1. PREPARATION OF PROJECT REPORT
PREPARE YOUR OWN REPORT

2. ABOUT THE PROJECT CONCEPT
PRODUCT / SERVICES (what you are going to do)
CAPACITY or size of activity level
PROMOTERS’ DETAILS
MARKET OPPORTUNITY
LOCATION

3. PROJECT COST-1 LAND & LAND DEVELOPMENT BUILDING MACHINERY / EQUIPMENT
FURNITURE / MISC. ASSETS
ELECTRICALS / BOILER ETC

4. PROJECT COST-2 PRELIMINERY / PREOPERATIVE EXPENSES CONTINGENCIES
=CAPITAL COST
+ MARGIN FOR WORKING CAPITAL (2ND YEAR)
=PROJECT COST

5. MEANS OF FINANCE 1.EQUITY = PROMOTER’S FUNDS + SUBSIDY, IF ANY
2.LOANS (DEBT)
1+2=PROJECT COST
DEBT EQUITY RATIO

6. SALES TURNOVER
1ST YR 2ND YR 3RD YR
AMOUNT OF
SALES / INCOME

7. COST OF PRODUCTION / ACTIVITY PER YEAR -1ST 2ND 3RD
MATERIAL COST(RM + SPARES)
OPERATING COST(POWER,WATER)
MANPOWER COST(SALARIES)
ADM+SELLING EXPENSES
FINANCIAL COST
DEPRECIATION

8. PROFIT PROFIT= SALES – PRODUCTION COST LESS TAXES
=NET PROFIT AFTER TAX
+ DEPRECIATION
=FUNDS AVAILABLE

9. WORKING CAPITAL- 1 FINANCE AVAILABLE ON RAW MATERIAL WORK IN PROGRESS
FINISHED GOODS
AMOUNTS TO BE RECEIVED FROM CUSTOMERS

10. WORKING CAPITAL -2 PER YEAR 1ST 2ND 3RD
AMOUNT UNDER EACH HEAD
LESS MARGIN (ie. PROMOTER’S FUNDS)
= FUNDS AVAILABLE FROM BANK FOR THAT HEAD AS WORKING CAPITAL

11. WORKING CAPITAL -3 CALCULATION
Eg AMOUNT
RAW MATERIAL DAYS STOCK
W-I-P DAY
FINISHED GOODS DAYS STOCK
DEBTORS DAYS SALES

12. SECURITY FOR BANK MORTGAGE HYPOTHECATION PERSONAL GUARANTEE
VALUATION OF SECURITY WILL BE MORE THAN BANK EXPOSURE

13. BANK FINANCE AVAILABLE FOR FIXED ASSETS AS WELL AS WORKING CAPITAL
DURATION TO BE DEPENDENT ON AMOUNT AVAILABLE FOR REPAYMENT OUT OF PROFITS OF PROJECT
PROMOTER’S CONTRIBUTION %IN THE PROJECT:
AS PER NORMS OF THE SCHEME OF BANK

14. MANPOWER
NO YEARLY COST
UNSKILLED
SKILLED

15. DEPRECIATION REDUCTION IN ASSET VALUATION OVER A PERIOD
eg Value 100, after depreciation of 10 in a year, becomes value 90 for the next year
AS PER INCOME TAX STIPULATION
AMOUNT AVAILABLE FOR ADDING TO PROFIT

16. ALSO WRITE - UP ON MACHINERY SUPPLIERS CUSTOMERS EXISTING BANKER
PERMISSIONS OBTAINED / APPLIED
SOURCES OF PROMOTER’S FUNDS
AGREEMENT DETAILS IF PLACE IS ON RENTAL BASIS

17. ALL THE BEST
IF YOU KEEP THIS INFORMATION READY, YOU WILL INTERACT MORE CONFIDENTLY ABOUT YOUR PROPOSED VENTURE

18. vikas_p_vaidya@yahoo.co.in 9869262439