DETAILED PROJECT REPORT FOR

M/S. abc Ltd.

(A HDPE/PP Fabrics Project)

Bus.Office:
Address

This project has been designed to establish a Trading Concern at Bangalore. It is a Proprietorship concern owned by XYZ. The
proprietor hail from business family and is having experience in this line of business.
Now it is proposed to start operation with financial assistance from a suitable commercial bank.
Hence this project Report is presented.

Prepared by:
CA Ravi
Chartered Accountant
Address Line 1
Address Line 2
BANGLORE
Phone.No.
Mobile :
e-mail :
 M/S. abc Ltd.

I N D E X

SL. CONTENTS PAGES

CHAPTER :
1 PROJECT AT GLANCE 1
2 COST OF THE PROJECT AND MEANS OF FINANCE 2
3 PROJECTIONS AND PROFITABILITY STATEMENT 3
4 CASH - FLOW STATEMENT 4
5 BALANCE SHEET 5

ANNEXURES
1 DEPRECIATION SCHEDULE 6
2 BREAK EVEN ANALYSIS 7
3 INTEREST SCHEDULE 8
4 DEBT COVERAGE RATIO 9
5 ANALYSIS ON RETURN ON INVESTMENT 10
6 ASSUMPTION AND WORKING NOTES 11
M/S. abc Ltd.
CHAPTER NO. 1
PROJECT AT GLANCE :
1 Name : M/S. abc Ltd.
2 Address : Reg.Office:
Address
0
0

3 Nature of Business : Trading

4 Constitution : Proprietorship
Proprietor :

5 Cost of the project : (Rs. In Lakhs)

Particulars Total
Operational Cost
Furniture & Fittings
Generator & Office Equipemnts
Deposits
Interest during the impl. Period
Total -

Means of Finance :
Particulars Total
Proprietor Contribution
Term Loan from Bank / Institution

Total -

6 Debt Equity Ratio :

7 Debt Coverage Ratio :
8 Gross Profit Ratio :
9 Net Profit Ratio :
10 Employment Potential :
11 Return on Investment :

Page 3 of 11
M/S. abc Ltd.
Bangalore

(A HDPE/PP Fabrics Project)

STATEMENT NO. 1

COST OF THE PROJECT AND MEANS OF FINANCE:

The project cost has been estimated at Rs. Lakhs

Brief details of the project cost is given below

Cost of the project : (Rs. In Lakhs)

Particulars Total
Operational Cost
Furniture & Fittings
Generator & Office Equipemnts
Deposits
Interest during the impl. Period
Total

Means of Finance :
Particulars Total
Promoters Contribution
Term Loan from Bank / Institution
Total
M/S. abc Ltd.
STATEMENT NO.2
PROJECTIONS AND PROFITABILITY STATEMENT In Lakhs
Operating years
PARTICULARS
0 1 2 3 4
A.INCOME:
Income from Trading Activities
(50 tons*12*1.3)
(The Quanities Sold are expected to increase by 20% every
year)

B. EXPENSES:
Material Purchase Cost and Related cost
(After Adjusting closing stock)
Salary
Power Charges
Depreciation
Cost of Operations

C. Gross Profit [ A - B ]

D. Interest: on term loan

E. Selling & Admin. Exp.

F. Profit before Tax[ C - (D+E) ]

G. Income Tax

H. Profit after Tax ( F-G )

I. Depreciation added back

J. Cash Accruals ( H + I )

L. Repayment of Term Loan

M. Net Cash A'ble (J - K))

M/S. abc Ltd.
STATEMENT No.3

CASH - FLOW STATEMENT :

(A HDPE/PP Fabrics Project)
Operating Years
PARTICULARS
0 1 2 3 4
A. Source of Funds :
Profit after Tax
Depreciation
Term Loan from Bank
Promoters Contribution

TOTAL OF ' A '

B. Application of Funds :
Furniture & Fittings
Gen & Office Equipts,
Deposits
Repayment of loan

TOTAL OF ' B '

C. Opening Balance

D. Net surplus ( A - B )

E. Closing Balance
M/S. abc Ltd.
STATEMENT No.4

BALANCE SHEET
(A HDPE/PP Fabrics Project)
Operating Years
PARTICULARS
0 1 2 3 4

A. LIABILITIES :
Capital Account
Reserves & Surplus
Secured Loan

TOTAL

B. ASSETS :
Fixed Assets
Current Assets
Cash & Bank
Deposits

TOTAL
M/S. abc Ltd.
Bangalore

(A HDPE/PP Fabrics Project)

ANNEXURE NO.1

DEPRECIATION SCHEDULE: (A HDPE/PP Fabrics Project)

WDV at the year end
PARTICULARS
0 1 2 3 4
1. Furniture & Fittings
Depreciation @ 15%
WDV

4. Genr & Office Equipts

Depreciation @ 15%
WDV

Total Assets
[1+2+3+4]

Total Depreciation
[1+2+3+4]
M/S. abc Ltd.
ANNEXURE NO.2

BREAK-EVEN ANALYSIS
Years
(A HDPE/PP Fabrics Project)
0 1 2 3 4
A. Receipts

B. Variable cost:

D. Fixed costs:
Depreciation
Interest on Term Loan
Administration Expenses

E. Contribution [ B - C ]

F. P.V.Ratio [ E/B x 100 ]

G. Break - even [ Value ]

[ D / F x 100 ]

H. Cash Break Even

[ Without Depreciation]
M/S. abc Ltd.
ANNEXURE NO.3

INTEREST SCHEDULE : (Rs. in Lakhs)

(A HDPE/PP Fabrics Project) QUARTERS OPENING LOAN CLOSING INTEREST
BALANCE REPAYMENT BALANCE PER QTR.

NOTE : Interest on Term Loan is calculated at 13% per annum liquidated in

4 year
(Rs. in Lakhs)
INTEREST
P.A.
M/S. abc Ltd.
ANNEXURE NO.4

DEBT SERVICE COVERAGE RATIO :

Operating Years
(A HDPE/PP Fabrics Project)
0 1 2 3 4
A. SOURCES :
Profit after tax
Depreciation
Interest on term loan
TOTAL OF ' A '

B DEBT :
Term loan installment
Interest on Term Loan

TOTAL OF ' B '

C Debt Service Coverage Ratio

DSCR [A/B]

D Average DSCR
M/S. abc Ltd.
ANNEXURE NO.5

ANALYSIS OF RETURN ON INVESTMENT :

(A HDPE/PP Fabrics Project)
1. Return on Investment = Average Return x 100
Capital Employed

2. Return = Profit before tax + Depreciation + Interest on term loan

3. Capital Employed = Cost of the Project

RETURN ON INVESTMENT :

OPERTING YEARS
PARTICULARS
0 1 2 3 4
Profit before tax

Depreciation

Interest on Term Loan

# Average Return

# Capital Employed

# Return on Investment
M/S. abc Ltd.
ANNEXURE NO.6
Assumption and workings notes to the Financial Statements of the Project Report:
1 Revenue In Lakhs
Sale of HDPE/pp Fabrics
:
:
:

2 Material Purchase Costs

3 Salary
S.No. Category of Employee No.of Salary per Salary per
Employees Month Annuam
1
2
3
Total
Note: Increament in salary is taken at 5% per annum

4 Power

5 Depreciation:

6 Interest:

7 Selling and Administration Expenses:

Page 11 of 11