EXECUTIVE SUMMARY 
The proposed project is for setting up a Wooden Furniture Manufacturing Unit. This unit will be capable of integrated wooden furniture manufacturing from sourcing and cutting of wood, to retailing of product to the end customer.  The project will cater to the growing needs of domestic wooden furniture market. The housing and construction industry has seen a steady growth over the last many years due to a number of factors. These include; development of new housing schemes, introduction of housing finance schemes / loans by different banks, increased urbanization, a growing middle class and enhanced purchasing power of the public. All these factors have contributed directly and indirectly towards an increased demand for wooden furniture.  The wooden furniture business venture entails a total investment of about Rs. 2.20 million.
BRIEF DESCRIPTION OF PROJECT & PRODUCT
This unit is capable of producing different types of wooden furniture i.e. bed sets, dinning sets, sofa sets, centre tables, tables for sofa set and office furniture.  The entire finished product depends on the quality of wood. Detailed technical know-how about the quality of wood and the use of seasoned / dry wood plays a vital role in the manufacturing of quality furnitureIt is recommended that dry wood, from forests is used for manufacturing quality wooden furniture. Forest reserves like Changa Manga, Pakhowal, Kundian, Chicha watni, Bahawalpur and other forests are potential sources of quality wood. Furniture manufacturing units in Pakistan mostly use Sheesham wood. Other types of woods used in manufacturing furniture are; Teak wood, Walnut wood and Keekar wood. Besides this, substitute material like Lasani and Vinboard are also used in the manufacturing of furniture. Other materials used in furniture manufacturing process are nails, screws, glue / solution, spirit, lakh, thiner, lacquer, sealer, hardener etc. These raw materials are easily available in the market. The demand for wooden furniture in the domestic market is consistent throughout the year; however, it significantly increases during the period of October to March due to ‘wedding season’. The demand for furniture almost doubles during this period and is a good time to enter the market. Since strong competition already exists in the domestic market, manufacturing of high quality trendy designs and aggressive marketing is essential to get a prominent place in the market. Despite the introduction of new / alternative materials in furniture manufacturing, wooden furniture is still preferred in the domestic as well as in the international market due to its traditional appeal and durability. Over the years, entry into the global market has also become more competitive, due to demanding factors like green furniture, multi-functionality, simplicity and neutral colors, Ready-to-assemble (RTA) and Do-it-yourself (DIY) furniture. Malaysia, Philippines, Indonesia and China have established strong brand names and have emerged as key market players. 
CRITICAL FACTORS
 Ensuring availability of seasoned (dry) wood for high quality furniture manufacturing. Seasoned wood minimizes deforming that may occur due to dampness in wood.
 Selection of skilled labor is an important factor, as it can improve quality of finished products by better craftsmanship & lower wastage. It is recommended that specialized labor is hired for this business.
 New designs and styles can build brand equity for the business. Creation of new designs and styles is vital for setting new trends as the market is quite competitive.
  Aggressive virtual marketing needs to be undertaken in the absence of a physical showroom. 
 Though skilled labor is available in the market, additional manufacturing workload can be sub-contracted to save time and resources.
  The manufacturing unit will require selling directly to showrooms and direct clients, for which the owner would need to develop extensive knowledge of the market.  
 Higher return on investment and a steady growth of business is expected with the entrepreneur having some prior experience / education in the related field of business.
 Easy access to raw material should be ensured. 
INSTALLED & OPERATIONAL CAPACITY 
The proposed project is capable of manufacturing complete range of wooden furniture and other allied products to meet the demand of domestic market. The Unit will work on 8 hours shift for 300 days. Total number of furniture items produced in year 1 would be 202 i.e. 60% of total production capacity. 
GEOGRAPHICAL POTENTIAL FOR INVESTMENT
The demand for wooden furniture is higher in densely populated cities of Pakistan i.e. Lahore, Multan, Karachi, Peshawar, Quetta, Rawalpindi and Islamabad, making all these cities viable for business. However, establishment of the unit in the vicinity of established wooden furniture clusters i.e. Lahore, Chiniot or Gujrat gives the added advantage of easy availability of skilled labor.
POTENTIAL TARGET MARKETS 
Potential markets for wooden furniture can be categorized into the following; newly constructed house, gift on weddings, for renovations, institutional buyers (public & private sector), etc. Majority of customers in the domestic market belong to first and second category. These customers require furniture for their newly built houses and usually buy a range of products like bed sets, dining sets and sofa sets with other decorative material for their entire house. Initially, entrepreneurs should target these customers to establish the business and increase their customer base. Flourishing hotel and tourism industry can considerably increase the demand for wooden furniture whereby,large orders can also be secured to supply wooden furniture to hotels and resorts. Wooden furniture retail clusters are found in most areas of all big cities of Pakistan, where manufactured furniture can be sold.