Profiles

Profile of a Successful Latrine Entrepreneur: Luon Vanna

Based in Siem Reap, Vanna has been involved with SMSU since May 2012. He has completed the full training course. He has worked 2 years 9 months as an LBO, and has made a total sale of 1304 (rank: 28) units, 525 of which were sold through STs. On average, he sells 52 units per month. He has worked with 7 STs so far, with an average of 1.2 STs per month.

His capital expenditure is around $ 1,195 and he charges $76 per unit, $43 of which is his margin. Vanna is quite profitable: he makes 57 cents out of every dollar of sale. His unit operating expenses is $33.2 (much lower than Oun for example). His breakeven point came at 28 units, the sale of which he actually accomplished in the second quarter of his business, since he hardly made any sale in the first quarter. His total loan amounts to $ 5,500, portions of which he borrowed on multiple occasions from both the bank and informal sources. Vanna makes an average monthly profit of $1,710, and ranks 11th.

Profile of a Successful Latrine Entrepreneur: Chea Oun

Oun is from Oddar Meanchey, working with the project since Oct 2013. He has completed the sales and business component of the training (did not attend the technical one). He has had 9 different STs work with him over the period of one year he has been with the project, with 2.3 STs working with him every month. He has sold 622 units so far (ranking 72), with 360 of those sold through STs. On average,  he sells 52 units per month, with a unit margin of $35.

He has invested $115 as in productive assets, and his total loan amounts to $1840, which he borrowed from in parts from an MFI as well as a banking institution. His operating expenses per unit is $37.5, which is relatively low, and combined with his low capital investment, his breakeven point came with the sale of 3 units only.

For every dollar of sale, Oun makes a profit of 48 cents. He earns an average monthly profit $1,816, which is the 10th highest among all LBOs.

Profile of a Successful Latrine Entrepreneur: Nhoeas Hoeun

Hoeun, hailing from Svay Chek district of  Banteay Meanchey, has been working with the project since August 2013. He has the advantage of being involved with a subsidy project i.e. a large portion of his sales are guaranteed, and at a relatively higher price (as opposed to a non-subsidy sale). He has not attended any of the 3 training components that the project has offered (sales, marketing, technical), and has never worked through a sanitation teacher. So far he has spent one year in the business, and has made a total sale of 2,744 units, which ranks 7th among the total units sold by the 329 LBOs. He has not taken any financing for his business, and has invested around $ 4,180 of his own money in productive assets. On an average, for every dollar of sales he makes 55 cents of profit (i.e. his operating profit ratio is 0.55). His sale price of a latrine set averages around $ 82.86,  which is the 4th highest of all sale price, primarily because of the high margin of $46, the second highest of all (margins range from $ 48 to 50 cents when analyzed on an individual basis).  In all probability this high margin is part of his arrangement with the subsidy project. His breakeven unit is only 92 (his high unit margin ensured only a small number to be sold before he expenses and earnings became equal), and he achieved that in his first quarter. Hoeun’s monthly profit is $10,415 which is the highest among all LBOs.