive Care Unit (PICU)
High Dependency Unit (HDU)
Respiratory Care Unit (RCU)
Diabetes Center
Stroke Center
Haemodialysis Unit
24 hours Trauma Center
Surgery (General & Laparoscopic Surgery , Breast & Colorectal Surgery,Neuro
surgery,paediatric )
Medicine, Nouro medicine, Kidney disease, Chest disease unit.
Cardiac disease, Oncology department
Gynae & Obstetric Unit
Paediatric Unit
Urology, thoracic & Vascular Surgery
ENT
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PROJECT PROFILE

Blood Transfusion
24 hours Emergency
Specialized Physiotherapy Center
24 hours Pharmacy
Three modern & well equipped operation theaters with ENT Microscope (CARL
ZEISS), Laparoscopic Machine (STORTZ), C-ARM.
Post Operative room with central oxygen line.
OPD
Specialised Consultation Center
Vaccination Center
Diagnostic Facilities
CT Angiogram (Brain & Peripheral)
24 hours CT Scan
24 hours Digital X-ray
ETT
Color Doppler Study
Vascular Doppler Study
Voluson 4D Ultrasonogram with TVS
Video Endoscopy
Spitometry
Uroflowmetry
EEG
ECG
24 hours Laboratory Service
Health Checkup Packages
Echocardiogram
Bronchoscopy
Colonoscopy
13
PROJECT PROFILE

FOL (For ENT)
Mammography
Fully Automated Bio-Chemistry analyzer
Fully Automated Immunology Analyzer
Serology
URS & ICPL set for Kidney center
ESWL for kidney center
TECHNICAL ASPECTS
SECTION THREE
3.1 THE EXPANSION
The further expansion plan covers BMRE is dedicated to erect prefabricated building
and importing machineries for diagnosis services, Administrative Building, Upgrading
the inpatients services of existing Hospital & setting up a new Diagnostic Unit, Uttara.
The fixed cost of the project is estimated at Tk. 1,042 million.
3.2 CAPACITY
14
PROJECT PROFILE
The proposed BMRE is a service-oriented and is not a manufacturing unit. As that,

Hospital will remain open for the patients through the whole year including weekly
holidays & Govt. Holidays. Its capacity is estimated on the basis of 365 days in indoors
and outdoors in terms of number of different medical diagnostic test, operations,
general hospital services and other services. The annual services at full capacity is as
follows:
Figure in000
Sl
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
Source of
Capacity
Unit
Revenue
ICU
NICU
in Unit
300
Price
15,000
90
(Ventilator)
NICU
(Incubator)
NICU (Normal)
PICU
HDU
A/C Cabin
Grade - 1
A/C Cabin
Grade - 2
A/C Cabin
Grade - 3
A/C Cabin
Grade - 4
Non A/C Cabin
Semi Cabin
Male Ward
Female Ward
Post Operative
Dialysis
Stroke Center
Medicine
Per month
Per year
4,500
54,000
10,000
900
10,800
180
8,500
1,530
18,360
270
210
150
6,000
10,000
9,000
1,620
2,100
1,350
19,440
25,200
16,200
30
8,000
240
2,880
120
6,000
720
8,640
240
5,000
1,200
14,400
60
3,500
210
2,520
150
150
330
360
150
360
150
3,000
2,500
1,500
1,500
800
2,200
2,500
450
375
495
540
120
792
375
33333
5,400
4,500
5,940
6,480
1,440
9,504
4,500
400000
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PROJECT PROFILE

19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
Oxygen
Investigations
X-ray
CT Scan
Endoscopy
USG
ECG
EEG
ETT
ECHO
Uroflowmetry
Spirometry
Color Doppler
Out Door
MRI
CT- Angiogram
Bronchoscopy
Colonoscopy
FOL (For ENT)
Mamography
Fully
Automated
Bio-Chemistry
6000
360
360
1440
1080
1080
360
270
540
540
180
2000
600
125
480
300
300
720
300
3,000
1,000
1,200
200
1,200
2,000
1,000
500
500
2,000
50
8,000
17,000
5,000
4,000
2,500
1,200
2500
1,800
1,080
360
1,728
216
1,296
720
270
270
270
360
100
4,800
2,125
2,400
1,200
750
864
30000
21,600
12,960
4,320
20,736
2,592
15,552
8,640
3,240
3,240
3,240
4,320
1,200
57,600
25,500
28,800
14,400
9,000
10,368
30,000
250
7,500
90,000
90,000
700
63,000
756,000
4,800
470
2,256
27,072
Analyzer
Fully
39
40
Automated
Immunology
Analyzer
Serology &
CBC
3 Bedded
41
respitory Care
120
4,000
480
5,760
42
Unit
URS & ICPL set
300
4,000
1,200
14,400
for kidney
16
PROJECT PROFILE

Center
43
44
45
46
47
48
49
50
51
52
ESWL for
kidney Center
New
Ambulance
O.T
Lapcol
Orthopaedic
ENT
Ceaser
Neurology
Urology
ABG
Dental Unit
180
25,000
4,500
54,000
90
5,000
450
5,400
6,500
5,500
3,900
4,150
5,400
4,200
750
1,000
390
330
351
374
1,080
1,260
525
600
4,680
3,960
4,212
4,482
12,960
15,120
6,300
7,200
158,255
1,899,058
60
60
90
90
200
300
700
600
Grand Total
3.3 LAND AND LOCATION

A) The proposed project is located at 74G/75, Peacock Square, New Airport Road,
Mohakhali, Dhaka. The schedule of project land is as follows: District
: Dhaka, Thana: Tejgaon, Sub-regi: Gulshan, Mouza: C.S 275, S.A 104,
Mohakhali
i)
Mouza
: Mohakhali
JL No
: CS-275, SA-104
Khatian No
: C.S 201, S.A -169, R.S 560
Dag No
: C.S & SA-74, RS-964, 965
Holding No. : 74/H, Peacock Square, New airport road

Police Station
:Tejgaon
District
: Dhaka
Area of land : 8.25 Decimals

ii)
Mouza
: Mohakhali
JL No
: CS-275, SA-104
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PROJECT PROFILE

Khatian No
: C.S-181, S.A -150, R.S-491
Dag No
: C.S & SA-75, RS-953, 963

Police Station
:Tejgaon
District
: Dhaka

B) The proposed project is located at 74H, Peacock Square, New Airport Road,
Mohakhali
Mouza
: Mohakhali
JL No
: CS-275, SA-104
Khatian No
: C.S 201, S.A -169, R.S 560
Dag No
: C.S & SA-74, RS-964, 965

Police Station
:Tejgaon
District
: Dhaka
C) The proposed project is located at 74B, Peacock Square, New Airport Road,
18
PROJECT PROFILE

Mohakhali
Mouza
: Mohakhali
JL No
: 275, Hul-104, Mohanagor-19
Khatian No
: C.S-201, S.A -169/1, R.S 560

DP-756, Mohanagor-2007
Dag No
: C.S & SA-74, RS-964, 965, Mohanagor-3766

Police Station
:Tejgaon
District
: Dhaka

3.4
BUILDING & CONSTRUCTION
For Consultation centre new building area approximately 7500 Sq.ft including
interior decoration with AC & with all facilities cost has been estimated for BTD
17.59 Million.
For New OPD Building comprising of area approximately 16000 Sq.ft of 6th floor
cost has been estimated 60.00 Millions.
3.5 MACHINERY & EQUIPMENTS

Main machinery of the BMRE consists of some machines for diagnostic purposes
amounting to BDT 131.88 million. Details of the machinery are as follows:
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PROJECT PROFILE

Amount
SL
Particular
Unit
Unit Price
in'000
20
PROJECT PROFILE
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
Machinery & Equipments:

MRI
Memography
High Frequency Ventilator (for NICU)
Cardiac Monitor (For OT/Stroke Center)
Warmer (For NICU)
IBP Cardiac Monitor (For NICU)
Phototherapy Machine (For NICU)
Pulse Oxemeter For NICU)
Syringe Pump
URS & ICPL set
G - A Machine Ventilator
ECG Machine
Bronchoscopy
Colonoscopy (Probe)
FOL (For ENT Department)
Sysmex XS-8001 fully automated
1
1
1
2
2
1
2
10
4
1
1
2
1
1
1
92,500
5,000
1,800
225
250
650
160
70
87.5
1,800
1,800
300
2,500
2,000
912
92,500
5,000
1,800
450
500
650
320
700
350
1,800
1,800
600
2,500
2,000
912
16
17
18
Hematology Analyzer
4 Bedded RCU
Automated Biochemistry Analyzer
Cobas e411 Automated Immunochemistry
1
4
1
1,500
1,250
3,000
1,500
5,000
3,000
19
Analyzer with standard accessories

1
Construction and renuvation of existing Building
Air Conditioner (50 Tons x 45000)
Furniture & Fixture
Office Equipments (Computer &
4,500
4,500
20
21
22
23
24
25
26
27
28
29
30
31
Accessories)
Tiles re-set (10000 X 225) Sft.
Construction & Repairing
Aluminium Pannel Re-structure
Plumbing & senitary Metarials
Electric Equipments
CC TV
Coffee house Renuvation
Gift Corner Design, Construction & Stock
New OPD Building
Construction of New OPD Building
2,250
1,500
-
16000 sft x 2350
1,000
3,250
3,600
4,347
800
825
1,500
550
625
37,600
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PROJECT PROFILE

Internal Decoration (with 100 Ton Air
32
Conditioner & 30 computers)

Furnitures & Fixtures according to Lay out
33
Plan
Consultation Centre (New building)
Pre-Fabricated Structureal Building
Civil Work with internal decoration
AC 42 Ton, Furniture & Fixture for Doctor
5,000
36
37
Chamber & Office

Conference Room
Office Equipments (Multimedia Projector,
1,890
1,000
38
Photocopier etc.)
Vehicles
Ambulance
Jeep
Micro bus- 02
Generator (350 KW)
Generator (105 KW)
Lift 1 Ton with lift core (New)
Lift (Change for old one)
Promotional Materials
Neon sign board, Panaflax sign board
Dental Unit
Uttara Sector-11, Diagonstic Unit-2
Building rent for 5-10Yrs at Sec 3/5/11
Machineries & Equipments
Furniture & Fixture
Internal Decoration (False celling, Thai
34
35
39
40
41
42
43
44
45
46
47
48
49
50
16000 sft x 1400
22,400
6,000
7,500
1,200
6,000
8,500
5,000
4,000
1,000
4,500
2,500
1,000
2,380
12,960
6,000
2,500
work, Tiles reseting, Office Cubicals,

51
52
53
54
Curtains etc
AC 55 Tons
Raw Materials
Misc.
Total:
3.6 ERECTION & INSTALLATION
5,500
2,500
3,000
1,500
297,559
Local experts will install the machinery of the project. Cost of installation is included
22
PROJECT PROFILE

with the cost of machinery & equipments. Gas, power and water line are already
installed.
3.7 REQUIREMENT OF RAW MATERIALS

The proposed project is service rendered unit. Hence it will not require any direct
raw materials. For different pathological tests, ECG, X-rays, and surgical operation
etc., the project will require different technical reagents, ECG papers, X-ray films,
surgical sutures, medicines and bandages etc. Cost of these materials may be
estimated at 20% of gross revenue of diagnostic tests.
3.8 UTILITIES: POWER, GAS & WATER
a. Power The Project will require electric power for the operation of electro-medical
equipments & machinery and as well as for domestic consumption. Power: 315 KVA
electricity load is required for running the project having existing its own sub-station.
Load connection will be available from 11KVA high tension line of DPDC It will
consume about 125,000 unit of electricity per month which will cost taka 9,27,758
i.e, BDT 1,11,31,000 per year. There is our own 250 KVA diesel driven Electricity
Generator to face load shading or supply failure of DPDC for approximately 10 hours
per day. Electricity Generator will consume 40 liters of diesel per hour.
b. Water: The requirement of water for the project is about 2500 liters per day and
will be obtained from own deep tube-well through pump. But a royalty is to be paid
to Dhaka WASA, an amount will have to be expend for purification/treatment of
underground water, a handsome amount will have to be spent for maintenance and
replacement of motor, pump, pipeline, other plumbing works and sanitation. All
together it will cost BDT 250,000 per month i.e., BDT 30,92,000 per year.
c. Gas: The Project will require natural gas for heating water. Titas gas line is
23
PROJECT PROFILE

connected. Approximately Tk 17,000 per month is estimated for gas bill.
3.9 FUEL AND OIL
The Diagnostic unit will not have its own vehicle, however a hospital vehicle will be
used for marketing purpose. Vehicle fuel and oil is estimated about BDT 1,33,000 per
month.
3.10 CONVEYANCE
The project success depends on extensive marketing and branding. It will have its own
marketing filed officers in addition to outside consultants. The marketing field
officers will use public transport in addition to the Hospital vehicle. In first year it is
estimated that BDT 1,71,750 will be incurred per month and then after yearly usual
increment will be required.
3.11 FURNITURE & FIXTURE
The Project will require furniture and fixture amounting to BDT 10.89 million.
3.12 SECURITY CHARGES
The project will require to outsource security services. The estimated cost will be
BDT 1,54,000 in first year consists of 19 security persons with monthly salary of BDT
8,000 and then after yearly increment will be required.
3.13 ADVERTISEMENT AND PUBLICITY
The project will require necessary advertisement and publicity in different print and
electronic media to create the image and branding of the diagnostic centre of the
Aysha Memorial Hospital. Estimated cost of the advertisement and publicity would be
24
PROJECT PROFILE

BDT 13.26 million, 14.62, 16.09, 17.69, 19.46, 19.85, 20.25, 20.65 & 21.07 million
respectively for 2015, 2016, 2017, 2018, 2019, 2020, 2021, 2022 & 2023.
3.14 WASHING AND CLEANING CHARGES
The project will require necessary washing and cleaning charges which is estimated
BDT 34,000 per month in the 1st year and 10% yearly increment.
3.15 REPAIR AND MAINTENANCE
Cost of repair and maintenance of fixed assets is estimated @ 1.70%, 1.90%, & 2.08%
of its cost for 2015, 2016, and 2017 year of operation respectively after BMRE.
3.16 PRINTING AND STATIONERY
Cost of printing and stationery is estimated at 2.67% of gross revenue.
3.17 ENTERTAINMENT
The Diagnostic unit needs to incur an entertainment expense which is estimated
about 4.07% of the gross sales.
3.18 COMMISSION
Yearly Sales at 100% capacity has been assumed as Tk. 1469.05 million. 50% of the
total sale will be achieved through activities of recruited field force headed by a
General Manager and the internal Consultants and are remunerated by fixed salary.
The rest 50% amount will be achieved through external consultants and General
practitioners and are remunerated by commission/incentive @ in average 14% of their
sales i.e., 7% on total sales.
25
PROJECT PROFILE
3.19 MANPOWER REQUIREMENT

The manpower and monthly salary will require as follows:
Sl
Designation
Required
persons
Amount (BDT)
For Accounts
1
2
3
Sr.Executive
Executive
J. Executive
2
2
2
36,000
30,000
20,000
For Admin
1
2
Executive
J. Executive
2
2
30,000
20,000
Dept.
Doctor
1
2
CMO
Medical Officer
1
20
30,000
400,000
Nurse
1
2
3
4
5
6
Supervisor
Nursing In Charge
Sr. Staff Nurse
Staff Nurse
Jr. Staff Nurse
Aid Nurse
3
3
5
8
10
12
45,000
45,000
60,000
80,000
90,000
72,000
For Medical
For
Supervisor
26
PROJECT PROFILE

1.
Supervisor
60,000
Chief Con. Hematology

Consultant Pathologist
Consultant Microlbiologists
Lab In charge
Sr. Medical Technologists
Lab Technician
Computer Operator
Lab Collection Man
1
2
1
1
2
5
2
7
75,000
50,000
50,000
30,000
40,000
50,000
14,000
55,500
Assistant Manager
Area Manager
MPO
1
2
10
Front Desk Executive
50,000
Cleaner
Aya
Driver
Electrician
Security Gurd
Pharmacy
3
3
1
1
9
6
15,000
18,000
10,000
10,000
63,000
72,000
17,77,500
For
Laboratory
1
2
3
4
5
6
7
8
For Marketing
1
2
3
For Front desk
1
General Staff
1
2
3
4
5
6
18,000
30,000
109,000
3.20 PROJECT IMPLEMENTATION SCHEDULE

The proposed BMRE project is expected to go into fully commercial operation within 1
year from the date of last disbursement of project loan.
27
PROJECT PROFILE
MARKETING ASPECTS
SECTION FOUR
4.1 INTRODUCTION
The project envisages BMRE of diagnostic unit of existing well-known 100 bedded
hospital in the name & style of AYSHA MEMORIAL SPECIALISED HOSPITAL (PVT) LTD.
Situated at 74/G, 74/H, Peacock Square, New Airport Road, Mohakhali, Dhaka.
Health is one of five basic needs of human life. Now-a-days care for health has
increased due to increasing education & health consciousness amongst people as well
as increasing per capita income of the peoples. In consideration of the total
population & rapid growth of population, we need & have wide demand for quality
caring referral hospitals through the country, especially in urban areas is very much
optimum. This sector is highly potential.
The project is fully service oriented hospital to help increase of medical and
28
PROJECT PROFILE

diagnostic facility for the general people of Dhaka city, its surroundings and for the
country in general.
4.2 BACKGROUND HISTORY
Bangladesh still lags far behind especially in the field of medical science and
technology while compared even with that of neighboring country, India. Here the
picture is mere gloomy in both public and private sectors for health care facilities. As
a result, number of death tolls in Bangladesh is going up day by day for want of
proper medical facilities. Accommodation in the hospital and other medical facilities
are quite inadequate from quality and quantity point of views. If it goes unabated,
the situation would be aggravated more seriously claiming the lives of many patients.
Disease is the most terrific one that claims the life of the patients if not handled
instantly with proper medical care and services.
About 11 million people are living at Dhaka. Dhaka is the metropolitan city as well as
capital city of Bangladesh of 160 million people. Geographically it is the center point
of Bangladesh also. Most of the renowned general & specialized hospitals in both
government and private sector are situated at Dhaka. Most and maximum of renowned
physicians and surgeons of the country also reside at Dhaka. Therefore complicated
patients and economically solvent patients rush to Dhaka for treatment. But
accommodation facility of such patients is too inadequate. Hence there is a scope to
establish more new hospitals in Dhaka.
In the absence of required modern treatment facilities, every year a good number of
well-to-do patients used to go outside country for the surgical & diagnostic. This is
highly expensive and time consuming. As a result many patients could not avail the
chance of going abroad in time on financial ground and cause premature death.
4.3 GOVT. POLICY FOR HEALTH CARE
29
PROJECT PROFILE

The main objective of health policy consistently pursuing by the Govt. is to provide
basic treatment facilities to its people. Because, health, nutrition and socio-economic
problems of Bangladesh are vast dimensions. As per Fourth Five Year Plan of Govt. of
Bangladesh, the major objectives of health sector, among others are following:
(i)
To improve the health status of population particularly of mothers and

children;
(ii)
To make available improved health and family planning services;
(iii)
To consolidate and strengthen existing Primary Health Care Programme

and its supporting systems;
(iv)
To prevent,
control
and
treat
major
communicable
and
non-
communicable diseases;
(v)
To promote adequate production, supply and distribution of essential

drug, vaccines and other diagnostic and therapeutic agents.
One main strategy of the health sector is to encourage private bodies to undertake
programs in the fields of training, development of infrastructure, pharmaceutical
industries and extension services for primary health care program. Govt. has given
emphasis on establishing referral hospital in the private sector and exempted from
import duty on machinery and equipments of referral hospital in the financial budget
of 2004-2005. All the said objectives of the Government may be considered as the
green signals towards establishment of clinics, health care centers, general and
specialized hospitals, and referral hospitals like the proposed one.
4.4 PROPOSAL
The entrepreneurs decided to go for BMRE of the existing Aysha Memorial Specialized
Hospital and establish it as a trustworthy referral hospital in the private sector for
patients of diseases. It would provide various pathological and diagnostic services on
charge basis both for indoor and outdoor patients. The unit would contribute to lessen
the number of patients to some extent willing to go foreign country for availing such
30
PROJECT PROFILE

treatment and thus a lot of foreign currency would be saved along with a good many
lives of Bangladeshi citizens every year.
4.5 EXISTING FACILITY
According to Statistical year book of Bangladesh 2009, there are 46125 number of
beds in hospitals of which 33368 beds in Govt. hospitals and 12239 beds in non-Govt.
hospitals. Number of persons per hospital bed is 2832.
The statistical data with reference to above source is given below in table I and
table II.
Table I
Number of Hospital & Hospital beds
Particulars
Number of Govt. Hospitals
Number of beds in Govt. Hospitals &
2005
660
32072
2006
670
33368
2007
670
32459
2008
672
33886
Dispesaries
Number of non Govt. Hospitals
Number of beds in non Govt. Hospitals
Total Number of Hospitals
Total Number of beds in Hospitals
613
11371
1273
43443
712
12239
1382
45607
712
12239
1362
45707
712
12239
1384
46125
Table II
Number of Indoor and Out door Patients in different Hospitals & Clinics, 2007
Types of Hospital/Clinics
Post Graduate Hospital
Number
4
No. of
bed
1450
Indoor
Outdoor
patient
22530
patient
91639
31
PROJECT PROFILE

Govt. Medical College
District Hospital
Other General Hospital
Thana Health Complex/Rural Health
13
60
3
402
7760
6320
675
12963
391948
52655
n.a
929898
2580225
4125027
n.a
17262154
Coml.
Chest Clinics
Leprosy Hospital
Mental Hospital
Dental Hospital
School Health Clinics
Urban Dispensaries
Union Sub-Centre
Maternity and child welfare center
Railway Hospital
Jail Hospital
Police Hospital
Madakashakta Hospital
Total:
56
3
1
1
23
35
1362
96
9
19
20
1
2108
566
130
400
20
n.a
n.a
n.a
n.a
n.a
n.a
n.a
n.a
30284
3658
734
502
n.a
n.a
n.a
n.a
n.a
n.a
n.a
n.a
n.a
140192
n.a
540
10140
n.a
113268
331324
13107704
n.a
n.a
n.a
n.a
n.a
37622021
5
Beside the above facilities some patients are accommodated in the corridor with
extra beds and some in the ground in Govt. hospitals although it lacks most of the
medical amenities that need seriously for the patients. The bed capacity of hospitals
is quite meager to meet the on going rush of the patients. Most of the private clinics
in the city are not well equipped with sufficient medical facility.
4.6 DEMAND AND SUPPLY GAP
From above table, total number of available bed to provide treatment in the country
is 46125. It may be assumed that the total bed capacity in Dhaka city will not exceed
25% of total capacity. Ratio of Available beds in private hospitals : Total available beds
is 12239 : 46125, i.e. 0.265 times of Total available beds.
As per Bangladesh Statistical year book 2008, the total population of Dhaka city is
32
PROJECT PROFILE

99,12,908 and of the country is 12,38,51,000. Therefore, Population out side Dhaka
city (i.e excluding Dhaka) is 113936092.
Total bed capacity in Dhaka city is (46125X25%)
= 11531
Therefore, available bed in private sector in Dhaka city is (11531X0.265) = 3056

So, the available patient day per year in Private Sector is (2444X365)
1115075
days
While estimating demand for private hospital bed in Dhaka city the following
assumptions are made:
1. Sick rate per year is 50% of population
2. 80% of sick people seek treatment from physicians, surgeons or hospitals
3. 20% of treatment seeker patient need indoor facilities (hospital bed)
4. 3% of sick people from outside rush to Dhaka for treatment, and 50% of them
need indoor treatment
5. Average period of staying in hospital per patient is 5 days,
Number of Sick people excluding Dhaka city per year (113238338X50%)
= 56619169
No. of Sick people excluding Dhaka city seek treatment/year (56619169X80%) =

45295335
No. of Sick people rush to Dhaka city for treatment per year (45295335X3%) = 1358860
No. of outside sick people rush to Dhaka need indoor facility/yr (1358860X50%) =
679430
Number of Sick people of Dhaka city per year (9912908X50%)
= 4956454
No. of Sick people of Dhaka city seek treatment per yr ( 4956454X80%) = 3965163
No. of patients of Dhaka city need indoor treatment per year (3965163X20%) =
793032
Total number patients need indoor treatment at Dhaka city (679430+793032)
1472462
No. of patients seek treatment from Private Hospital, Clinics/yr. (1472462X0.268)
33
PROJECT PROFILE

=394619
No. of patient day required in Private Hospital/Clinics (394619X5)
= 1973095
On the basis of above assumptions the total demand for indoor hospital facility in
Private sector is estimated at 1973095 Patient Days. Available indoor hospital facility
in Private sector is 892060 patient day.
From the above estimated demand and supply figures, the Demand-Supply Gap of
indoor health facilities in private sector at Dhaka city is (1973095-1115075) = 858020
patient days, equivalent to (858020/365) = 2350 bed in private sector.
The Hospital is equipped with 100 bed (i.e. 100X 365= 36,500 patient day) and with
modern diagnostic & clinical facility. This hospital will not be able to fulfill the
demand of medical facility needed in private sector in Dhaka city. It will only meet
1.69% of total demand. Hence the increase of health facilities by this industry is quite
justifiable.
4.7 MARKETING STRATEGY
Marketing Strategy is quite important for increasing the capacity utilization. The
company should go for general health services along with some specialized medical
service by targeting appropriate strata of the society and patients. The company also
needs to keep information of the strategy adopted by the competitors. The company
will create a effective marketing network all over the country.
4.8 PROMOTIONAL ACTIVITY
The Company will carry out promotional activity by advertisement in indoor and
outdoor media and personal promotion to doctors and other sources of patient.
Promotional activity plays a vital role in boosting up market prospect.
34
PROJECT PROFILE
4.9 CONCLUSION
In a populous and growing country like Bangladesh the demand for health services is
on rise. This is more true if the expanding urban sector is taken into account. The
increasing size of Dhaka city and middle class, upper middle class population shows
the vast market of health sector.
35
PROJECT PROFILE
FNANCIAL ASPECTS
SECTION FIVE
5.1 MODEL OVERVIEW
The financial model has been designed to provide the lenders with a credit analysis
tool. The Aysha Hospital financial model prepared based on actual experience and
future projections are prepared to reflect the companys pro-forma financial
projections for expanded operation of Diagnostic services.
5.2 FINANCIAL MODEL FOR BMRE
The detailed estimates of the total cost, working capital requirement and fixed cost
of the project have been given below:
5.2.1 Cost of the project
Item
Land
Building
Office & Electrical equipment
Machinery & equipment
Generator
Furniture & fixture
Vehicles
Lift
Total cost without IDCP
Amount in 000
446,250
256,677
4,426
284,228
6,139
20,763
18,104
5,455
1,042,043
5.2.2 Model Assumptions

36
PROJECT PROFILE
5.2.2.1
Days & Month
Particulars
Calendar Days
Working days in a Year
Working month in a Year
Working Days in a Month
Shits/ Day
Hours/ Shift
Hours/ Day
Hours/Year
Days
Days
Months
Days
No
Shift
Hour
Hour
365
360
12
30
1
12
12
4,320
5.2.2.2 Capacity Utilization

Operation with further investment is assumed to start from June 2012. Capacity
utilization for further investment is mentioned below:
CAPACITY ASSUMPTIONS
Capacity Utilization
5.2.2.3
Year - 2015
51%
Year - 2016
55%
Year - 2017
59%
The cost of raw materials as well as selling price of services are kept
constant through out the projected years on the assumptions with the increase
in price of raw materials there will be subsequent increase in selling price.
5.2.2.4
While calculating the wages and salaries an increment @ 8% to 10% per
annum and bonus equals two months pay is taken into account.
5.2.2.5
Depreciation has been charged on straight line at the following rates:
i) Machinery & equipment
@ 10%
ii) Building
@ 5%
37
PROJECT PROFILE

iii) Furniture & Fixture
5.2.2.6
@ 10%
Since the hospital is running, 37.50% tax has been taken into
consideration as per tax law.

5.2.4.7 Contingency
No contingency has been considered. If procurement cost differs owners of the
hospital will bear the cost.
5.2.3 Results
The model takes into account the further investment for expansion of Diagnostic Unit
of the Hospital which is expected to start operation June 2012
CONCLUSION
SECTION SIX
38
PROJECT PROFILE
The financial analysis of the proposed Diagnostic Unit of the Hospital reveals that it
would be a very profitable investment and generate lots of return of investment to
meet all the debts and other obligations. In search of the great business opportunity
and growth, Mrs. Priti Chakraborty, Chairman, always envisions the future to take
great cares in social responsibility, charity activities, and the quality health service
offer to the people of Bangladesh. The proposed diagnostic unit will create
employment for 46 persons directly.
In conclusion, Aysha Memorial Specialized Hospital (Pvt.) Ltd. doesnt just want to not
only do the business well but also become the best service provider in the health
service industry in Bangladesh.
FAST FACTS A majority of births (85%) in Bangladesh take place at home. The
maternal mortality ratio in Bangladesh is high, with 320 women dying for every
100,000 live births. Two fifths of Bangladeshi children (41%) are underweight.
Child mortality is high, with 65 deaths of children under 5 per 1,000 live births.
Neonatal deaths in Bangladesh account for 57% of all child deaths. The number of
children born per Bangladeshi woman is currently 2.7. Tuberculosis (TB) is the
leading cause of adult mortality in Bangladesh.
39
PROJECT PROFILE

Project Profile Draft - Aysha - Update 26 05 12

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AYSHA MEMORIAL SPECIALIZED HOSPITAL (PVT.) LTD.

2.1.1 Corporate Status and Background

2.1.2 Short Bio-data of the Directors

2.1.4 Nature of Business

3.3 LAND AND LOCATION

3.4 BUILDING & CONSTRUCTION

3.5 MACHINERY & EQUIPMENTS

3.6 ERECTION & INSTALLATION

3.7 REQUIREMENT OF RAW MATERIALS

3.8 UTILITIES: POWER, GAS & WATER

3.9 FUEL AND OIL

AYSHA MEMORIAL SPECIALIZED HOSPITAL (PVT.) LTD.

3.11 FURNITURE, FIXTURE & EQUIPMENTS

3.12 SECURITY CHARGES

3.13 ADVERTISEMENT AND PUBLICITY

3.14 WASHING AND CLEANING CHARGES

3.15 REPAIR AND MAINTENANCE

3.16 PRINTING AND STATIONERY

3.19 MANPOWER REQUIREMENT

3.20 PROJECT IMPLEMENTATION SCHEDULE

4.2 BACKGROUND HISTORY

4.3 GOVT. POLICY FOR HEALTH CARE

4.5 EXISTING FACILITY

4.6 DEMAND AND SUPPLY GAP

4.7 MARKETING STRATEGY

4.8 PROMOTIONAL ACTIVITY

5.2 FINANCIAL MODEL FOR BMRE

5.2.1 Cost of the project

5.2.2 Model Assumptions

AYSHA MEMORIAL SPECIALIZED HOSPITAL (PVT.) LTD.

5.2.4.2 Balance Sheet

5.2.4.3 Income Statement

5.2.4.5 IRR and NPV

5.2.4.6 Break even analysis

5.2.4.7 Payback period

AYSHA MEMORIAL SPECIALIZED HOSPITAL (PVT.) LTD.

AYSHA MEMORIAL SPECIALIZED HOSPITAL (PVT.) LTD.

Aysha Memorial Specialised Hospital (Pvt.) Ltd.

74/G, Peacock Square, (Arjatpara), New Airport Road,

74/G, Peacock Square, (Arjatpara), New Airport Road,

Comprehensive health services

Facility asked for

Long Term Loan renewal and enhancement and working

Long term loan renewal of BDT 218 million and

For capital expansion as well as further investment in

Tenor asked for

120 months (10 years)

AYSHA MEMORIAL SPECIALIZED HOSPITAL (PVT.) LTD.

AYSHA MEMORIAL SPECIALIZED HOSPITAL (PVT.) LTD.

AYSHA MEMORIAL SPECIALIZED HOSPITAL (PVT.) LTD.

AYSHA MEMORIAL SPECIALIZED HOSPITAL (PVT.) LTD.

No. of Shares Face Value

Name & address.

01 Mrs. Priti Chakraborty

Road, Ramna, Dhaka

AYSHA MEMORIAL SPECIALIZED HOSPITAL (PVT.) LTD.

A-1, TTTC Quarter, Tejgaon,

AYSHA MEMORIAL SPECIALIZED HOSPITAL (PVT.) LTD.

AYSHA MEMORIAL SPECIALIZED HOSPITAL (PVT.) LTD.

AYSHA MEMORIAL SPECIALIZED HOSPITAL (PVT.) LTD.

AYSHA MEMORIAL SPECIALIZED HOSPITAL (PVT.) LTD.

Fully Automated Immunology Analyzer

AYSHA MEMORIAL SPECIALIZED HOSPITAL (PVT.) LTD.