Project Report & Project Feasibility Report

providing:
Total Project Cost, Year-wise Phasing
Projected Cash Flow Statement

Scheme Code:- YEA/IND4000 (2021)-07

on

PVC PRODUCTS & PVC COMPOUNDS

Size of Plot : 450 Sq. mts.

Location : Yamuna Expressway, Gautam Budh Nagar (U.P.)

Submitted by:

Vishal Building Material Supplier

Prop. Rambir Singh
Ward No.1, Near B N School, Parkash Vihar
Palwal-121102 (Haryana)
 CONTENTS

__________________________________________________________________________________
S.NO. DESCRIPTION
__________________________________________________________________________________

1 Project Summary

2 Introduction

3 About the Firm/Proprietor

4 Process Flow Chart

5 Economics of the Project

covering:

a Basis & Presumptions

b Capacity & its utilisation
c Land
d Building & Structure
e Machinery & Equipments
f Misc.Fixed Assets
g Total Cost of the Project
h Means of Finance
I Term Loan
j Term Loans' repayment & interest schedule
k Working Capital & Margin Money Calculations
l Staff & Labour
m Raw Materials & Consumables
n Power/Water
o Depreciation
p Repairs & Maintenance
q Insurance
r Sales Expenses
s Projections of Performance & Profitabilitiy Analysis
t Break Even Point Analysis
u Projected Balance Sheet
v Cash-flow Statement
w Debt-service Coverage Ratio

Implementation Schedule
Construction Plan
Layout Plan
 CHAPTER - I Pg. # 3

PROJECT SUMMARY

1 Name of the Firm : Vishal Building Material Supplier

2 Constitution : Proprietorship

3 Proprietor : Rambir Singh

4 Address : Ward No.1, Near BN School

Parkash Vihar
Palwal-121102 (Haryana)

5 Size of Plot : 450 Sq. mts.

6 Location : Yamuna Expressway

Distt.G.B.Nagar (U.P.)
7 Total Proposed Covered Area i/c stilt : 300 Sq. mts.

8 Proposed Project to be set-up : PVC Products & PVC Compound

9 Annual Capacity : 600 tons

10 Major Raw Materials : PVC Resin, consumables

11 Power Load Required : 55 KW

12 Employment Potential : 60 Persons

13 Total Cost of the Project :

a. Cost of Plot : 32.27

b. Building & Structures : 39.00

c. Machinery & Equipment : 52.97

d. Misc.Fixed Assets : 17.00

e. Pre-liminary and Pre-

operative expenses : 0.84

f. Contingencies/Price
Escalation : 1.36

g. Margin Money for W/Capital : 6.96

____________________________
Total :Rs.Lakh 150.40
____________________________
14 Means of Finance: Pg. # 4

a. Loan
Land Loan from Authority 21.01
Term Loan from Bank 80.00 101.01

b. Promoter's Contribution+
Unsecured Loan from
friends/relatives 49.39
____________________________
Total : Rs. 150.40 Lakh
____________________________

Promoter's Share to Project Cost 32.84 Percent

Debt-Equity Ratio 2.05 : 1

15 Annual Profitability (at :

60 % efficiency) - 1st Year

a. Annual Revenues : Rs. 396.00 Lakh

b. Profit before tax : Rs. 38.86 Lakh

c. Percentage Profit : 9.81 %

d. Annual Return on Investment : 25.84 %

e. Average Break-even-Point : 54.58 %

f. Debt-service Coverage Ratio : 2.74

 CHAPTER Pg. # 5

INTRODUCTION

The proposed project is for setting up of a manufacturing unit for:

PVC Products & PVC Compound

The products are in great demand.

The promoter is committed for the success of this project.

 CHAPTER Pg. # 6

ABOUT THE FIRM/PROPRIETOR

Vishal Building Material Supplier is a proprietorship firm. The promoter of the project is well
educated and possess rich experience in the same field. After thorough study of the market
demand of the project, he/she is keen to go for this project.

Bio-data of the promoter is as under:

BIO-DATA

Name : Rambir Singh

Father's Name : Sh.Kishan Singh

Address : Ward No.1, Near BN School

Parkash Vihar
Palwal-121102 (Haryana)

Date of Birth : 28.08.1968

PAN : APQPS5439E

Experience : Possess rich experience

Financial Background : Sound

 CHAPTER Pg. # 7

PROCESS FLOW CHART

Inventories
V
Weighing
V
Extrusion
V
Cutting
V
Finishing
V
Inspection
V
Packing
V
Storage
V
Dispatch

POLLUTION ASPECTS
Liquid
Since water used in the unit shall mainly be for drinking & sanitation use only. There is no
requirement for ETP.
Solid
Scrap arising from the unit is recycled.
Gaseous
DG Set: proper canopy etc. shall be installed to the entire satisfaction of State Pollution Control
Board.
 CHAPTER - V Pg. # 8

ECONOMICS OF THE PROJECT

a BASIS OF PRESUMPTIONS :

No.of Working Days per Annum : 300

No.of Working Shift(s) per day : Single

No.of Working Hours per shift : 8

b PRODUCT(S) MIX, CAPACITY & ITS UTILISATION:

Average
Product Units Qty. Selling Price Amount,
(Rs./Unit) (Rs. in Lakh)

PVC Products and

PVC Compound tons 600 110000.00 660.00

________________ ________________
tons 600 660.00
________________ ________________

Capacity Utilisation :

First Year of operation : 60 %

Second Year of operation : 65 %

Third Year of operation : 70 %

Fourth Year of operation : 75 %

Fifth Year & onwards years

of operation : 80 %
c LAND : Pg. # 9

a Plot Size : 450 Sq. mts.

b Location : Yamuna Expressway

Distt.G.B.Nagar (U.P.)

c Rate of Land : Rs. 6670.00 per Sq. mt.

d Cost of Plot : Rs. 30.02 Lakh

Lease Rent Payable 2.50% : Rs. 0.75 Lakh

Registration Charges 5% : Rs. 1.50 Lakh

Total Cost of Plot : Rs. 32.27 Lakh

d BUILDING & STRUCTURES : Pg. # 10

Total Covered Area : 300 Sq. mts.

a. Ground Floor : 247.50 Sq. mts.

First Floor : 52.50 Sq. mts.

Total 300 Sq. mts.

Construction cost @ Rs. 10000.00 per Sq. mt.

: Rs. 30.00 Lakh

b. Electrical 10% : Rs. 3.00 Lakh

c. Water/Sanitation 15% : Rs. 4.50 Lakh

d. Misc. Civil Works like Boundry Walls,

Security Cabins, Parking Shed, Inner-
Outer Approach Roads etc. : Rs. 1.50 Lakh

Total : Rs. 39.00 Lakh

 e MACHINERY & EQUIPMENT Pg. # 11

__________________________________________________________________________________
S.No. Description Amount
(Rs. in Lakh)
__________________________________________________________________________________

Extruder, Double screw with AC Drive

and crammer feeder 1 }
}
Grinder 1 }
}
Mixer 1 }
}
Vacuum Sizing Tank 1 }
}
Tube Traction Unit 1 }
}
Tube Cutting Unit 1 }
}
Pipe Tilting Unit 1 }
}
Spiral Hopper Loader 1 }
}
Air Compressor 1 }
}
Weighing Machine 50 Kgs. 1 }
}
Lab for ISI certification of Pipes 1 }

1 52.97 52.97
Set

_________________________

Total Rs. 52.97 Lakh

_________________________
f MISC. FIXED ASSETS : Pg. # 12

Additionally, following misc.fixed assets are also required for the

proposed project:

(Rs. in Lakh)

a. Gen Set 62.5 KVA : 7.00

b. Electrification Expenses and

Electrical Equipments : 2.50

c. Office Furniture and Equipments : 2.50

d. Fire Fighting & Other Safety Equipments : 3.00

e. Misc. : 2.00

_________________________
Total : Rs. 17.00 Lakh
_________________________
g TOTAL COST OF THE PROJECT : Pg. # 13
(Rs. in Lakh)

a. Cost of Plot : 32.27

b. Building & Structures : 39.00

c. Machinery & Equipment : 52.97

d. Misc.Fixed Assets : 17.00

e. Pre-liminary and Pre-

operative expenses : 0.84

f. Contingencies/Price
Escalation @1.25%(b+c+d) : 1.36

g. Margin Money for W/Capital : 6.96

____________________________
Total : Rs. 150.40 Lakh
____________________________

h MEANS OF FINANCE :

It is proposed to finance the project as under:

(Rs. in Lakh)
a. Loan
Land Loan from Authority 21.01
Term Loan from Bank 80.00 101.01

b. Promoter's Contribution+
Unsecured Loan from }: 49.39
friends/relatives }

____________________________
Total : Rs. 150.40 Lakh
____________________________

Promoter's Share to Project Cost 32.84 Percent

Debt-Equity Ratio 2.05 : 1

 i TERM LOAN Pg. # 14

: Rs. Lakh

__________________________________________________________________________________
S.No. Description Value Term
__________________________________________________________________________________

1). Land 30.02 70 % 21.01

Land Financed by Authority @ 8.5% p.a. for 5 years

2). Building & Structure 39.00 75 % 29.25

3). Machinery & Equipment 52.97 75 % 39.73

4). Misc.Fixed Assets 17.00 75 % 12.75

5). Contingencies/Price 1.36 75 % 1.02

Escalation

__________________________________________________________________________________
Total 140.35 Rs. 82.75 Lakh
__________________________________________________________________________________

Term Loan to be applied for Rs. 80.00 Lakh

 j TERM LOAN, ITS REPAYMENT AND INTEREST SCHEDULE Pg. # 15

Term Loan : Rs. 80.00 Lakh

Repayment Period 4 Years
Moratorium Period 12 months
Annual Interest Rate 10.50 %
__________________________________________________________________________________
Year/Month Opening Principle Closing Interest*
Balance Repayment Balance
__________________________________________________________________________________
a b c d e f
__________________________________________________________________________________
Ist Year 1 8000000 0 8000000 70000
2 8000000 0 8000000 70000
3 8000000 0 8000000 70000
4 8000000 0 8000000 70000
5 8000000 0 8000000 70000
6 8000000 0 8000000 70000
7 8000000 0 8000000 70000
8 8000000 0 8000000 70000
9 8000000 0 8000000 70000
10 8000000 0 8000000 70000
11 8000000 0 8000000 70000
12 8000000 0 8000000 70000
0 840000

2nd Year 1 8000000 166667 7833333 69271

2 7833333 166667 7666667 67813
3 7666667 166667 7500000 66354
4 7500000 166667 7333333 64896
5 7333333 166667 7166667 63438
6 7166667 166667 7000000 61979
7 7000000 166667 6833333 60521
8 6833333 166667 6666667 59063
9 6666667 166667 6500000 57604
10 6500000 166667 6333333 56146
11 6333333 166667 6166667 54688
12 6166667 166667 6000000 53229
2000000 735000
_________________________________________________________________________
* @ 1/2(c+e)/2
 j TERM LOAN, ITS REPAYMENT AND INTEREST SCHEDULE (Contd….) Pg. # 16

__________________________________________________________________________________
Year/Month Opening Principle Closing Interest*
Balance Repayment Balance
__________________________________________________________________________________

3rd Year 1 6000000 166667 5833333 51771

2 5833333 166667 5666667 50313
3 5666667 166667 5500000 48854
4 5500000 166667 5333333 47396
5 5333333 166667 5166667 45938
6 5166667 166667 5000000 44479
7 5000000 166667 4833333 43021
8 4833333 166667 4666667 41562
9 4666667 166667 4500000 40104
10 4500000 166667 4333333 38646
11 4333333 166667 4166667 37187
12 4166667 166667 4000000 35729
2000000 525000

4th Year 1 4000000 166667 3833333 34271

2 3833333 166667 3666667 32812
3 3666667 166667 3500000 31354
4 3500000 166667 3333333 29896
5 3333333 166667 3166667 28437
6 3166667 166667 3000000 26979
7 3000000 166667 2833333 25521
8 2833333 166667 2666667 24062
9 2666667 166667 2500000 22604
10 2500000 166667 2333333 21146
11 2333333 166667 2166667 19688
12 2166667 166667 2000000 18229
2000000 315000

__________________________________________________________________________________
* @ 1/2(c+e)/2
 j TERM LOAN, ITS REPAYMENT AND INTEREST SCHEDULE (Contd….) Pg. # 17

__________________________________________________________________________________
Year/Month Opening Principle Closing Interest*
Balance Repayment Balance
__________________________________________________________________________________

5th Year 1 2000000 166667 1833333 16771

2 1833333 166667 1666667 15313
3 1666667 166667 1500000 13854
4 1500000 166667 1333333 12396
5 1333333 166667 1166667 10938
6 1166667 166667 1000000 9479
7 1000000 166667 833333 8021
8 833333 166667 666667 6562
9 666667 166667 500000 5104
10 500000 166667 333333 3646
11 333333 166667 166667 2187
12 166667 166667 0 729

2000000 105000
* @ 1/2(c+e)/2

__________________________________________________________________________________
 k WORKING CAPITAL REQUIREMENTS (Rs. in Lakh) Pg. # 18

1st Yr. 2nd Yr. 3rd Yr. 4th Yr. 5th Yr.
Days

a. Consumables 7 5.54 6.01 6.47 6.93 7.39

b. Work in progress 2 1.83 1.99 2.15 2.31 2.47

c. Finished Goods in Stock 3 3.18 3.48 3.76 4.04 4.32

d. Accounts Receivables 7 9.24 10.01 10.78 11.55 12.32

e. Misc.Expenses 30 8.05 9.06 9.87 10.69 11.54

Total 49 27.85 30.54 33.02 35.52 38.05

Less:SundryCreditors 0 0.00 0.00 0.00 0.00 0.00

Working Capital Required 27.85 30.54 33.02 35.52 38.05

Bank Finance 75% 20.89 22.91 24.77 26.64 28.54

Margin Money 6.96 7.64 8.26 8.88 9.51

l STAFF & LABOUR REQUIREMENTS & ANNUAL SALARIES/WAGES BILL Pg. # 19

S.No. Designation Nos. Rate p.m. Amount

(Rs.) (Rs. in Lakh)
a. Office Staff

1 Accounts, Adm. & Purchase 3 15000 5.40

2 Sales & Marketing 5 20000 12.00

3 Peon/Security Guards 4 9000 4.32 21.72

___________________________
12

b. Supervisory

3 18000 6.48 6.48

3
c. Workers

1 Skilled Operators 10 15000 18.00

2 Semi-skilled Workers 20 12000 28.80

3 Unskilled Labour 15 9000 16.20 63.00

___________________________
45 91.20

10% benefits 9.12

___________________________
60 Rs. 100.32 Lakh
___________________________

Note:- More than 40% of local persons to be employed

 m ANNUAL COST OF RAW MATERIALS, CONSUMABLES Pg. # 20
& PACKAGING MATERIALS (at 100% efficiency)

Following Raw Materials, Consumables & Packaging materials are required

for the proposed project:
__________________________________________________________________________________
S.No. Description Amount
(Rs.Lakh)
__________________________________________________________________________________

1 PVC Resin 90%

2 Calcium Carbonate 10%

3 Chemicals 3%

4 Misc.Consumables

5 Packing Materials

Cost of raw materials, consumables and packing materials

is assumed at 60.00 % of annual sales revenues.

__________________________________________________________________________________
Total Rs. 396.00 Lakh
__________________________________________________________________________________

Year-wise cost of Raw Materials, Consumables & Packing Materials:

Rs. in Lakh

1st Yr. 2nd Yr. 3rd Yr. 4th Yr. 5th Yr.

237.60 257.40 277.20 297.00 316.80

n ANNUAL COST OF UTILITIES (POWER & WATER) Pg. # 21
(at 100% efficiency)

a. Power

Total Load 55 KW

Consumption Load x 8 x 300 x 0.75

Hrs.x DaysxPower
Factor
Source: 99000 KWH
Govt. 75% 74250 KWH
Rate Rs. 9.00 KWH 6.68 Lakh
Generator 25% 24750 KWH
Rate Rs. 15.00 KWH 3.71 Lakh

Total Power Bill Rs. 10.40 Lakh

b. Water

Water 300 KL
@ Rs. 25.00 per KL
Rs. 0.08 Lakh

Total Power & Water Bill Rs. 10.47 Lakh

 o DEPRECIATION CHART Pg. # 22

Building & Structure : Rs. 39.00 Lakh

Machinery & Equipment : Rs. 52.97 Lakh

Misc.Fixed Assets : Rs. 17.00 Lakh

__________________________________________________________________________________
S.No. Description 1st Yr. 2nd Yr. 3rd Yr. 4th Yr. 5th Yr.
__________________________________________________________________________________

1). Building & Structure 39.00 35.10 31.59 28.43 25.59

Depreciation rate 10% 3.90 3.51 3.16 2.84 2.56
35.10 31.59 28.43 25.59 23.03

2). Machinery & Equipment 52.97 45.03 38.27 32.53 27.65

Depreciation rate 15% 7.95 6.75 5.74 4.88 4.15
45.03 38.27 32.53 27.65 23.50

3). Misc.Fixed Assets 17.00 14.45 12.28 10.44 8.87

Depreciation rate 15% 2.55 2.17 1.84 1.57 1.33
14.45 12.28 10.44 8.87 7.54
__________________________________________________________________________________
Total Depreciation 14.40 12.43 10.74 9.29 8.04
__________________________________________________________________________________
 p REPAIRS & MAINTENANCE Pg. # 23

__________________________________________________________________________________
S.No. Description 1st Yr. 2nd Yr. 3rd Yr. 4th Yr. 5th Yr.
__________________________________________________________________________________

1). Building & Structure 39.00 35.10 31.59 28.43 25.59

Repairs/Maintenance
Rate (%) 0.50 1.00 1.50 2.00 2.50
Amount (Rs.Lakh) 0.20 0.35 0.47 0.57 0.64

2). Machinery & Equipment 52.97 45.03 38.27 32.53 27.65

Repairs/Maintenance
Rate (%) 0.50 1.00 1.50 2.00 2.50
Amount (Rs.Lakh) 0.26 0.45 0.57 0.65 0.69

3). Misc.Fixed Assets 17.00 14.45 12.28 10.44 8.87

Repairs/Maintenance
Rate (%) 0.50 1.00 1.50 2.00 2.50
Amount (Rs.Lakh) 0.09 0.14 0.18 0.21 0.22

__________________________________________________________________________________
Total 0.54 0.95 1.23 1.43 1.55
__________________________________________________________________________________
 q INSURANCE Pg. # 24

The fixed assets of the project will be insured for all types of risks. Annual insurance
Charges payable shall be as under:-

__________________________________________________________________________________
S.No. Description 1st Yr. 2nd Yr. 3rd Yr. 4th Yr. 5th Yr.
__________________________________________________________________________________

1). Building & Structure 39.00 35.10 31.59 28.43 25.59

2). Machinery & Equipment 52.97 45.03 38.27 32.53 27.65

3). Misc.Fixed Assets 17.00 14.45 12.28 10.44 8.87

Total 108.97 94.58 82.14 71.40 62.11

Insurance Charges:

Rate (%) 1.00 1.50 2.00 2.50 3.00

Amount (Rs.Lakh) 1.09 1.42 1.64 1.79 1.86

r MARKETING EXPENSES

Marketing Expenses include brokerage, commission, discounts etc.

These are assumed at 2.00 percent of revenues

Rs.Lakh
Year 1st Yr. 2nd Yr. 3rd Yr. 4th Yr. 5th Yr.

Revenues 396.00 429.00 462.00 495.00 528.00

Rate (%) 2.00 2.00 2.00 2.00 2.00

Selling Exps. 7.92 8.58 9.24 9.90 10.56

 s PROJECTIONS OF PERFORMANCE & PROFITABILITY STATEMENT Pg. # 25

(Rs. in Lakh)

1st 2nd 3rd 4th 5th

Year Year Year Year Year

Capacity Utilisation (%) 60 65 70 75 80

A. Annual Revenues

Value Rs.Lakh 396.00 429.00 462.00 495.00 528.00

(% increase over last year) 8.33 7.69 7.14 6.67
B. Expenses

a. Consumables 237.60 257.40 277.20 297.00 316.80

b. Power/Water 6.28 6.81 7.33 7.85 8.38

c. Salaries & Wages*

Salaries 31.02 34.12 37.53 41.29 45.42
Wages 41.58 47.30 50.94 54.57 58.21

d. Repairs & Maintenance 0.54 0.95 1.23 1.43 1.55

e. Insurance 1.09 1.42 1.64 1.79 1.86

f. Depreciation 14.40 12.43 10.74 9.29 8.04

332.51 360.42 386.62 413.22 440.26

Expenses 332.51 360.42 386.62 413.22 440.26

* 10% increase every year
 s PROJECTIONS OF PERFORMANCE & PROFITABILITY STATEMENT Pg. # 26
(Contd.)
(Rs. in Lakh)

1st 2nd 3rd 4th 5th

Year Year Year Year Year

Capacity Utilisation (%) 60 65 70 75 80

C. Gross Profit 63.49 68.58 75.38 81.78 87.74

Selling Expenses 7.92 8.58 9.24 9.90 10.56

Overheads@ 3.96 4.29 4.62 4.95 5.28

Preliminary & Pre-operative
Expenses w/off 0.17 0.17 0.17 0.17 0.17
Financial Expenses:
a. Interest on term Bank/Authority loan 10.39 8.89 6.35 3.81 1.27

b. Intt. on Working Capital Loan@ 10.50 2.19 2.41 2.60 2.80 3.00
% p.a.
D. Profit (before taxes) 38.86 44.24 52.40 60.16 67.47

E. Provision for Taxes 30.90% 12.01 13.67 16.19 18.59 20.85

F. Profit (after taxes) 26.85 30.57 36.21 41.57 46.62

Depreciation, added back 14.40 12.43 10.74 9.29 8.04

G. Cash Accruals 41.25 43.00 46.95 50.86 54.66

@ Telephone Bills, Postage/Courier Exps., Travelling/Conveyance,
Bank Charges/Commissions, Publicity etc. considered at 1.00
percent of revenues.
t BREAK-EVEN-EFFICIENCY ANALYSIS Pg. # 27

(Rs. in Lakh)

1st 2nd 3rd 4th 5th

Year Year Year Year Year

Capacity Utilisation (%) 60 65 70 75 80

A. Revenues 396.00 429.00 462.00 495.00 528.00

B. Variable Costs

a. Consumables 237.60 257.40 277.20 297.00 316.80

b. Power/Water 6.28 6.81 7.33 7.85 8.38

c. Wages 41.58 47.30 50.94 54.57 58.21

d. Intt.on working capital loan 2.19 2.41 2.60 2.80 3.00

e. Marketing Expenses 7.92 8.58 9.24 9.90 10.56

Total 295.58 322.49 347.30 372.12 396.94

C. Fixed Costs

a. Salaries 31.02 34.12 37.53 41.29 45.42

b. Admn. Overheads 3.96 4.29 4.62 4.95 5.28

c. Repairs & Maintenance 0.54 0.95 1.23 1.43 1.55

d. Insurance 1.09 1.42 1.64 1.79 1.86

e. Interest on term loan 10.39 8.89 6.35 3.81 1.27

f. Depreciation 14.40 12.43 10.74 9.29 8.04

Total 61.40 62.10 62.12 62.55 63.42

D. Contribution (A-B) 100.42 106.51 114.70 122.88 131.06

E.Break-even-efficiency(%) 61.14 58.31 54.16 50.91 48.39

Average Break-even-efficiency 54.58

 v CASH FLOW STATEMENT Pg. # 28
(Rs. in Lakh)
__________________________________________________________________________________
Const. 1st 2nd 3rd 4th 5th
Period Year Year Year Year Year
__________________________________________________________________________________

A. Sources of Funds
1.Increase in Promoter
Captial 42.43 6.96 0.67 0.62 0.62 0.63

2.Increase in Term Loan 101.01 0.00 0.00 0.00 0.00 0.00

3.Increase in Working
Capital Borrowings 0.00 20.89 2.02 1.86 1.87 1.90

4.Profits before tax 0.00 51.44 55.54 61.36 66.77 71.73

with interest added back
5.Preliminary Exps.w/off 0.00 0.17 0.17 0.17 0.17 0.17
6.Depreciation 0.00 14.40 12.43 10.74 9.29 8.04

143.44 93.85 70.84 74.74 78.72 82.47

B. Disposition of Funds
1.Preliminary & Pre-
operative Expenses 0.84 0.00 0.00 0.00 0.00 0.00

2.Increase in Capital
Expenditure 142.60 0.00 0.00 0.00 0.00 0.00

3.Increase in Current
Assets 0.00 27.85 2.69 2.48 2.50 2.53

4.Decrease in Term
Loan 0.00 4.20 24.20 24.20 24.20 24.20

5. Interests 12.58 11.30 8.95 6.61 4.27

6. Taxes 0.00 12.01 13.67 16.19 18.59 20.85

7. Remuneration/Drawings 0.00 5.00 5.25 5.51 5.79 6.08

__________________________________________________________________________________
143.44 61.64 57.12 57.34 57.69 57.92
__________________________________________________________________________________
C. Opening Balance 0.00 0.00 32.21 45.93 63.34 84.37
D. Net Surplus/Deficit(-) 0.00 32.21 13.72 17.41 21.04 24.55
E. Closing Balance 0.00 32.21 45.93 63.34 84.37 108.92
 u PROJECTED BALANCE SHEET Pg. # 29

(Rs. in Lakh)

Const. 1st 2nd 3rd 4th 5th

Period Year Year Year Year Year
__________________________________________________________________________________
A. SOURCES OF FUNDS
Promoter Capital 42.43 49.39 50.06 50.68 51.31 51.94
Add: Profits 0.00 26.85 57.42 93.63 135.20 181.82
42.43 76.24 107.49 144.32 186.51 233.76
(-) Drgs/Remuner. 0.00 5.00 5.25 5.51 5.79 6.08
Net Worth 42.43 71.24 102.24 138.81 180.72 227.69
Loans
Bank/Authority Loan 101.01 96.81 72.61 48.40 24.20 0.00
Bank Borrowings 0.00 20.89 22.91 24.77 26.64 28.54
Unsecured Loans 0.00 0.00 0.00 0.00 0.00 0.00
Sundry Creditors 0.00 0.00 0.00 0.00 0.00 0.00
Other Current Liabilities 0.00 0.95 1.69 1.93 2.49 3.37

143.44 189.89 199.44 213.91 234.05 259.59

B. APPLICATION OF FUNDS

Fixed Assets
Gross Block 110.33 110.33 110.33 110.33 110.33 110.33
Depreciation 0.00 14.40 26.83 37.57 46.86 54.90
Net Block 110.33 95.94 83.51 72.76 63.48 55.44

Plot/Land 32.27 32.27 32.27 32.27 32.27 32.27

Current Assets
Inventories 0.00 10.56 11.47 12.37 13.28 14.18
Sundry Debtors 0.00 9.24 10.01 10.78 11.55 12.32
Pre-liminary & Pre-
operative Exps.not w/off 0.84 0.67 0.50 0.34 0.17 0.00
Advances
Cash & Bank Balance 0.00 32.21 45.93 63.34 84.37 108.92
Other Current Assets 0.00 9.00 15.75 22.05 28.94 36.47
__________________________________________________________________________________
143.44 189.89 199.44 213.91 234.05 259.59
 w. DEBT SERVICE COVERAGE RATIO Pg. # 30
__________________________________________________________________________________
1st 2nd 3rd 4th 5th
Year Year Year Year Year
__________________________________________________________________________________
Profit after tax 26.85 30.57 36.21 41.57 46.62

Depreciation 14.40 12.43 10.74 9.29 8.04

Intt.on Term Loan 10.39 8.89 6.35 3.81 1.27

Total Coverage 51.63 51.90 53.31 54.67 55.93

Loan Repayment 0.00 20.00 20.00 20.00 20.00

Intt.on Term Loan 10.39 8.89 6.35 3.81 1.27

Total Loan Lia-

bility 10.39 28.89 26.35 23.81 21.27

DSCR 4.97 1.80 2.02 2.30 2.63

Average DSCR 2.74

__________________________________________________________________________________
PROJECT IMPLEMENTATION SCHEDULE Pg. # 31

Project will complete within 2 years from the date of possession of land

Schedule

Event Date

Possession x (Say)

Submission of building plans x + 2 months

Sanction of building plans x + 4 months

Award of contracts, construction of boundary

and planting of peripheral trees. x + 6 months

Construction of permission area

(min. area of building for CC) x + 9 months

Procurement of Minimum Equipment & Furniture x + 12 month

Completion of building x + 14 month

Procurement of Completion Certification x + 18 month

All equipment received and installed x + 24 month

Land escaping of site and maintenance contract x + 24 month

 CONSTRUCTION PLAN Pg. # 32

1 Discussions with Architect/Construction firm

2 Estimates
3 Design submission
4 Design approval & final rates with terms & conditions
5 Necessary Approvals from concerned authority/departments
6 Digging foundation
7 Boundry wall construction
8 Gate erection
9 Foundation Laying
10 Pillars Laying
11 Linter
12 Walls laying
13 Electrical & Plumbing pipes laying
14 Plaster
15 Flooring
16 Finishing
 LAND USE PATTERN Pg. # 33

Factory

Stores
Office

Park

Size of Plot : 450 Sq. mts.

Total Built-up Area proposed

: 300 Sq.mts.
 YEIDA LOAN, ITS REPAYMENT AND INTEREST SCHEDULE Pg. # 34

Loan : Rs. 21.01 Lakh

Repayment Period 5 Years
Annual Interest Rate 8.50 %

__________________________________________________________________________________
Year/Month Opening Principle Closing Interest*
Balance Repayment Balance
__________________________________________________________________________________
a b c d e f
__________________________________________________________________________________
1st Yr. 1 2101050 35018 2066033 18231
2 2066033 35018 2031015 17925
3 2031015 35018 1995998 17618
4 1995998 35018 1960980 17312
5 1960980 35018 1925963 17005
6 1925963 35018 1890945 16699
7 1890945 35018 1855928 16393
8 1855928 35018 1820910 16086
9 1820910 35018 1785893 15780
10 1785893 35018 1750875 15473
11 1750875 35018 1715858 15167
12 1715858 35018 1680840 14861
420210 198549

2nd Yr. 1 1680840 35018 1645823 14554

2 1645823 35018 1610805 14248
3 1610805 35018 1575788 13941
4 1575788 35018 1540770 13635
5 1540770 35018 1505753 13329
6 1505753 35018 1470735 13022
7 1470735 35018 1435718 12716
8 1435718 35018 1400700 12409
9 1400700 35018 1365683 12103
10 1365683 35018 1330665 11797
11 1330665 35018 1295648 11490
12 1295648 35018 1260630 11184
420210 154427
___________________________________________________________________________________
* @ 1/2(c+e)/2
 YEIDA LOAN, ITS REPAYMENT AND INTEREST SCHEDULE Pg. # 35

___________________________________________________________________________________
Year/Month Opening Principle Closing Interest*
Balance Repayment Balance
___________________________________________________________________________________

3rd Yr. 1 1260630 35018 1225613 10877

2 1225613 35018 1190595 10571
3 1190595 35018 1155578 10265
4 1155578 35018 1120560 9958
5 1120560 35018 1085543 9652
6 1085543 35018 1050525 9345
7 1050525 35018 1015508 9039
8 1015508 35018 980490 8732
9 980490 35018 945473 8426
10 945473 35018 910455 8120
11 910455 35018 875438 7813
12 875438 35018 840420 7507
420210 110305

4th Yr. 1 840420 35018 805403 7200

2 805403 35018 770385 6894
3 770385 35018 735368 6588
4 735368 35018 700350 6281
5 700350 35018 665333 5975
6 665333 35018 630315 5668
7 630315 35018 595298 5362
8 595298 35018 560280 5056
9 560280 35018 525263 4749
10 525263 35018 490245 4443
11 490245 35018 455228 4136
12 455228 35018 420210 3830
420210 66183

___________________________________________________________________________________
* @ 1/2(c+e)/2
 YEIDA LOAN, ITS REPAYMENT AND INTEREST SCHEDULE Pg. # 36

___________________________________________________________________________________
Year/Month Opening Principle Closing Interest*
Balance Repayment Balance
___________________________________________________________________________________

5th Yr. 1 420210 35018 385193 3524

2 385193 35018 350175 3217
3 350175 35018 315158 2911
4 315158 35018 280140 2604
5 280140 35018 245123 2298
6 245123 35018 210105 1992
7 210105 35018 175088 1685
8 175088 35018 140070 1379
9 140070 35018 105053 1072
10 105053 35018 70035 766
11 70035 35018 35018 460
12 35018 35018 0 153

420210 22061

___________________________________________________________________________________