SAMPLE- 2

PROJECT REPORT
ON
TAILORING

Under
CHIEF MINISTER'S ENTREPRENEURSHIP SUPPORT
SCHEME (CMESS)

PROJECT COST: Rs. 3 Lakh

 TO WHOM TT MAY CONCERN

He/ She is not related to me.

Date:

Place:

(Concerned Authority)

Designation
EDP CERTIFICATE
 PROJECT AT A GLANCE
(All Amounts in Indian Rupees unless otherwise stated)

SI No Particular Description
A. Profile
1 Name of the Applicant/Unit

2 Constitution (Status)
3 Name of the promoter's
4 Address:

B. Proiect descriotion or loan information

1 Propose of loan For setting up of a Tailoring Unit

2 Type of loan Term loan

3 Amount applied for Term loan: INR 10,00,000/-
Working capital loan: NIL
4 Loan assistance required for Purchase of fixed assets including furnitures &
fixtures
5 Activity of Industry Textle Industry
6 Size of Unit Smail Scale Industry

C. Proiect cost
SI No Particular Otv Rate Amount
I Capital cost
1 Furniture & fixtures
6,31,284
Appendix 1 as per list

2 Other fixed assets

2,92,000
Appendix 1 as per list

3 Tools & equipment:

4,13,099
Appendix 1 as per list

II 25% Marain for workina caoital - -

Total 13 36 383 I
D. Means of finance
l Promoter's contribution 3,36,383
Term loan from Bank 10 00 000
Total 13 36 383
E. Tech no-economic information of vehicle
1 Technical know-how I nd1geneous
2 Threads, fabric, cloths, Needles, Botton, Zhip,
Major product/service/consumables Etc.
3 Employment 5
4 Power requirement 12v
5 Proiect imoiementation oenod 1-2 Months
F. Financial benchmark's
1 Debt Equity Ratio 3:1
2 Avg Debt service coverage ratio (DSCR) 4.60
3 Current ratio 0
internal rate of re tun (IRR)/ROI 70%
Break even point (BEP) in % 92%
6 Pav back oeriod (Months) 34
H. Basis of assumotions
1 Power rate per unit
2 Interest rate 11.50%
Repayment Period 60 EM!

Page l of 14
 1 INTRODUCTION
1.1 Introducing.................. in a rural town, the business is dedicated to providing high-Quality tailoring services with an
emphasis on precision and customer sat1sfact1on. ............. will offer a comprehensive range of services, including custom
garment stitching, alterations, and repairs, all tailored to meet the unique needs of the local community at affordable price. The
business Is committed to using the finest materials and modern tailoring techniques, ensuring that every piece Is crafted to
perfection.
With a strong focus on customer service and an eye for detail, ............. aims to become the go-to destination for all tailoring
needs in the area, offering personalized services that reflect the distinct styles and preferences of each customer. Beyond meeting
everyday clothing needs, ............will play a vital role In preserving and promoting traditional garments and techniques, appealing
to both locals and visitors interested in authentic, handmade clothing. Jn an era where fashion is increasingly a form of self-
expression, ...............will cater to those who seek to personify their individuality through unique designs and styles. As clothing
continues to evolve from a basic necessity to a symbol of personal identity, ............ will provide the community with the means
to compete in the ever-changing landscape of fashion, embracing both tradition and modernity.

ABOUT THE PROMOTER

2 The promoter Is a self-employed Individual who values hard work and the dignity of labor. She has been engaged in business
activities since her early days and has gained substantial experience in the local market. With a strong customer base, she now
aims to expand her retail shop, offering more professional services and products. She firmly believes in sustainable hvehhoods
and enterprises for socI0-economIc empowerment.
BIO-DATA OF PROMOTER'S

SI No Particular Descriotion
l Name
2 Father's Name
3 Date of Birth
4 Academic Qualification
s Background & experience
6 PAN

3 MARKET POTENTIAL AND MARKET ENTRY STRATEGIES

3.1 Introducing Omega Tailor in a rural town presents a significant opportu n ity to tap into a market with growing demand for
quality tailoring services Here are some key opportunities:
Untapped Market: In rural areas, access to professional tailoring services can be limited. Omega Tailor can fill this gap by
offering high-quality, customized clothing solutions that are otherwise hard to find locally.
Community Focus: With a deep understanding of local tastes and cultural preferences, Omega Tailor can cater specifically
to the unique fashion needs of the community, such as traditional wear, school uniforms, and special occasion outfits.
Personalized Service: The business can offer a personalized experience that larger, Impersonal stores often lack. Building
strong relationships with customers will encourage repeat business and word-of-mouth referrals.
Quality and Craftsmanship: By emphasizing quality materials and expert craftsmanship, Omega Tailor can establish a
reputation for excellence, d1ffere n t1atlng itself from other local optio ns.
Employment Opportunities: The business can create Jobs for skilled tailors a n d apprentices in the community,
contributing to local economic development and skill-bu1ld1ng.
Scalability: Starting in a rural town allows for gradual scaling of the business. As Omega Tailor builds its reputation, there
may be opportunities to expand into nearby towns or even Introduce additional services like training programs or selling
sewing supplies.
Cultural Preservation: Omega Tailor can play a role in preserving and promoting traditional garments and techniques,
appealing to both locals and visitors interested in authentic, handmade clothing.
By strategically positio n ing Omega Tailor to address these opportunities, the business can establish a strong foothold in the
local market, fostering growth and long-term success.

Market Strategy
To harness this market potential, the following strategies will be implemented:
Product Diversification: Create a diverse product line that includes traditio n al attire, contemporary fashion, childre n's
clothing, and custom orders. This will cater to various market segments and preferences.
Quality Assurance: Maintain strict quality control to ensure all garments are of the highest standard. Quality products will
build a strong reputation a n d customer loyalty.
Affordable Pricing: Implement competitive and affordable pricing strategies to attract a wide customer base, making
custom-tailored clothing accessible to more people.
advertising,
Marketing and Promotion: Utilize a mix of traditional and digital marketing techniques. This Includes local
social media campaigns, and collaborations with local influencers to increase visibility and attract customers.

4 LOCATION FOR BUSINESS OPERATIONS

4.1 T he proposed unit will be located in Mayangkhan Village, alo n g with NH-2, Se n apatI District
Manipur. It Is one of the busy
come to �his area for marketing
town along the NH2 in Senapati. People from surrounding villages and neighboring towns
an Village has good customer based with many school goi n g
and other household needs. This residence of Mayangkh
I the main Maya gkhan Village, the unit or store has a strategic advantage for attracting
students. Bei n g situated n n

customers quickly by offering reasonable pricing.

Page 2 of 14
 5 TECHNICAL ASPECTS
The following technical aspects are recommended to be considered for the improve of retail:
5.1 Facl/lty Design
Workshops: Spaces for work station and hands-on practice.
Resource Room: Stocked with pattern books, fashion magazines, and design software.
Apparel Shop:
Display Area: Well-organized sections to showcase flnished garments, including traditional attire, contemporary fashion,
and custom orders.
Fitting Rooms: Comfortable and private areas for customers to try on garments.
Storage: Adequate space for inventory management, ensuring a steady supply of materials and finished products
Other Aspects
Legal Registration and License: The unit has obtained Trade License from the local government authority. Further, MSME
has been registered and Income Tax Return filed.
Inventory Management:
Maintaining and well-organized Inventory of fabrics, threads, needles, and other supplies. Implement inventory management
software if necessary to track stock levels and reorder materials on time.
customer service:
Developed excellent customer service skills. Listened to customer requirements carefully and provide personalized solutions.
Happy customers are more likely to return and recommended services.
Pricing and Costing:
Understand the costs associated with materials, labor, and overheads. Set competitive yet profitable pricing for tailoring and
embroidery services.
Record Keeping:
Keep detailed records of orders, customer preferences, and financial transactions. This Information is valuable for marketing,
customer retention, and financial analysis.
OTHERS
5.2 Product/Services & Process
To provide complete fashionable apparels and garments wear and branded products needs of the nearby residents and
population.
The proJect will offer following broad categories of goods to its customers:
- Trad1t1onal attires, cushions, pillow, curtain, etc.
- Kids wear, handbag bags, and ladies suit.
- Sofa and Chair cover, tablemat, and customises items.
- Stitching suit, custom repairs and alteration.
6 IMPLEMENTATION SCHEDULE
6.1 It is expected that total time of about 1-3 months will be takP.n from the date of approval for complete 1mplementat1on.
Break-up of the activities and relative time for each of them is shown below:
Nature of Activity Time Period ( in Months)
Preoaratlon of oroiect and annroval 0-1 Months
Sanction of loan 0-1 Months
Placement of order 1-2 Months
Appointment of staff 1-2 Months
Commencement of operation 2 Months onward

7 BASIS AND PRESUMPTIONS

7.1 While denvino fiaures and oroiections in this oroiect reoort followina basis and oresumotlons have been made:
Particulars Description
Number of days available In a year 365
Number of working hours in a day 8
Rate of capital interest/borrowing interest rate 11.50 % p.a
Repayment period with 1 month monatorlum 5 years
Depreclation shown has been calculated on WDV Method Rate as oer income Tax Act

8 PROJECT COST ESTIMATES

8.1 Total project cost
The cost of the project has been estimated on the basis of the prevailing market rate as mentioned in the quotation received
from the customer and also Including other estimated cost to be spent towards preliminary cost. The total cost of the Project
including margin for working capital has been estimated at lNR 13,36,383/- as detailed In APPENDIX-A

9 ECONOMIC VIABILITY & FINANCIAL ANALYSIS

9.1 Cost of production/operation
The cost of operating of the embroidery retail trading has been estimated annually for the first five years of operation. The
various cost components taken Into account are cost of direct expenses, Indirect expenses, wages and salaries, repairs and
maintenance, insurance, selling & dlstlbution expenses, Interest rates, depreciation, etc. The detailed cost estimates is
detailed In the APPENDIX.

Page 3 of 14
9.2 Financial analysis
The following financial and ratio analysis are calculated and detailed out in APPENDIX 6:
a) Break-even point of the proposed project.
b) DSCR of the proJect.
c) Pay back Period
d) Net profit ratio
e) Internal Rate of Return (!RR) of the proJect.
f) Sensitivity analysis.
The analysis considered for the project 1s quite satisfactory to meet the repayment and interest obligations in respect of the
term loan.
10 CONCLUSION
Based on the above information and below Appendices, we believe the proposal for setting up of M/s OMEGA TAILOR 1s
technically & financially viable and feasible for consideration.
APPENDIX 1
COST OF THE PROJE CT AND MEANS OF FINANCE
(All Amounts in Indian Rupees unless otherwise stated)
1.1 Cost of the project
Particular Otv Rate Amount
Capital cost
Furnitures & fittings:
Furniture - Cloths hanger & stand for garments display 20 3,633 72,660
Furniture - Mannequins & sign board s,gnage 4 4,520 18,080
Furniture - Display Shelves and case 4 32,500 1,30,000
Furniture - Wall mounted racks 4 32,500 1,30,000
Furniture - Iron press table 4 12,966 51,864
Furniture - Thread Racks 4 4,520 18,080
Furniture - Fabric Storage Shelves 4 32,500 1,30,000
Furniture - Pattern Storage 3 15,200 45,600
Furniture - Counter Desk and chairs 1 35,000 35,000
Other fixed assets
Renovation, partition & trails room, interior design etc LS 2,00,000 2,00,000
CCTV Camera l 45,000 45,000
LUMINOUS Cruze 2KVA Inverter with RC 18000 Battery (2 1 47,000 47,000
Batteries)
Tools & equipment:
Zigzag sewing machine 20U23 Industrial sewing machine 4 32,500 1,30,000

Iron Press 4 4,500 18,000

Sicssors, Measuring scale, ruler, fashion des1qning kit LS 25,200 25,200
Triple Thread Overlock Sewing Machine 4 5,900 23,600
Brother FS 101 computerised plastic sewing machine 4 25,600 1,02,400
Sewing Embroidery Machine 2 35,000 70,000
Other st1chlng accessories LS 27,500 27,500
Sewing Kit,226Pcs 42Colors Sewing Supplies with Zipper LS 16,399 16,399
Case Sewing Kit
250/o Maroin for workino �aoital r'"n11irement - -
Total project cost 13 36 383

1.2 Means of finance

Particular Share Amount
Promoter's contribution 25% 3,36,383
Term loan from bank 75% 10 00 000
Total 1000/o 13 36 383

APPENDIX 2
LOAN REPAYMENT SCHEDULE
(All Amounts in Indian Rupees unless otherwise stated)
2.1 T erm oan
Year Opening Installmen Interest Capital Closing Interest
t Reoaid Balance
1 10,00,000 1,53,948 64,546 89,403 9,10,597
2 9,10,597 2,63, 911 96,054 1,67,857 7,42,740 Interest considered at
3 7,42,740 2,63,911 75,700 1,88,212 5,54,529 11.50% p.a
4 5,54,529 2,63,911 52,877 2,11,034 3,43,495
5 3,43,495 2,63,911 27,288 2,36,624 1,06,871
6 1 06 871 1 09 963 3 092 l 06 871 0
Total 13,19 556 3 19,556 10 00,000
For monthly repayment schedule refer Appen dix 8

Page 4 of 14
 APPENDIX 3
D EPRECIATION SCHEDULE AS PER INCOME TAX ACT
(All Amounts in Indian Rupees unless otherwise stated)
3.1 Fixed assets
Particulars Rate 1st Year 2nd Year 3rd Year 4th Year 5th Year
Furniture & Fittings -
Shelves, Commercial
Clothing Racks, Counter
etc
Purchased cost/Opening 6,31,284 5,68,156 5,11,340 4,60,206 4,14,185
Depreciation 10% 63,128 56,816 51,134 46,021 41,419
Closing balance 5,68,156 5,11,340 4,60,206 4 ,14,185 3,72,767

Purchased cost/Opening 45,000 27,000 16,200 9,720 5,832

CCTV Camera

Depreciation 40% 18,000 10,800 6,480 3,888 2,333

Closing balance 27,000 16,200 9,720 5,832 3,499

39,950
Inverter Battery Backup
Purchased cost/Opening 47,000 33,958 28,864 2_4, 534 1
Depreciation 15% 7,050 5,993 5,094 4,330 3,680
Closing balance 39,950 33,958 28,864 24, 534 20,854
Renovation,
Trails Room,
Design etc.
Partition,
Interior

Purchased cost/Opening
Depreciation 15%
2,00,000
30,000
1,70,000
25,500
1,44,500
21,675
1,22,825
18,424
1,04,401
15,660
I
Closing balance 1, 70,000 1,44,500 1,22,825 1,04,401 88,741

Purchased cost/Opening 4,13,099 3,51,134 2,98,464 2,53,694 2,15,640

Tools & Equipments

Depreciation 15% 61,965 52,670 44,770 38,054 32,346

Closinq balance 3 51 134 2 98 464 2 53 694 2 15 640 1 83 294
Deoreciation 1 80 143 1 51 778 1 29,152 1,10 716 95 438
ClosinQ WDV 11 56,240 10,04 462 8,75 309 7.64 593 6 69,156

APPENDIX 4
ESTIMATES OF OPERATION AND TURNOVER
(All Amounts In Indian Rupees unless otherwise stated)
4.1 Basis
a Calculation of working days jn a year
Number of days available in a year 365
Less: Sundays 52
Less: National/State Holiday 10
Less: Off raining season (2 months) 21
Less: Local festive off and contingent 10 93
Estimated effective days available In a year 272
b Estimated daily sa les
Estimated sales value - one day 19,500
Estimated sales value for one whole year 53,04,000

c Installed and ooeratlo nal capacities

With respect to the available operational capacity of the proposed tailoring and apparel retail store, It will depends on the
volumne of supplies offer as a trading entity. It will offer the following broad categories of products to its customer:

Category of items
Admissions fees
Proportion
10%
Shawls, Phanet, Pillows and Bedspread etc 30%
Kids wear, hangbags, ladies suit 25%
Curtain, tablemat, sofa and chair cover and ottier trad1t1onal wear 25%
General Items like customised items for decoration and others 10%
TOTAL 100%

4.2 Sales operation capacity utilization

Sales estimate
No of days
Avg daily sales Amount
available
Particular

Estimated sales for the year 272 19,500 53,04,000

Page 5 of 14
4.4 Sales estimate and utilization of Sales
Particulars 1st Year 2nd Year 3rd Year 4th Year 5th Year
Sales increment rate 0% 15% 15% 12% 12%
Sales of embroidery on apparels and
garments 53 04 000 60 99 600 70 14 540 78 56 285 87 99 039

Sales/Receipts 53 04 000 60 99 600 70 14 540 78 56,285 87 99,039

APPE NDIX 5
R
RECU RING EXPENDITURE
(All Amounts In Indian Rupees unless otherwise stated)

5.1 Cost of production and raw materials purchase

A Estimated cost of raw materials ourchase and oroductlon
No of order 1n a
Particulars Cost per order % of purchase Annual cost
year

Purchase of traded products 26 1,46,100 NA 37,98,600

Other direct cost of purchase NA NA 5% 1,89,930

39 88,530

BEst·,mate d cost o f purehases

Particulars 1st Year 2nd Year 3rd Year 4th Year 5th Year
Purchase of traded products 37 98 600 39 88 530 45 46 924 51 83 494 58 05 513
Other direct cost for purchase 1 89 930 2 08 923 2 31 905 2 57.414 2 85 730
Total purchase cost 39 88 530 41 97 453 47 78.829 54 40 908 60 91 242

5.2 M anpower requ1rement - Sa Iarv and wages

Particular Rate Otv Per month Months Annual
Store manager 15,000 1 15,000 12 1,80,000
Skilled Staff 10,000 2 20,000 12 2,40,000
Semi Skilled Staff 7 000 1 7 000 12 84 000
Sub-total 4 42,000 5 04 000
Perks & benefits @8.5% 3 570 42 840
Direct expenses - waaes 45,570 5 46 840
Contract employee (sweepers) 3 000 1 3 000 12 36 000
Sub-total 1 3,000 36 000
Perks & benefits @8.5% 255 3 060
Indirect expenses - salaries 3 255 39,060
Total 5 48 825 5 85 900

5.3 Other Mfg. expenses (Other Direct expenses)

Particular Per month Months Annual
Insurance expenses 980 12 11,760
Other utilities (electricity & water) 1,500 12 18,000
Repairs & maintenance 5 550 12 66 600
Total 8 030 96.360

5.4 Selling, General & Admn.Expenses (Indirect expenses)

Particular Per month Months Annual
Telephone & communication expenses expenses 747 12 8,964
Printing & stationery 1,520 12 18,240
Rent 2,500 12 30,000
Travels and conveyance 14,120 12 1,69,440
Advertisement and publicity 1,500 12 18,000
Other adm1n & business related expenses 12,120 12 1 45 440
Total 32 507 3,90 084

Page 6 of 14
 APPENDIX 5
RECURRING EXPENDITURE
!All Amounts in Indian Rupees unless otherwise stated)

5.5 UtIll zatIon o f recurr nci expenses:

Particulars 1st Year 2nd Year 3rd Year 4th Year 5th Year
Direct cost
Total ourchase cost 39 88 530 41 97 453 47 78 829 54 40 908 60 91 242
Direct labour -salaries & waoes 5 46 840 6 01 524 6 61,676 7 27 844 8 00 628
Insurance exoenses 11 760 12 936 14 230 15 653 17 218
Other utilities ( electricitv & water) 18 000 19 800 21 780 23 958 26 354
Repairs & maintenance 66 600 73 260 80 586 88 645 97 509
Indirect cost
Telephone & communication exoenses ex1 8 964 9 860 10 846 11 931 13 124
Printino & stationerv 18 240 20 064 22 070 24 277 26 705
Rent 30 000 33 000 36 300 39 930 43 923
Travels and convevance 1 69 440 1 86 384 2 05 022 2 25 525 2 48,077
Advertisement and oublicitv 18 000 19 800 21 780 23 958 26 354
Other admin & business related exoenses 1 45 440 1 59 984 l 75 982 1 93 581 2 12 939
Total 50 21.814 53 34 065 60 29 102 68.16 209 76 04 073

5.6 Assessment of working capital

Particulars 1st Year

Direct exoenses
Total purchase cost 39 88 530
Direct labour -salaries & waaes 5 46 840
Insurance exoenses 11 760
Other utilities (electrlcitv & water) 18 000
Reoairs & maintenance 66 600
Direct cost 46 31.730
Other administrative cost 3 90 084
Indirect cost 3 90 084
Total cost so 21 814
Element of workinci capital No of davs Basis Amount
Total purchase cost 50 Direct cost 7,33,186
Expenses 30 Indirect cost 1,13,965
Receivables 10 Total cost 1 84 626
Total workina caoital reauirement Per cvcle 10 31 776
Marain monev for workina caoital 25% 2 57 944
The working capital requirement will be funded by Promoter separately

Page 7 of 14
 APPENDIX 6
FINANCIAL ANALYSIS
(All Amounts in Indian Rupees unless otherwise stated)
6. 1 Projected Profit & Loss Account :
Particulars 1st Year 2nd Year 3rd Year 4th Year 5th Year
1. Gross Sales
I) Domestic Sales (net) 53 04,000 60 99 600 70 14 540 78.56 285 87 99 039
1i) Exoort Sales (Net) - . . . .
Total Net Sales 53 04.000 60 99 600 70 14 540 78 56 285 87 99 039
2.% of rise ( +) or fall ( ·) In net sales as .
compared to last year (annualised) 15.00% 15.00% 12.00% 12.00%
3. Cost of sales
1) Raw materials or purchase of traded
stocks (Including stores and other
consumables items)
a) lmoorted . . . - -
b) Ind1oenous 1 89 930 2 08 923 2 31 905 2.57 414 2 85 730
Subtotal 1 89 930 2 08,923 2.31 905 2 57.414 2 85 730
4. % of change 1n Raw - - . .
Materials/Purchase Cost
ii) Purchase of raw materials/traded 37 98 600 39 88 530 45 46 924 51 83 494 58 05 513
iii) Direct labour -salaries & waoes 5 46 840 6 01.524 6 61 676 7 27 844 8 00 628
iv) Other mfo.exoenses/direct cost:
a) Overhead exoense (Insurance etc) 11 760 12 936 14 230 15 653 17 218
b) Other utilities (electrictv) 18.000 19 800 21 780 23.958 26 354
c) Reoa1rs & maintenance 66 600 73 260 80 586 88 645 97 509
Subtotal 96 360 1.05 996 1 16.596 1 28.255 1 41.081
1vl Deorec1at1on 1 80 143 1 51 778 1 29 152 1 10 716 95 438
Subtotal (l+li+iii+iv) 48,11 873 so 56 751 56 86 253 64 07 723 71 28,389
v) Add: Ooenino stock . 7 33 186 10 11 796 11 12 976 12 24 273
v1) Less: Closino stock 7 33 186 10 11 796 11 12 976 12 24 273 13 22 215
vii) Cost of sales/cost of oroduction 40.78 688 47 78 141 55 85.073 62.96 425 70 30 447
SJ Se/lino, Genl. & Admn.Exoenses
Telephone & communication expenses 8,964 9,860 10,846 11,931 13,124
expenses
Pnntino & stationerv 18 240 20 064 22 070 24 277 26 705
Rent 30 000 33 000 36 300 39 930 43 923
Travels and convevance 1 69 440 1 86 384 2 OS 022 2 25 525 2 48 077
1,45,440 1,59,984 1,75,982 1,93,581 2,12,939
Other admin & business related exoenses
Subtotal 3 72 084 4 09 292 4 50 222 4.95 244 S 44,768
6. % of change Selling, Genl. & Admin.
Expenses 0% 10% 10% 10% 10%

7. Ooeratino orofit before interest 8 53 228 9 12 167 9.79 245 10 64 616 12 23,823
Interest on Bank loan@ 11.50%
al Interest (term loan) 64.546 96 054 75 700 52 877 27,288
b) Interest ( cash credit) . . - . .
c) Interest (others) . . - . .
Subtotal 64 546 96 054 75 700 52 877 27 288
8. Ooeratlno orof1t after interest 7 88 683 8 16 113 9.03 545 10.11 738 11 96 536
9. Add other non-ooerat1na income . - . .
al Interest on deoos1t - . - . -
bl Others . . - .
10. Less other non-ooeratino exoenses . . . . .
al Pre-ooeration cost . . . . .
. . . - .
b) Write off
c) Others . . . . -
11. Profit before tax/loss 7 88 683 816113 9 03 545 10 11 738 11 96 536
. . . .
Less: tax (Exemoted U/s 10(26))
12. Net Profit/loss 7 88 683 8 16.113 9 03 545 10 11 738 11 96 536
. . - . .
13. D1v1dend/Remunerat1on etc
14. Detained oroflt 7,88 683 8 16,113 9 03 545 10 11 738 11,96 536
15. Detained orofit/Net orofit % 100 100 100 100 100

Page 8 of 14
6.2 CALCULATION OF DEBT SERVICE CREDIT RATIO (D.S.C.R):
Particulars 1st Year 2nd Year 3rd Year 4th Year 5th Year
Net profit 7,88 683 8 16 113 9 03 545 10 11 738 11 96 536
Add:
Depreciation 1 80 143 1 51 778 1 29 152 1 10 716 95 438
TOTAL-A 968,826 967 891 10 32,697 11 22 454 12 91 974
Pavments:
On term loan:
Interest on tenn loan 64 546 96 054 75 700 52 877 27 288
Princioal Instalment 89 403 1 67 857 1 88 212 2 11 034 2 36 624
On workina caoital:
Interest on CC . . - . .
Installment . . . - -
TOTAL - B 1 53, 948 2,63 911 263,911 263,911 2,63 911
D.S.C.R = A/B 6.29 3.67 3.91 4.25 4. 90
Average D.S.C.R 4.60

Page 9 of 14
 APPENDIX 6
FINANCIAL ANALYSIS
(All Amounts in Indian Rupees unless otherwise stated)
6.3 PROJECTED BALANCE SHEET•
Particulars 1st Vear 2nd Year 3rd Vear 4th Year 5th Vear
LIABILITIES:
1. Net Worth
i) Share Cao1tal /Cao1tal Introduced 3 36 383 11 25,066 19 41 179 28 44 724 38 56 462
Ii) Add: Additions durinq the year - - - - -
iii) Less: Drawmos dunno the vear - - - - -

-
1v) Closina Share Capital 3 36 383 11 25 066 19 41 179 28 44 724 38 56 462
2. General Reserve - - - -
3. Revaluation Reserve - - - - -
4. Surplus ( +) or Deficit (-) m Profit & 7,88,683 8,16,113 9,03,545 10,11,738 11,96,536
loss account
5. NET WORTH (1+2+3+4) 11,25 066 19,41 179 28 44,724 38,56 462 50,52,998
Term Liabilities
6 Term loan (excld instalments payable
withing one year)
6 (a) From Aoolicant Bank 9 10 597 7 42 740 5 54 529 3 43 495 1 06 871
6 (bl From other bank - - - - .
7. Term deposits (repayable a�er one . . . . .
year)
8. Other term liabiht1es . . . . .
9. Unsecured loans . - . - .
10. TOTAL TERM LIABILITIES 9 10 597 7,42 740 5,54,529 3,43,495 1 06 871
Current liabilities
11. Short-term borrowlnos from banks . . - . -
11 (a) From Aoollcant Bank - . - . .
11 (b) From other banks . - . . -
12. Short term borrowina from others . . . - .
13. Sundrv creditors 1 89 930 l 99 427 2 27 346 2 59 175 2 90 276
14. Other statutory llab1hties - - . . .
15. Advance oavment from customers - - - . -
16. Total current l1ab1llt1es 1,89,930 1 99,427 2,27,346 2 59,175 2,90,276
17. TOTAL OUTSIDE LIABILITIES
(10+16) 9 42 167 7,81,875 6 02 669 3 97,147
11 00,527
18. TOTAL LIABILITIES (5+17) 22,25 593 28 83 345 36,26 599 44 59,132 54 50,145
FIXED ASSETS
19 (a). Gross Block or In1t1al Investment 12,44,383 12,44,383 12,44,383 12,44,383 12,44,383
In fixed assets:
19 (b) Additions/Deletion - - - - -
20. Less: Deorec1at1on 1 80 143 3 31 921 4 61 074 5 71 790 6 67 227
21. Net Block (18-19) 10,64,240 9 12 462 7 83 309 &,72 593 5 77 156
OTHER NON-CURRENT ASSETS
22. Advances to suppliers of capital - . . . -
goods & contractors
23. Deferred Receivables ( >6 months) . - . . .
24. Others . - . . .
25. Preliminary exoenses - . . . .
26. TOTAL OTHER NON-CURRENT . - . . .
ASSETS
27. a Intangible assets (patents, . . . . .
goodwill preliminary expenses,
bad/doubtful debts expenses not
provided for
27. b. Deferred Tax Assets (OTA) - . - . -

Page 10 of 14

/'
 CURRENT ASSETS
27. Inventory
27 (a) Raw Materials 7 33 186 10 11 796 11 12 976 12 24 273 13 22 215
27 (b) Traded Stocks/Finished Goods - - - - -
27 (c l Work in Progress - - - -
28. Receivables other than deferred &
exoorts. - - - - -
29. Advances to suppliers of materials,
goods and stores - - - - -
30. Deooslts - - - - -
31. other current assets l 84 626 2 03 088 2 43 706 2 92 447 3 so 936
32. Cash and Bank Balances 2 43 542 7 55 999 14 86 608 22 69 818 31 99 838
33. TOTAL CURRENT ASSETS 11 61,353 19 70 884 28 43.289 37 86 538 48 72 989
34. TOTAL ASSETS 22,25 593 28,83,345 36 26 599 44 59 132 54,50 145
35. TANGIBLE NET WORTH 11 25 066 19 41 179 28 44,724 38 56 462 50 52 998
36. NET WORKING CAPITAL 3 74 556 4 02 515 4 71.052 5 51 621 6 41 212
37. CURRENT RATIO 0.97 1.02 1.07 1.13 1.21
38. TOL/TNW 0.98 0.49 0.27 0.16 0.08
39. TOTAL TERM LIABILITIES /TNW 0.81 0.38 0.19 0.09 0.02
18. TOTAL LIABILITIES 22,25 593 28,83,345 36,26.599 44 59 132 54 50 145

6.4 CASH FLOW STATEMENT:

Particulars 1st Year 2nd Year 3rd Year 4th Year 5th Year
Net profit 7 88 683 8 16 113 9 03.545 10 11 738 11 96 536
Add : Deoreclation 1 80 143 1 51 778 1 29 152 1 10 716 95 438
Term loan 10 00 000 - - - -
Promoters capital 3 36 383 - - - -
Total 23,05 209 9,67,891 10.32 697 11 22.454 12,91 974

Total fixed capital invested 12 44 383 . - - -

Preliminary expenses - - - - -
Workino caoltal maroin -

Increase/decrease In current hab1lit1es ( 1 89 930) (9 497) (27 920) (31 828) (31 101)
Reoavment of term loan 89 403 t 67 857 1 88 212 2 11 034 2 36 624
Increase/decrease In current assets 9 17 811 2 97 073 1 41 797 1 60 039 1 56 431
Total 8,17,284 4 55.434 3.02 089 3 39,244 3.61,954

Ooenino balance - 2 43 542 7 55 999 14 86 608 22 69 818

Surplus 2 43 542 5 12 457 7 30 608 7 83 210 9 30 020
Closlno balance 2 43,542 7 55 999 14 86 608 22 69 818 31 99,838

6.5 BREAK EVEN POINT

Particulars 1st Year 2nd Year 3rd Year 4th Year 5th Year
Variable cost
Purchase cost 39 88 530 41 97 453 47 78 829 54 40 908 60,91 242
Direct labour -salaries & waoes 5.46 840 6 01 524 6 61 676 7 27 844 8 00 628
Overhead exoense 11 760 12 936 14 230 15 653 17 218
Other utiht1es 18 000 19 800 21 780 23 958 26 354
Reoalrs & maintenance 66 600 73 260 80 586 88 645 97 509
Total variable cost 46 31,730 49,04 973 55,57 101 62,97 007 70 32 952
Fixed cost (Dep+SGA Exp) 6 16,773 6 57 125 6 55 074 6 58 837 6 67 493
Total cost 52 48,503 55 62 098 62 12 174 69,55 844 77 00 445

Sales 53 04 000 60 99 600 70 14 540 78 56 285 87 99 039

Contribution (Sales-VC) 6 72,270 11 94 627 14 57 439 15 59 278 17 66 087

B.E.P in% 92% 55% 45% 42% 38%

Page 11 of 14
 APPENDIX6
FINANCIAL ANALYSIS
(All Amounts In Indian Rupees unless otherwise stated)

6.6 RATIO ANALYSIS

Particulars 1st Year 2nd Year 3rd Year 4th Year 5th Year
Structural Ratio
a) Net fixed assets to proprietor funds 0.95 0.47 0.28 0.17 0.11
b) Current assets to proprietor funds 0.38 0.49 0.61 0.66 0.70
c) Net fixed assets to funded debt 1.17 1.23 1.41 1.96 .
other Profitability Ratio
a) Gross profit ratio 23% 22% 20% 20% 20%
b) Net profit ratio 15% 13% 13% 13% 14%
c) Return on Investment (ROI) 70% 42% 32% 26% 24%
d) Fixed assets turnover ratio 498% 668% 896% 1168% 1525%
e) Capital turnover ratio 471% 314% 247% 204% 174%

6.7 INTERNAL RATE OF RETURN

Particulars Pre 1st Year 2nd Year 3rd Year 4th Year
Cash outflow
Capita! expenditure 13,36,383 . . . .
Working capital . - - - -
Total (A) 13,36,383 - - - -
cas h inflow
Profit after tax . 7,88,683 8,16,113 9,03,545 10,11,738
Add. Deprec1at1on . 1,80,143 1,51,778 1,29,152 1,10,716
Add: Interest - 64,546 96,054 75,700 52,877
Add: Salvage value . . - . .
Total (B) - 10,33,372 10,63,945 11,08,397 11,75,332
Net flow (B-A} ( 13 36 383) 10 33 372 10 63 945 11 08 397 11 75 332

Internal Rate of Return (IRR) 70% Borrowing cost 11.50%

6.8 PAY PACK PERIOD

Particulars 1st Year 2nd Year 3rd Year 4th Year 5th Year
Cash initial exoendlture/outlay (13,36 383) - . - -
Annual cash Inflow 2 43 542 5 12 457 7 30 608 7 83 210 9 30 020
Cummulative net cash flow (10 92 841) (5 80 384) 1 50 225 9 33 435 18 63 455
Pav back oeriod In vears 2.79 In month 34
Payback period formulae = A+ 8/C,
where 1s A Is the last period number with a negative cumulative cash flow;
8 is the absolute value (i.e. value without negative sign) of cumulative net cash flow at the end of the period A; and C is the
total cash Inflow during the period following period A.

6.9 S ens1t1v1tv Ana IiVSIS

Particulars Base case ( 1st Increase in Decrease in Decrease in
year) purchase price selling price capacity
by 50/o by 50/o utilisation
bv 100/o
Net sales 53,04,000 30,68,160 50,38,800 47,73,600
Cost of purchase 39,88,530 41,87,957 39,88,530 37,89,104
Cash accruals 9,68,826 7,69,399 7,03,626 8,71,943
Average DSCR 6.29 5.00 4.57 5.98
Break Even Point 92% 130% 152% 87%

Page 12 of 14
 APPENDIX 7
BASIC CMA DATA INFORMATIO N SUMMARY
(Alf Amounts fn Indian Rupees unless otherwise stated)

OPERATING YEA R S
SI No Particulars
1 2 3 4 5
1 Existing and proposed limits:
a) Existing term loans - to be pre-closed - - - - -
a) Proposed facll1cy - term loans:
Proposed limits/term loan 10,00,000 10,00,000 10,00,000 10,00,000 10,00,000
Utilized 9,10,597 7,42,740 5,54,529 3,43,495 1,06,871
Limits balance 89,403 2,57,260 4,45,471 6,56,505 8,93,129

2 Operating statement
Sales projections 53,04,000 60,99,600 70,14,540 78,56,285 87,99,039
Expenses projections 40,78,688 47,78,141 55,85,073 62,96,425 70,30,447
Gross profit 12,25,312 13,21,459 14,29,467 15,59,859 17,68,592
Net profit 7,88,683 8,16,113 9,03,545 10,11,738 11,96,536

3 Analysis of Balance Sheet

Current assets 11,61,353 19,70,884 28.43,289 37,86,538 48,72,989
Fixed assets 10,64,240 9,12,462 7,83,309 6,72,593 5,77,156
Cash and bank position 2,43,542 7,55,999 14,86,608 22,69,818 31,99,838
Current liabilities 1,89,930 1,99,427 2,27,346 2,59,175 2,90,276
Non-current liabilities 9,10,597 7,42,740 5,54,529 3,43,495 1,06,871
Net worth 11,25,066 19,41,179 28,44,724 38,56,462 50,52,998

4 Comparative analysis of current

Current assets - domestic 22,25,593 19,70,884 28,43,289 37,86,538 48,72,989
Current liab1htles 1,89,930 1,99,427 2,27,346 2,59,175 2,90,276

5 Calculation of Maximum Permissable

Bank Finance
Turnover method 10,60,800 12,19,920 14,02,908 15,71,257 17,59,808
75% of working capital (CA-CL) 9,11,224 14,78,163 21,32,467 28,39,904 36,54,742

6 Fund flow statement

Opening balance 2,43,542 7,55,999 14,86,608 22,69,818
Net cash surplus 2,43,542 5,12,457 7,30,608 7,83,210 9,30,020
Closing balance 2,43,542 7,55,999 14,86,608 22,69,818 31,99,838

7 Ratio analysis
Gross profit ratio 23% 22% 20% 20% 20%
Net profit ratio 15% 13% 13% 13% 14%
Current ratio 12 10 13 15 17
DSCR 6.29 3.67 3.91 4.25 4.90
DER 0.81 0.38 0.19 0.09 0.02

Page 13 of 14
•

•
APPENDIX 8
TERM LOAN REPAYMENT SCHEDULE
(All Amovnts in Indian Rvpees vnless otherwise stc1ted}

Month Opening Installment Interest@ Capital Closing

(EMI\ 11,50% Renafd Balance
30-Seo-24 10 00 000 21 993 9 583 12 409 9 87 591
31-0ct-24 9 87 591 21 993 9 464 12 528 9 75 063
30-Nov-24 9 75 063 21 993 9 344 12 648 9 62 414
31-Dec-24 9 62 414 21 993 9 223 12 769 9 49 645
31-Jan-25 9 49 645 21 993 9 101 12 892 9 36 753
28·Feb·25 9 36 753 21 993 8 977 13 015 9 23 738
31-Mar-25 9 23 738 21 993 8 852 13 140 9 10 597
30·Apr-25 9 10 597 21 993 8 727 13 266 8 97 331
31-May-25 8 97 331 21 993 8 599 13 393 8 83 938
30-Jun-25 8 83 938 21 993 8 471 13 522 8 70 417
31-Jul-25 8 70 417 21 993 8 341 13 651 8 56 766
3 l·Auo-25 8 56 766 21 993 8 211 13 782 8 42 984
30-Seo-25 8 42 984 21 993 8 079 13 914 8 29 070
3l·Oct-25 8 29 070 21 993 7 945 14 047 8 15 022
30·Nov-25 8 15 022 21 993 7 811 14 182 8 00 840
31-Dec-25 8 00 840 21 993 7 675 14 318 7 86 522
31-Jan-26 7 86,522 21 993 7 538 14 455 7 72 067
28-Feb-26 7 72 067 21 993 7 399 14 594 7 57 474
31-Mar-26 7 57 474 21 993 7 259 14 733 7 42 740
JO·Aor-26 7 42 740 21 993 7 118 14 875 7 27 865
31-May-26 7 27 865 21 993 6 975 15 017 7 12 848
30-Jun-26 7 12 848 21 993 6 831 15 161 6 97 687
31-Jul-26 6 97 687 21 993 6 686 15 306 6 82 381
3l·AuQ·26 6 82 381 21 993 6 539 IS 453 6 66 928
30-Seo-26 6 66 928 21 993 6 391 15 601 6 51 326
31·0ct·26 6 51 326 21 993 6 242 15 751 6 35 576
30-Nov-26 6 35 576 21 993 6 091 15 902 6 19 674
31-Dec-26 6 19 674 21 993 S 939 16 054 6 03 620
Jl·Jan-27 6 03 620 21 993 S 785 16 208 S 87 412
28-Feb-27 S 87 412 21 993 5 629 16 363 5 71 049
Jl·Mar-27 5 71 049 21 993 S 473 16 520 S 54 529
30-Aor-27 S 54 529 21 993 S 314 16 678 S 37 850
31-Mav-27 5 37 850 21 993 5 154 16 838 5 21 012
30-Jun-27 5 21 012 21 993 4 993 17 000 S 04 012
31-Jul-27 5 04,012 21 993 4 830 17 162 4 86 850
31-Auo-27 4 86 850 21 993 4 666 17 327 4 69,523
30-Seo-27 4 69 523 21 993 4 500 17 493 4 52 030
3l·Oct·27 4 52 030 21 993 4 332 17 661 4 34 369
30-Nov-27 4 34 369 21 993 4 163 17 830 4 16 539
31-Dec-27 4 16 539 21 993 3 992 18 001 3 98 539
31-Jan-28 3 98 539 21 993 3 819 18 173 3 80 365
29-Feb-28 3 80 365 21 993 3,645 18 347 3 62 018
31-Mar-28 3 62 018 21 993 3 469 18 523 3 43 495
30-Aor-28 3 43 495 21,993 3 292 18 701 3 24 794
31-Mav-28 3 24 794 21 993 3 113 18,880 3 OS 914
30-Jun-28 3 OS 914 21 993 2 932 19 061 2 86 853
31-Jul-28 2 86 853 21 993 2 749 19 244 2 67 609
Jl·Aug-28 2,67 609 21 993 2 565 19 428 2 48 181
30-Seo-28 2 48 181 21 993 2 378 19 614 2 28 567
31-0ct-28 2 28 567 21 993 2 190 19 802 2 08 765
30-Nov-28 2 08 765 21 993 2,001 19 992 1 88 773
31-Dec-28 l 88 773 21 993 1 809 20 184 1 68 590
31-Jan-29 1 68 590 21 993 1 616 20 377 1 48 213
28-Feb-29 1,48 213 21 993 1 420 20 572 1 27 640
31·Mar-29 1 27,640 21 993 l 223 20 769 1 06 871
30·Aor-29 1 06.871 21 993 1 024 20 968 85 903
31-Mav-29 85 903 21 993 823 21 169 64 733
30-Jun-29 64 733 21 993 620 21 372 43 361
31-Jul-29 43 361 21 993 416 21 577 21 784
3l·AUQ·29 21 784 21 993 209 21 784 0

Page 14 of 14