Background / Introduction: -

The present proposal is to purchase of JCB 3DX Excavator cum Loader with 0.26 cum Excavator Bucket & 1.1
cum Loader Bucket Powered by JCB ECOMAX Engine, 4 cylinder, water cooler diesel engine developing 76 HP
@ 2200 rpm and with BMR 430 model Rock Breaker Vajra series with total weight of 450 kg and tool diameter
of 75mm for COMMERCIAL PURPOSES by Sh. Rajneesh Sharma solely proprietor of M/s Jai Guru Baba
Hardware Store, Kheri Road, Rajgarh, Distt Sirmaur, Himachal Pradesh 173101.

Project Cost:

JCB 3DX Model (Quotation Attached) Rs. 24,03,800.00

BMR 430 Model Rock Breaker (Quotation Attached) Rs. 4,01,200.00

Total Amount Rs. 28,05,000.00

Means of Finance:

Promoter’s Contribution Rs. 8,55,000.00

Bank Loan Rs. 19,50,000.00

Total Rs. 28,05,000.00

Note:- Subsidy of Rs. 7,01,250/- i.e. 25% of Total Cost of the Project Rs. 28,05,000/- of JCB initially bank
will finance including subsidy.

Annual JCB Service Collection:

Per Hour Rate JCB Machine ₹ 600.00

Per Hour Rate JCB Machine with Rock Breaker ₹ 1,200.00

Average no. of Hours Works Per Day 15 Hours

Average no. of Days works in a Year 325

No. of Days JCB Machine works without Rock

200
Breaker
 No. of Days JCB Machine works with Rock 125
Breaker

Total Annual JCB Service Collection with Rock

₹ 18,00,000.00
Breaker

Total Annual JCB Service Collection without

₹ 22,50,000.00
Rock Breaker

Total JCB Service Collections ₹ 40,50,000.00

PROJECTED JCB SERVICE COLLECTION FOR 5 YEARS:

Years
N PARTICULARS
I II III IV V

JCB Service ₹ ₹ ₹ ₹ ₹

Collection 40,50,000 48,60,000 58,32,000 69,98,400 83,98,080

The total requirement of staff is as under:

Particulars No. Salary Total (Rs.)

Driver 1 10000.00 10000.00

Helper 1 6500.00 6500.00

Total 16500.00

Annual Wages 198000.00

Fuel Consumption Details:

 Every Day Works 15 Hours

Per Hour Fuel Consumption 3 Ltr

Per Ltr. Diesel Cost Rs. 75

Per Hour Fuel Consumption in

Rs. 225

No of days works in a year 325

Per day Fuel Consumption 3,375

Annual Fuel Consumption 10,96,875

Schedule of Depreciation:

Opening Balance Purchases Depreciation Closing WDV

@ 15%

I YEAR - 28,05,000.00 4,20,750.00 23,84,750.00

II YEAR 23,84,750.00 - 3,57,638.00 20,26,612.00

III YEAR 20,26,612.00 - 3,03,992.00 17,22,620.00

IV YEAR 17,22,620.00 - 2,58,393.00 14,64,227.00

V YEAR 14,64,227.00 - 2,19,634.00 12,44,593.00

PROJECTED EXPENSES FOR 5 YEARS:

Years
SN PARTICULARS
I II III IV V
 Salary to
1
Driver 1,20,000 1,32,000 1,45,200 1,59,720 1,75,692

Salary to
2
Helper 78,000 85,800 94,380 1,03,818 1,14,200

Consumables
3
@ 5% 2,02,500 2,43,000 2,91,600 3,49,920 4,19,904

Repair and
4
Replacements 30,000 36,000 43,200 51,840 62,208

5 Fuel Expenses 14,59,941

10,96,875 12,06,563 13,27,219 16,05,935

6 Depreciation
4,20,750 3,57,638 3,03,992 2,58,393 2,19,634

Net Bank
7
Interest Payable 65,656 53,818 40,580 25,868 9,519

TOTAL : 24,09,499
20,13,781 21,14,818 22,46,171 26,07,092

FOR M/s JAI GURU BABA HARDWARE STORE

 PROPRIETOR

PROJECTED PROFIT AND LOSS ACCOUNT FOR 5 YEARS:

YEARS
PARTICULARS
I II III IV V

A) Incomes:
Income From :-
Gross Receipts from
Customers 40,50,000 48,60,000 58,32,000 69,98,400 83,98,080

TOTAL: 40,50,000 48,60,000 58,32,000 69,98,400 83,98,080

B) Direct Expenses
Fuel Consumed 10,96,875 12,06,562 13,27,219 14,59,941 16,05,935

Other Consumables 2,02,500 2,43,000 2,91,600 3,49,920 4,19,904

C) Gross Profit (A-B) 27,50,625 34,10,438 42,13,181 51,88,539 63,72,241

TOTAL: 40,50,000 48,60,000 58,32,000 69,98,400 83,98,080

D) Administration
 Expenses 2,28,000 2,53,800 2,82,780 3,15,378 3,52,100

Profit Before
Depreciation, Interest
E) & Tax 25,22,625 31,56,638 39,30,401 48,73,161 60,20,141

F) Depreciation 4,20,750 3,57,638 3,03,992 2,58,393 2,19,634

Profit Before Interest

G) & Tax 21,01,875 27,99,000 36,26,409 46,14,768 58,00,507

H) Interest

Interest on Term
Loan 65,656 53,818 40,580 25,868 9,519

I) Profit Before Tax 20,36,219 27,45,182 35,85,829 45,88,900 57,90,988

12,40,231 17,41,914

J) Income Tax 4,36,012 6,60,958 9,26,386

K) Profit After Tax 16,00,207 20,84,224 26,59,443 33,48,669 40,49,074

Depreciation Add
L) Back 4,20,750 3,57,638 3,03,992 2,58,393 2,19,634

20,20,957 24,41,862 29,63,435 36,07,062 42,68,708

M) Cash Profit

PROJECTED BALANCE SHEET FOR 5 YEARS:

YEARS
PARTICULARS
I II III IV V
LIABILITIES

CAPITAL
ACCOUNT

Opening Balance - 13,45,207 20,09,431 31,18,874 38,17,543

Add: Additional
Capital Introduced 6,05,000 - - - -

Add: Profit
during the year 16,00,207 20,84,224 26,59,443 33,48,669 40,49,074

Less: Withdrawal 8,60,000 14,20,000 15,50,000 26,50,000 30,60,000

SUB TOTAL : 13,45,207 20,09,431 31,18,874 38,17,543 48,06,617

SECURED
LOANS

Term Loan 17,63,496 15,38,365 5,86,927 3,08,891 -

CURRENT
LIABILITIES

Sundry Creditors 2,20,000 2,25,000 3,43,750 4,30,000 5,37,500

Expenses Payable 15,000 16,500 18,200 20,000 22,000

Instalment of TL
due 1,86,504 2,25,131 2,50,188 2,78,036 3,08,891

Total Rs. 35,30,207 40,14,427 43,17,939 48,54,470 56,75,008

ASSETS

FIXED ASSETS:-

Opening Balance - 23,84,250 20,26,612 17,22,620 14,64,227

Add : Additions
during the Year 28,05,000 - - - -

Gross Block 28,05,000 23,84,250 20,26,612 17,22,620 14,64,227

Less :
Depreciation 4,20,750 3,57,638 3,03,992 2,58,393 2,19,634

NET BLOCK 23,84,250 20,26,612 17,22,620 14,64,227 12,44,593

INVESTMENTS
& DEPOSITS:-

Investments 7,01,250 7,01,250 10,01,250 5,00,000 10,00,000

CURRENT
ASSETS

Sundry Debtors 3,06,250 6,07,500 7,29,000 8,74,800 10,49,760

Cash & Bank 7,84,538 19,11,912 22,75,494

 Balances 1,06,576 6,22,011

Advances &
Other
Receivables 31,881 57,054 80,531 1,03,531 1,05,161

Total Rs. 35,30,207 40,14,427 43,17,939 48,54,470 56,75,008

KEY FINANCIAL RATIOS:

YEARS
PARTICULARS
I II III IV V

GROSS PROFIT
RATIO IN % 67.92% 70.17% 72.24% 74.14% 75.88%

(Gross Profit/Gross
Sales)

NET PROFIT RATIO

IN % 39.51% 42.89% 45.60% 47.85% 48.21%

(Net Profit/Gross
Sales)

DEBT- EQUITY
RATIO 1.31 0.77 0.19 0.08 -

(Loan Liability/Equity)

BANK LOAN PAYMENT DETAILS

Term Loan Amount ₹ 19,50,000.00

Tenor of Term Loan (in

Months) 60

Moratorium Period (in

Months) 1

Repayment Period (in

Months) 59

EMI Amount ₹ 27,250.00

ROI 10.60%

Subsidy Amount ₹ 7,01,250

EMI DETAILS TO BE PAID IN 5 YEARS:

Payment Opening EMI Principal Interest Closing Interest will

Number Balance Amount Part Part Balance be paid on
Opening
 Balance -
Subsidy
Amount for
first 3 Years

₹
1
19,50,000.00 11,031.00 11,031.00 19,50,000.00 12,48,750.00

₹
2
19,50,000.00 27,250.00 16,219.00 11,031.00 19,33,781.00 12,48,750.00

₹
3
19,33,781.00 27,250.00 16,363.00 10,887.00 19,17,418.00 12,32,531.00

₹
4
19,17,418.00 27,250.00 16,507.00 10,743.00 19,00,911.00 12,16,168.00

₹
5
19,00,911.00 27,250.00 16,653.00 10,597.00 18,84,258.00 11,99,661.00

₹
6
18,84,258.00 27,250.00 16,800.00 10,450.00 18,67,458.00 11,83,008.00

₹
7
18,67,458.00 27,250.00 16,948.00 10,302.00 18,50,510.00 11,66,208.00

₹
8
18,50,510.00 27,250.00 17,098.00 10,152.00 18,33,412.00 11,49,260.00

₹
9
18,33,412.00 27,250.00 17,249.00 10,001.00 18,16,163.00 11,32,162.00

₹
10
18,16,163.00 27,250.00 17,402.00 9,848.00 17,98,761.00 11,14,913.00

₹
11
17,98,761.00 27,250.00 17,555.00 9,695.00 17,81,206.00 10,97,511.00
12 ₹
17,81,206.00 27,250.00 17,710.00 9,540.00 17,63,496.00 10,79,956.00

₹
13
17,63,496.00 27,250.00 17,867.00 9,383.00 17,45,629.00 10,62,246.00

₹
14
17,45,629.00 27,250.00 18,025.00 9,225.00 17,27,604.00 10,44,379.00

₹
15
17,27,604.00 27,250.00 18,184.00 9,066.00 17,09,420.00 10,26,354.00

₹
16
17,09,420.00 27,250.00 18,344.00 8,906.00 16,91,076.00 10,08,170.00

₹
17
16,91,076.00 27,250.00 18,507.00 8,743.00 16,72,569.00 9,89,826.00

₹
18
16,72,569.00 27,250.00 18,670.00 8,580.00 16,53,899.00 9,71,319.00

₹
19
16,53,899.00 27,250.00 18,835.00 8,415.00 16,35,064.00 9,52,649.00

₹
20
16,35,064.00 27,250.00 19,001.00 8,249.00 16,16,063.00 9,33,814.00

₹
21
16,16,063.00 27,250.00 19,169.00 8,081.00 15,96,894.00 9,14,813.00

₹
22
15,96,894.00 27,250.00 19,338.00 7,912.00 15,77,556.00 8,95,644.00

₹
23
15,77,556.00 27,250.00 19,509.00 7,741.00 15,58,047.00 8,76,306.00

₹
24
15,58,047.00 27,250.00 19,682.00 7,568.00 15,38,365.00 8,56,797.00
25 ₹
15,38,365.00 27,250.00 19,855.00 7,395.00 15,18,510.00 8,37,115.00

₹
26
15,18,510.00 27,250.00 20,031.00 7,219.00 14,98,479.00 8,17,260.00

₹
27
14,98,479.00 27,250.00 20,208.00 7,042.00 14,78,271.00 7,97,229.00

₹
28
14,78,271.00 27,250.00 20,386.00 6,864.00 14,57,885.00 7,77,021.00

₹
29
14,57,885.00 27,250.00 20,566.00 6,684.00 14,37,319.00 7,56,635.00

₹
30
14,37,319.00 27,250.00 20,748.00 6,502.00 14,16,571.00 7,36,069.00

₹
31
14,16,571.00 27,250.00 20,931.00 6,319.00 13,95,640.00 7,15,321.00

₹
32
13,95,640.00 27,250.00 21,116.00 6,134.00 13,74,524.00 6,94,390.00

₹
33
13,74,524.00 27,250.00 21,303.00 5,947.00 13,53,221.00 6,73,274.00

₹
34
13,53,221.00 27,250.00 21,491.00 5,759.00 13,31,730.00 6,51,971.00

₹
35
13,31,730.00 27,250.00 21,681.00 5,569.00 13,10,049.00 6,30,480.00

₹
36
13,10,049.00 27,250.00 21,872.00 5,378.00 12,88,177.00 6,08,799.00

37 After 3 Years
 5,86,927.00 27,250.00 22,065.00 5,185.00 5,64,862.00 Subsidy
amount will
38
5,64,862.00 27,250.00 22,260.00 4,990.00 5,42,602.00 be credited to
loan account
39 and EMI is
5,42,602.00 27,250.00 22,457.00 4,793.00 5,20,145.00
updated
40
5,20,145.00 27,250.00 22,655.00 4,595.00 4,97,490.00

41
4,97,490.00 27,250.00 22,856.00 4,394.00 4,74,634.00

42
4,74,634.00 27,250.00 23,057.00 4,193.00 4,51,577.00

43
4,51,577.00 27,250.00 23,261.00 3,989.00 4,28,316.00

44
4,28,316.00 27,250.00 23,467.00 3,783.00 4,04,849.00

45
4,04,849.00 27,250.00 23,674.00 3,576.00 3,81,175.00

46
3,81,175.00 27,250.00 23,883.00 3,367.00 3,57,292.00

47
3,57,292.00 27,250.00 24,094.00 3,156.00 3,33,198.00

48
3,33,198.00 27,250.00 24,307.00 2,943.00 3,08,891.00

49
3,08,891.00 27,250.00 24,521.00 2,729.00 2,84,370.00

50
 2,84,370.00 27,250.00 24,738.00 2,512.00 2,59,632.00

51
2,59,632.00 27,250.00 24,957.00 2,293.00 2,34,675.00

52
2,34,675.00 27,250.00 25,177.00 2,073.00 2,09,498.00

53
2,09,498.00 27,250.00 25,399.00 1,851.00 1,84,099.00

54
1,84,099.00 27,250.00 25,624.00 1,626.00 1,58,475.00

55
1,58,475.00 27,250.00 25,850.00 1,400.00 1,32,625.00

56
1,32,625.00 27,250.00 26,078.00 1,172.00 1,06,547.00

57
1,06,547.00 27,250.00 26,309.00 941.00 80,238.00

58
80,238.00 27,250.00 26,541.00 709.00 53,697.00

59
53,697.00 27,250.00 26,776.00 474.00 26,921.00

60
26,921.00 27,159.00 26,921.00 238.00 -
 Principal Interest Interest Net Balance at
Instalments
Amount Amount Subsidy Interest the End of
Paid
Paid Paid @5% Payable the Year

st Year 310781 186504 124277 58621 65656 1763496.00

2nd
327000 225131 101869
Year 48051 53818 1538365.00

3rd
327000 250188 76812
Year 36232 40580 586927.00

4th
327000 278036 48964
Year 23096 25868 308891.00

5th
326909 308891 18018
Year 8499 9519 0.00
FOR M/s JAI GURU BABA HARDWARE STORE

PROPRIETOR