PROJECT FFEASIBILITY REPORT

5 STAR HOTEL IN THE MUMBAI SUBURBAN AREA

% Occupancy of Rooms and other lodging Space

No. of Rent Per

Type of Rooms Rooms day Rent Collection Revenue based of Projected Ocuupancy Level
April May June July August September October November December January February March Total
Lodging Segment
King Room 189 8000 15,12,000 4,53,60,000 4,68,72,000 1,36,08,000 93,74,400 1,17,18,000 4,08,24,000 4,68,72,000 4,53,60,000 4,68,72,000 2,81,23,200 2,54,01,600 2,81,23,200 39,00,28,589
Twin Room 165 9000 14,85,000 4,45,50,000 4,60,35,000 1,33,65,000 92,07,000 1,15,08,750 4,00,95,000 4,60,35,000 4,45,50,000 4,60,35,000 2,76,21,000 2,49,48,000 2,76,21,000 38,30,64,915
Executive Suite 15 1000 15,000 4,50,000 4,65,000 1,35,000 93,000 1,16,250 4,05,000 4,65,000 4,50,000 4,65,000 2,79,000 2,52,000 2,79,000 38,70,265
Minar Rooms 19 12000 2,28,000 68,40,000 70,68,000 20,52,000 14,13,600 17,67,000 61,56,000 70,68,000 68,40,000 70,68,000 42,40,800 38,30,400 42,40,800 5,88,24,619
Royal Suite 5 15000 75,000 22,50,000 23,25,000 6,75,000 4,65,000 5,81,250 20,25,000 23,25,000 22,50,000 23,25,000 13,95,000 12,60,000 13,95,000 1,93,61,255
Royal Suite- Type II 6 17000 1,02,000 30,60,000 31,62,000 9,18,000 6,32,400 7,90,500 27,54,000 31,62,000 30,60,000 31,62,000 18,97,200 17,13,600 18,97,200 2,63,27,906
Residential Block 2 20000 40,000 12,00,000 12,40,000 3,60,000 2,48,000 3,10,000 10,80,000 12,40,000 12,00,000 12,40,000 7,44,000 6,72,000 7,44,000 1,03,38,002
Terrace Room 3 20000 60,000 18,00,000 18,60,000 5,40,000 3,72,000 4,65,000 16,20,000 18,60,000 18,00,000 18,60,000 11,16,000 10,08,000 11,16,000 1,54,97,003
Terrace Room- Type II 15 22000 3,30,000 99,00,000 1,02,30,000 29,70,000 20,46,000 25,57,500 89,10,000 1,02,30,000 99,00,000 1,02,30,000 61,38,000 55,44,000 61,38,000 8,51,45,515
419
Other space for rent
Occupancy %
Function Centre 1 35000 25% 31,93,750
Business Centre 1 50000 35% 63,87,500
Pool side Party 1 25000 20% 18,25,000
Conference 1 75000 35% 95,81,250
Spa income 1 20000 40% 29,20,000
TOTAL RENT COLLECTED 1,01,63,65,569

Occupancy Level % month wise

Month % Average
April 100%
May 100%
June 30%
July 20%
August 25%
September 90%
October 100%
November 100%
December 100%
January 60%
February 60%
March 60%
Average 70%
 PROJECT FFEASIBILITY REPORT
5 STAR HOTEL IN THE MUMBAI SUBURBAN AREA

STATEMENT SHOWING OPERATING PROFIT AND LOSS

Year 2014-15 Year 2015-16 Year 2016-17 Year 2017-18 Year 2018-19
Reference/ Estimated Projected Projected Projected Projected
Particulars
Explanation Amount (Rs % Revenue
in lacs) to Total % Rs in lacs % Rs in lacs % Rs in lacs % Rs in lacs
Direct- Income
Rooms (A) Room rent 10,164 84.49% 8% 10,977 8% 11,855 9% 12,922 9% 14,085
Miscllaneous @ 5% A 508 4.22% 8% 549 8% 593 9% 646 9% 704
Other- Income
Party and Business Centres Rental Income 210 1.74% 8% 227 8% 245 9% 267 9% 291
Coffee Shop- Oper. Income @ 1% of A 102 0.84% 8% 110 8% 119 9% 129 9% 141
SPA - Oper. Income @ 0.5 % of A 51 0.42% 8% 55 8% 59 9% 65 9% 70
Beauti Parlour- Oper. Income @ 0.5 % of A 51 0.42% 8% 55 8% 59 9% 65 9% 70
Car- Rental @ 1% of A 102 0.84% 8% 110 8% 119 9% 129 9% 141

Bar- 75% margin Note.3 241 2.00% 9% 263 9% 286 10% 315 10% 346
Restaurant- 55-60% margin Note.4 602 5.01% 9% 656 9% 715 10% 787 10% 866
12,030 100.00% 13,001 14,050 15,324 16,714
Direct Cost
Direct Employee Staff sheet 740 6.15% 10% 814 10% 895 10% 985 10% 1,083
Laundry Expenses Note.1 221 1.84% 10% 243 10% 268 10% 294 10% 324
Housekeeping Supplies @ 3% 361 3.00% 10% 397 10% 437 10% 480 10% 528
Room Exp- Telephone & Food @ 3.5% 421 3.50% 10% 463 10% 509 10% 560 10% 616
Complementary Taxi Service @1% 120 1.00% 10% 132 10% 146 10% 160 10% 176
Electricity(Fixed+ Variable) Note.2 248 2.07% 10% 273 10% 301 10% 331 10% 364
Power and Fuel exp @ 5% 601 5.00% 10% 662 10% 728 10% 801 10% 881
Bar operating cost 72 0.60% 10% 79 10% 87 10% 96 10% 106
( @ 30 % of Bar revenue)
Restaurant operating exp. 241 2.00% 10% 265 10% 291 10% 321 10% 353
( @ 40-45 % of restaurant revenue)
Spa & Beauti parlour exp 46 0.38% 10% 50 10% 55 10% 61 10% 67
( @ 40-45 % of restaurant revenue)

General And Administrative Cost

Head office salary Staff sheet 101 0.84% 10% 111 10% 122 10% 134 10% 147
Advertisement @ 10% 1,203 10.00% 15% 1,383 10% 1,522 10% 1,674 10% 1,841
Commission @ 5% 601 5.00% 5% 632 5% 663 5% 696 5% 731
Repairs and maint. @ 2% 241 2.00% 5% 253 5% 265 5% 279 5% 292
License fees @ 4% 481 4.00% 5% 505 5% 531 5% 557 5% 585
Security Expenses @ 2% 241 2.00% 10% 265 10% 291 10% 320 10% 352

Fixed Cost
Insurance @ 1% 120 1.00% 5% 126 5% 133 5% 139 5% 146
Property Tax @ 3% 361 3.00% 5% 379 5% 398 5% 418 5% 439
Audit Fees Ad hoc 15 0.12% 10% 17 10% 18 10% 20 10% 22
Consultancy Ad hoc 10 0.08% 10% 11 10% 12 10% 13 10% 15

Finance Cost
Interest / Finance Cost @ 11.5 % 58 0.48% -5% 55 -5% 52 -5% 49 -5% 47
(Assumed 5 cr of Loan)

Total Cost 6,496 54.00% 7,115 7,723 8,389 9,116

Profit before Depreciation 5,534 46.00% 5,886 6,326 6,936 7,599

Depreciation 60 -5% 57 -5% 54 -5% 51 -5% 49

(Approximate)
TAXES ON INCOME 1,691 1,801 1,938 2,127 2,333

PROFIT AFTER TAX 3,843 4,085 4,388 4,808 5,266

Note.1 Laundry Cost

Particulars
No. of Rooms 419
Less: Spa room considered
separately 4
Balance rooms available for
allocation 415
Occupancy % annually 73%
Cost per room per day Rs 200
Total Cost p.a.
(419*365*73%*365 days) 2,21,15,350

Note.2 Electricity Cost

Cost per room

Type of Room No. Rooms per day Occupancy % Annual cost
King Room 189 100 73% 50,35,905
Twin Room 165 100 73% 43,96,425
Executive Suite 15 150 73% 5,99,513
Minar Rooms 19 200 73% 10,12,510
Royal Suite 5 250 73% 3,33,063
Royal Suite- Type II 6 250 73% 3,99,675
Residential Block 2 300 73% 1,59,870
Terrace Room 3 250 73% 1,99,838
Terrace Room- Type II 15 250 73% 9,99,188
Common Area NA 2500 100% 9,12,500

Subtotal: A 419 4350 1,40,48,485

Other areas
Other Party and Business
Centres 36,00,000
Restaurant 24,00,000
Bar 12,00,000
Cofee Shop 12,00,000
SPA 12,00,000
Beauti Parlour 12,00,000
Subtotal: B 1,08,00,000

Total Ele.expenses (A+B) 2,48,48,485

Staff Sheet
Statement showing Employee Cost details Department wise
(Amount in Rs.)
Yearly
Incentive Other
(1 mnth Employee Total Employee
Segment Location of Staff Category No. of Staff Salary P.M. Yearly Salary salary) Cost p.a. * Cost
Manager 1 30,000 3,60,000 30,000 21,600 4,11,600
Executive 10 20,000 2,40,000 20,000 14,400 27,44,000
Front office
Phone operator 3 10,000 1,20,000 10,000 7,200 4,11,600
Reservation staff 3 10,000 1,20,000 10,000 7,200 4,11,600
Manager- HOD 1 45,000 5,40,000 45,000 32,400 6,17,400
Lodge Housekeeping Executive 50 10,000 1,20,000 10,000 7,200 68,60,000
Supervisor 25 15,000 1,80,000 15,000 10,800 51,45,000
Manager 2 25,000 3,00,000 25,000 18,000 6,86,000
Room Service
Executive 50 10,000 1,20,000 10,000 7,200 68,60,000
Manager 2 30,000 3,60,000 30,000 21,600 8,23,200
Maintenance
Executive 25 20,000 2,40,000 20,000 14,400 68,60,000
Kitchen Head Chef 1 50,000 6,00,000 50,000 36,000 6,86,000
Kitchen Chef 10 40,000 4,80,000 40,000 28,800 54,88,000
Restaurant Kitchen Cook 50 15,000 1,80,000 15,000 10,800 1,02,90,000
Waiter 100 10,000 1,20,000 10,000 7,200 1,37,20,000
Service
Manager 2 18,000 2,16,000 18,000 12,960 4,93,920
Coffee Shop Service Waiter and makers 10 10,000 1,20,000 10,000 7,200 13,72,000
Operational 20 10,000 1,20,000 10,000 7,200 27,44,000
Banquet Hall Maintenance
Manager 1 18,000 2,16,000 18,000 12,960 2,46,960
Operational 20 10,000 1,20,000 10,000 7,200 27,44,000
Conference Room Maintenance
Manager 1 18,000 2,16,000 18,000 12,960 2,46,960
Bar Service Service lenders 6 10,000 1,20,000 10,000 7,200 8,23,200
Beauti Parlour Operational Beautician 10 12,000 1,44,000 12,000 8,640 16,46,400
Spa Spa Operational 10 12,000 1,44,000 12,000 8,640 16,46,400
Management General Manager 1 80,000 9,60,000 80,000 57,600 10,97,600
Secretary Secretary 2 20,000 2,40,000 20,000 14,400 5,48,800
General 10 12,000 1,44,000 12,000 8,640 16,46,400
Personnel & HR
Manager- HOD 1 35,000 4,20,000 35,000 25,200 4,80,200
General 6 12,000 1,44,000 12,000 8,640 9,87,840
Accounts and Finance
Manager 1 40,000 4,80,000 40,000 28,800 5,48,800
Head Office
General 5 15,000 1,80,000 15,000 10,800 10,29,000
Legal Dept
Manager- HOD 1 30,000 3,60,000 30,000 21,600 4,11,600
Manager 1 20,000 2,40,000 20,000 14,400 2,74,400
Admin
Staff 6 12,000 1,44,000 12,000 8,640 9,87,840
General 10 12,000 1,44,000 12,000 8,640 16,46,400
Security
Supervisor 1 30,000 3,60,000 30,000 21,600 4,11,600
Total staff 458 7,76,000 93,12,000 7,76,000 5,58,720 8,40,48,720

* This includes- Contribution to P.F., Gratuity, ESIC and other statutory compliances