ABOUT THE PROJECT

Cost of the Project

The proposed unit requires Block Capital of Furniture & Fixtures, Equipments, Misc.
Assets, Civil Construction, etc. Seeing on the provissions stated above the Block
Capital requirement of the unit are calculated as under:
( ALL IN RS. ' 00000 ' )
Sl. No.
1
2
3
4
5

Particulars

Total Cost

Civil Construction
Furniture & Fixtures
Work Shop Tools & Equipments
Security Deposit to Patel Motors
Margin Money for Working Capital
TOTAL

Source of Finance
Term Loan
Own Contribution

Promoter's
Margin*

0.00
10.00
5.00
5.00
15.00
35.00

0.00
10.00
5.00
5.00
15.00
35.00

0.00
35.00

35.00

Amount of
Term Loan
0.00
0.00
0.00
0.00
0.00
0.00

Details of Cash Credit Loan

Amount of Loan
Source of Loan
Rate of Interest Charged
Mode of Repayment.

Rs. 45.00 Lakhs

SBI, Umerkote
14.50% per annum
Repayable on Demand

Project Profile
Project
Constitution
Name & Style
Showroom Location
Sales Media

Two Wheeler Auto Dealership

Proprietorship Firm
M/s. Sai Honda
Main Road, Mandir Chowk, DNK, Umerkote
Nabarangpur District and Nearby Areas

Nos. of Vehicles Sold

2013-2014
2014-2015
2015-2016

450 Nos.
600 Nos.
608 Nos.

BASIS & ASSUMPTIONS

On an average the unit will be working for 25 days a month, i.e, 300 days per year
The purchase and sale price of vehicles as per the prevailing rate in the market
Purchae price is expected to increase by Rs. 1,900/- every year
Sale price is expected to increase by Rs. 2,000/- every year
Nos. of Motor Cycle sales are expected at 30 Nos.and Scooter at 20 Nos. per month
No. of vehicles sales are expected to increase by 8 vehicles per year
Sale of spares expected to be 5% of the Vehicle Sales
Expected profit margin on sale of spares is 15%
Power & Fuel, Salary & Wages, Selling, Distribution and Administrative Expenses are
expected to increase by 10% every year
Lease Rent is Rs. 5,000/- for the lease period
Rate of Interest on CC is assumed to be 15%
Interest Free Security Deposit of Rs. 5,00,000/- is to be given to M/s. Patel Motors, Jeypore

PROJECTION OF PERFOMANCE AND PROFITABILITY

( ALL IN RS. ' 00000 ' )
Particulars

1ST YEAR 2ND YEAR 3RD YEAR 4TH YEAR 5TH YEAR

REVENUE FROM SALE OF VEHICLES

VEHICLE SALES (In Nos. of units)
Motor Cycle
Scooter

270
180
450

360
240
600

366
242
608

372
244
616

378
246
624

0.650
0.600

0.670
0.620

0.690
0.640

0.710
0.660

0.730
0.680

175.50
108.00
283.50

241.20
148.80
390.00

252.54
154.88
407.42

264.12
161.04
425.16

275.94
167.28
443.22

360
9
150.00
4.86

360
12
155.00
6.70

360
12
160.00
6.91

360
12
165.00
7.13

360
12
170.00
7.34

AVERAGE PURCHASE PRICE PER VEHICLE

Motor Cycle
Scooter

0.637
0.587

0.656
0.606

0.675
0.625

0.694
0.644

0.713
0.663

PROFIT PER VEHICLE

Motor Cycle
Scooter

0.013
0.013

0.014
0.014

0.015
0.015

0.016
0.016

0.017
0.017

171.99
105.66
277.65

236.16
145.44
381.6

247.05
151.25
398.3

258.168
157.136
415.304

269.514
163.098
432.612

Total
AVERAGE SELLING PRICE PER VEHICLE
Motor Cycle
Scooter
SALES PER SEGMENT
Motor Cycle
Scooter
REVENUE FROM SERVICING OF VEHICLES
Nos. of vehicles expected for servicing per month
Nos. of Months
Approximate Service Charges per vehicle (in Rs.)
Total

PURCHASE COST PER SEGMENT

Motor Cycle
Scooter

PROJECTION OF PERFOMANCE AND PROFITABILITY

( ALL IN RS. ' 00000 ' )
Particulars

1ST YEAR 2ND YEAR 3RD YEAR 4TH YEAR 5TH YEAR
2013-14

INCOME
Revenue from Sale of Vehicles
Revenue from Servicing of Vehicles
Revenue from Sale of Spares, Lubricants, Accessories
Total Income
COST OF GOODS SOLD
Purchase of Vehicles
Opening Stock
Add: Purchase
Less: Closing Stock
Cost of Spares
Electricity Charges
Salary & Wages
Lease Rent
Insurance of Stock & Workshop
Sub-total
GROSS PROFIT [ (A) - (B) ]
Selling, General & Administrative Expenses
OPERATING PROFIT before Interest & Depreciation
INTEREST
Interest to SBI
Depreciation
OPERATING PROFIT after Interest & Depreciation
Before Tax
PROVISION FOR TAXES including Education Cess
NET PROFIT AFTER TAX
Add: Depreciation
CASH FLOW AFTER TAX (CFAT)

283.50
4.86
14.18
302.54

390.00
6.70
19.50
416.20

407.42
6.91
20.37
434.70

425.16
7.13
21.26
453.55

443.22
7.34
22.16
472.73

277.65
0
335.86
58.21

381.60
58.21
382.74
59.35

398.30
59.35
399.47
60.52

415.30
60.52
416.48
61.70

432.61
61.70
433.81
62.90

12.76
0.72
1.85
0.60
0.20
293.77

17.55
0.79
2.46
0.60
0.20
403.20

18.33
0.87
2.71
0.60
0.20
421.01

19.13
0.96
2.98
0.60
0.20
439.17

19.94
1.05
3.27
0.60
0.20
457.69

8.76
1.03
7.73

12.99
1.13
11.86

13.69
1.25
12.45

14.37
1.37
13.00

15.04
1.51
13.53

5.06
1.50
1.17

5.06
1.35
5.45

5.06
1.22
6.17

5.06
1.09
6.85

5.06
0.98
7.49

0.00
1.17
1.50
2.67

0.82
4.63
1.35
5.98

0.93
5.24
1.22
6.46

1.03
5.82
1.09
6.91

1.12
6.36
0.98
7.35

PROJECTED BALANCE SHEETS

( ALL IN RS. ' 00000 ' )
Particulars
LIABILITIES
Capital Account of Smt Namita Padhi
Opening Balance/Additions
Add: Income during the year
Less: Income Tax & Withdrawals
SBI CC Loan
TOTAL

1ST YEAR
2ND YEAR 3RD YEAR 4TH YEAR 5TH YEAR
2013-2014

35.00
1.17
36.17
1.00
35.17
45.00
80.17

35.17
4.63
39.80
1.82
37.98
45.00
82.98

37.98
5.24
43.23
1.93
41.30
45.00
86.30

41.30
5.82
47.12
2.03
45.10
45.00
90.10

45.10
6.36
51.46
2.12
49.33
45.00
94.33

15.00

13.50

12.15

10.94

9.84

1.50
13.50
5.00

1.35
12.15
5.00

1.22
10.94
5.00

1.09
9.84
5.00

0.98
8.86
5.00

48.21
10.00
1.00
2.46
80.17

49.15
10.20
2.00
4.48
82.98

50.12
10.40
3.00
6.85
86.30

51.10
10.60
4.00
9.55
90.10

52.10
10.80
5.00
12.58
94.33

ASSETS
FIXED ASSETS
Gross Block (Op. Bal. + Additions)
Less: Depreciation
Net Block
Security Deposit
Current Assets
Closing Stock - Vehicles
Closing Stock - Spares, Access., etc
Sundry Debtors
Cash & Bank Balance
TOTAL

CASH FLOW STATEMENT

( ALL IN RS. ' 00000 ' )
Sl.
No.
A.
1
2
3
4
B.
1
2
3
4

Particulars

1ST YEAR 2ND YEAR 3RD YEAR 4TH YEAR 5TH YEAR

SOURCES OF FUNDS
Cash Accurals
Depreciation
Increase in Capital
Increase in cash Credit Loan
TOTAL
DISPOSITION OF FUNDS
Increase in Capital Expenditure
Increase in Security Deposit
Increase in Current Assets
Payment of Income Tax & Withdrawals
TOTAL

C. OPENING BALANCE
D. SURPLUS (A - B)
E. CLOSING BALANCE

1.17
1.50
35.00
45.00
82.67

4.63
1.35
5.98

5.24
1.22
6.46

5.82
1.09
6.91

6.36
0.98
7.35

15.00
5.00
59.21
1.00
80.21

2.14
1.82
3.96

2.17
1.93
4.10

2.18
2.03
4.21

2.20
2.12
4.32

2.46
2.46

2.46
2.02
4.48

4.48
2.36
6.85

6.85
2.71
9.55

9.55
3.02
12.58

FUNDS FLOW STATEMENT

( ALL IN RS. ' 00000 ' )
Sl.
No.
A.
1
3
4
B.
1
2
3
4

Particulars

1ST YEAR 2ND YEAR 3RD YEAR 4TH YEAR 5TH YEAR

SOURCES OF FUNDS
Funds from Operations*
Increase in Capital
Increase in cash Credit Loan
TOTAL
DISPOSITION OF FUNDS
Increase in Capital Expenditure
Increase in Security Deposit
Increase/Decrease in Working Capital
Payment of Income Tax & Withdrawals
TOTAL

2.67
35.00
45.00
82.67

5.98
5.98

6.46
6.46

6.91
6.91

7.35
7.35

15.00
5.00
61.67
1.00
82.67

4.16
1.82
5.98

4.53
1.93
6.46

4.89
2.03
6.91

5.22
2.12
7.35

BREAK EVEN ANALYSIS

( ALL IN RS. ' 00000 ' )
PARTICULARS
A Gross Income
B Variable Expenses
Cost of Vehicles
Cost of Spares
Electricity Charges
Salary & Wages
Lease Rent
Total Variable Cost
C Contribution
D Profit Volume Ratio (P/V)
E Fixed & Semi-fixed Expenses
Interest on CC Loan
Depreciation
Selling, Distribution & Administrtive Exp.
Insurance
Total Fixed Cost
F Operating Profit
G Break Even Sales
J Margin of Safety
K M / S in Ratio

1ST YEAR

2ND YEAR

3RD YEAR

4TH YEAR

5TH YEAR

302.54

416.20

434.70

453.55

472.73

277.65
12.76
0.72
1.85
0.60
293.57
8.96
3%

381.60
17.55
0.79
2.46
0.60
403.00
13.19
3%

398.30
18.33
0.87
2.71
0.60
420.81
13.89
3%

415.30
19.13
0.96
2.98
0.60
438.97
14.57
3%

432.61
19.94
1.05
3.27
0.60
457.49
15.24
3%

5.06
1.50
1.03

5.06
1.35
1.13

5.06
1.22
1.25

5.06
1.09
1.37

5.06
0.98
1.51

0.20
7.79
1.17
263.04

0.20
7.75
5.45
244.33

0.20
7.72
6.17
241.69

0.20
7.73
6.85
240.45

0.20
7.75
7.49
240.54

39.49
13%

171.87
41%

193.01
44%

213.10
47%

232.18
49%

FINANCIAL RATIOS
Particulars
A
B
C
D
E
F
G
H
I
J
K
L
M
N
O
P
Q
R
S
T

PBDIT
PBDIT/INTEREST
CASH ACCRUALS
CURRENT ASSETS
CURRENT LIABILITIES
CURRENT RATIO
LIQUID SURPLUS
TOTAL OUTSIDE LIABILITIES
TANGIBLE NET WORTH
TOL/TNW
PBT/NET SALES
PAT/NET SALES
PAT/TNW
SALES/TNW
NET PROFIT/CAPITAL
NET SALES/FIXED ASSETS
BANK BORROWING/NET SALES
DEBT/EQUITY
SALES/ (INVENTORY+SD)
INVENTORY TURNOVER

1st Year 2nd Year 3rd Year 4th Year 5th Year
1.17
5.45
6.17
6.85
7.49
0.23
1.08
1.22
1.35
1.48
2.67
5.98
6.46
6.91
7.35
61.67
65.83
70.37
75.25
80.48

61.67
45.00
35.17
1.28
0.39%
0.39%
3.33%
8.60
3.34%
22.41
0.15
1.28
5.11
5.20

65.83
45.00
37.98
1.18
1.31%
1.11%
12.19%
10.96
13.17%
34.25
0.11
1.18
6.78
7.01

70.37
45.00
41.30
1.09
1.42%
1.21%
12.69%
10.53
13.80%
39.75
0.10
1.09
6.84
7.18

75.25
45.00
45.10
1.00
1.51%
1.28%
12.91%
10.06
14.09%
46.09
0.10
1.00
6.90
7.35

80.48
45.00
49.33
0.91
1.58%
1.35%
12.90%
9.58
14.11%
53.37
0.10
0.91
6.96
7.52

SALARY & WAGES

DESIGNATION

NO.

Finance & Accounts

Skilled Workman
Stores & Others
Watchman
Unskilled Workman
TOTAL PER ANNUM

1
2
1
1
2

SALARY

AMOUNT

3,000.00
4,000.00
3,000.00
2,500.00
2,000.00

36,000.00
96,000.00
36,000.00
30,000.00
48,000.00
246,000.00

ELECTRICAL EXPENSES
Nos. of Units consumed per month
Electrical Charges per unit
Total Electrical Expenses per month
or Say per annum

1200
5
6000
72000

SELLING, GENERAL AND ADMINISTRATIVE EXPENSES

( ALL IN RS. ' 00000 ' )
PARTICULARS
Administrative Expenses*
(assumed to increase by 10%
every year)
Selling & General Expenses**
(assumed to increase by 10%
every year)

*Administrative Expenses
Advertisement
Office & Misc. Expenses
News Papers & Periodicals
Postage & Telegram
Printing & Stationary
Telephone Charges
Travelling & Conveyance
Fuel Charges
Per Annum

1ST YEAR

2ND YEAR

3RD YEAR

4TH YEAR

5TH YEAR

0.78

0.86

0.94

1.04

1.14

0.25

0.28

0.30

0.33

0.37

1.03

1.13

1.25

1.37

1.51

Per Month
1,000.00
500.00
300.00
200.00
500.00
500.00
1,500.00
2,000.00
6,500.00
78,000.00

M/s. SAI HONDA, UMERKOTE

PROJECTED TRADING, PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED ON 31.03.2014
PARTICULARS
To Opening Stock
To Purchases

AMOUNT

PARTICULARS

34,861,750.00

TO GROSS PROFIT

AMOUNT
30,253,500.00
5,821,000.00

By Sales
By Closing Stock

1,212,750.00
36,074,500.00

To Staff Salaries
To Show Room Rent
To Electricity Charges
To Insurance
To Bank Interest
To Selling & general Expenses
To Depreciation
TO NET PROFIT

184,500.00
60,000.00
72,000.00
20,000.00
506,250.00
103,000.00
150,000.00
117,000.00
1,212,750.00

36,074,500.00
BY GROSS PROFIT

1,212,750.00

1,212,750.00

PROJECTED BALANCE SHEET AS ON 31.03.2014

LIABILITIES
Opening Balance
Add: Net Profit
Less: Income Tax &
Withdrawals
SBI, Umerkote, CC Account

AMOUNT
3,500,000.00
117,000.00
3,617,000.00
100,000.00

3,517,000.00
4,500,000.00

8,017,000.00

ASSETS
Furniture & Fixtures
Less: Depreciation
Tools & Equipments
Less: Depreciation
Security Deposit
Current Assets
Closing Stock - Vehicles
Closing Stock - Spares
Sundry Debtors
Cash & Bank balance

AMOUNT
1,000,000.00
100,000.00
500,000.00
50,000.00

4,821,000.00
1,000,000.00
100,000.00

900,000.00
450,000.00
500,000.00

5,921,000.00
246,000.00
8,017,000.00

M/s. SAI HONDA, UMERKOTE

PROJECTED TRADING, PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED ON 31.03.2015
PARTICULARS
To Opening Stock
To Purchases

AMOUNT
5,821,000.00
40,029,000.00

TO GROSS PROFIT

PARTICULARS

AMOUNT
41,619,600.00
5,935,000.00

By Sales
By Closing Stock

1,704,600.00
47,554,600.00

To Staff Salaries
To Show Room Rent
To Electricity Charges
To Insurance
To Bank Interest
To Selling & general Expenses
To Depreciation
To Provision for IT
TO NET PROFIT

246,000.00
60,000.00
79,200.00
20,000.00
506,250.00
113,300.00
135,000.00
81,727.00
463,123.00
1,704,600.00

47,554,600.00
BY GROSS PROFIT

1,704,600.00

1,704,600.00

PROJECTED BALANCE SHEET AS ON 31.03.2015

LIABILITIES
Opening Balance
Add: Net Profit
Less: Income Tax &
Withdrawals
SBI, Umerkote, CC Account

AMOUNT
3,517,000.00
463,123.00
3,980,123.00
181,727.00

3,798,396.00
4,500,000.00

8,298,396.00

ASSETS
Furniture & Fixtures
Less: Depreciation
Tools & Equipments
Less: Depreciation
Security Deposit
Current Assets
Closing Stock - Vehicles
Closing Stock - Spares
Sundry Debtors
Cash & Bank balance

AMOUNT
900,000.00
90,000.00
450,000.00
45,000.00

4,915,000.00
1,020,000.00
200,000.00

810,000.00
405,000.00
500,000.00

6,135,000.00
448,396.00
8,298,396.00

M/s. SAI HONDA, UMERKOTE

PROJECTED TRADING, PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED ON 31.03.2016
PARTICULARS
To Opening Stock
To Purchases

AMOUNT
5,935,000.00
41,780,390.00

TO GROSS PROFIT

PARTICULARS

AMOUNT
43,470,300.00
6,052,000.00

By Sales
By Closing Stock

1,806,910.00
49,522,300.00

To Staff Salaries
To Show Room Rent
To Electricity Charges
To Insurance
To Bank Interest
To Selling & general Expenses
To Depreciation
To Provision for IT
TO NET PROFIT

270,600.00
60,000.00
87,120.00
20,000.00
506,250.00
124,630.00
121,500.00
92,521.00
524,289.00
1,806,910.00

49,522,300.00
BY GROSS PROFIT

1,806,910.00

1,806,910.00

PROJECTED BALANCE SHEET AS ON 31.03.2016

LIABILITIES
Opening Balance
Add: Net Profit
Less: Income Tax &
Withdrawals
SBI, Umerkote, CC Account

AMOUNT
3,798,396.00
524,289.00
4,322,685.00
192,521.00

4,130,164.00
4,500,000.00

8,630,164.00

ASSETS
Furniture & Fixtures
Less: Depreciation
Tools & Equipments
Less: Depreciation
Security Deposit
Current Assets
Closing Stock - Vehicles
Closing Stock - Spares
Sundry Debtors
Cash & Bank balance

AMOUNT
810,000.00
81,000.00
405,000.00
40,500.00

5,012,000.00
1,040,000.00
300,000.00

729,000.00
364,500.00
500,000.00

6,352,000.00
684,664.00
8,630,164.00

M/s. SAI HONDA, UMERKOTE

PROJECTED TRADING, PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED ON 31.03.2017
PARTICULARS
To Opening Stock
To Purchases

AMOUNT
6,052,000.00
43,561,620.00

TO GROSS PROFIT

PARTICULARS

AMOUNT
45,354,600.00
6,170,000.00

By Sales
By Closing Stock

1,910,980.00
51,524,600.00

To Staff Salaries
To Show Room Rent
To Electricity Charges
To Insurance
To Bank Interest
To Selling & general Expenses
To Depreciation
To Provision for IT
TO NET PROFIT

297,660.00
60,000.00
95,832.00
20,000.00
506,250.00
137,093.00
109,350.00
102,719.00
582,076.00
1,910,980.00

51,524,600.00
BY GROSS PROFIT

1,910,980.00

1,910,980.00

PROJECTED BALANCE SHEET AS ON 31.03.2017

LIABILITIES
Opening Balance
Add: Net Profit
Less: Income Tax &
Withdrawals
SBI, Umerkote, CC Account

AMOUNT
4,130,164.00
582,076.00
4,712,240.00
202,719.00

4,509,521.00
4,500,000.00

9,009,521.00

ASSETS
Furniture & Fixtures
Less: Depreciation
Tools & Equipments
Less: Depreciation
Security Deposit
Current Assets
Closing Stock - Vehicles
Closing Stock - Spares
Sundry Debtors
Cash & Bank balance

AMOUNT
729,000.00
72,900.00
364,500.00
36,450.00

5,110,000.00
1,060,000.00
400,000.00

656,100.00
328,050.00
500,000.00

6,570,000.00
955,371.00
9,009,521.00

M/s. SAI HONDA, UMERKOTE

PROJECTED TRADING, PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED ON 31.03.2018
PARTICULARS
To Opening Stock
To Purchases

AMOUNT
6,170,000.00
45,375,690.00

TO GROSS PROFIT

PARTICULARS

AMOUNT
47,272,500.00
6,290,000.00

By Sales
By Closing Stock

2,016,810.00
53,562,500.00

To Staff Salaries
To Show Room Rent
To Electricity Charges
To Insurance
To Bank Interest
To Selling & general Expenses
To Depreciation
To Provision for IT
TO NET PROFIT

327,426.00
60,000.00
105,415.00
20,000.00
506,250.00
150,802.00
98,415.00
112,272.00
636,230.00
2,016,810.00

53,562,500.00
BY GROSS PROFIT

2,016,810.00

2,016,810.00

PROJECTED BALANCE SHEET AS ON 31.03.2018

LIABILITIES
Opening Balance
Add: Net Profit
Less: Income Tax &
Withdrawals
SBI, Umerkote, CC Account

AMOUNT
4,509,521.00
636,230.00
5,145,751.00
212,272.00

4,933,479.00
4,500,000.00

9,433,479.00

ASSETS
Furniture & Fixtures
Less: Depreciation
Tools & Equipments
Less: Depreciation
Security Deposit
Current Assets
Closing Stock - Vehicles
Closing Stock - Spares
Sundry Debtors
Cash & Bank balance

AMOUNT
656,100.00
65,610.00
328,050.00
32,805.00

5,210,000.00
1,080,000.00
500,000.00

590,490.00
295,245.00
500,000.00

6,790,000.00
1,257,744.00
9,433,479.00