PROJECT REPORT FOR MANUFACTURING OF

PAPER PRODUCTS

COLLECTIVE PAPER PRODUCTS

PARTNERSHIP FIRM
11-111 TELECOM COLONY, SRINIVASAPURAM
TIRUPATI 517501
 COLLECTIVE PAPER PRODUCTS
PARTNERSHIP FIRM
11-111 TELECOM COLONY, SRINIVASAPURAM
TIRUPATI 517501

PROJECT REPORT FOR MANUFACTURING OF PAPER PRODUCTS

S.NO COST OF THE PROJECT: TOTAL

Rs.
1 LAND 3,500,000
2 BUILDING 1,000,000
3 MACHINERY 4,000,000
4 INSTALATION OF MACHINERY 200,000
5 COMPUTERS/LAPTOPS 100,000
6 FURNITURE&FIXTURES 100,000
7 WORKING CAPITAL 1,500,000
TOTAL : 10400000.00

S.NO MEANS OF FINANCE: TOTAL

1 Partners Contribution (each 50%) 3120000.00

2 Term Loan 7280000.00

TOTAL : 10400000.00

I REVENUE PER ANNUM : Rate Qty Units Per Annum

Rs.
(a) Gross Sales per annum estimated at Rs. 100 150000 kg 15000000

TOTAL SALES PER ANNUM Rs. 15000000

 II DIRECT EXPENSES : Per Annum
Rs.
(a) Raw Materials 6000000
(b) Salaries & Wages 720000
(c) Electricity Charges 168000
(d)Repairs & Maintenance 175500
(e) Freight Charges 534000
(f) Stores & Consumables etc., 225000

TOTAL DIRECT EXPENSES PER ANNUM Rs. 7822500

III ADMINISTRATIVE EXPENSES : Per Annum

Rs.
(a) Salaries 600000
(b) Audit fees 200000
(c) Transport Charges 100000
(d) Printing & Stationery 10000
(e) Rates & Taxes 75000
(f) Vehicle Maintenance 50000
(g) Miscellaneous Expenses 50000

TOTAL ADMN. EXPENSES PER ANNUM Rs. 1085000

Notes :
1. Adminstration Expenses are increased at 10% every year.
2. Interest on Bank Loan is taken @12% P.A. for projected profitablity statement.
 // 2A //

33 April-2017 9426.14 106.04 -80.23 25.81

34 May-2017 9506.37 106.95 -81.14 25.81
35 June-2017 9587.51 107.86 -82.05 25.81
36 July-2017 9669.56 108.78 -82.97 25.81
37 Aug-2017 9752.53 109.72 -83.91 25.81
38 Sep-2017 9836.43 110.66 -84.85 25.81
39 Oct-2017 9921.28 111.61 -85.80 25.81
40 Nov-2017 10007.09 112.58 -86.77 25.81
41 Dec-2017 10093.86 113.56 -87.75 25.81
42 Jan-2018 10181.60 114.54 -88.73 25.81
43 Feb-2018 10270.34 115.54 -89.73 25.81
44 Mar-2018 10360.07 116.55 -90.74 25.81
31.03.2018 TOTAL : 1334.39 -1024.67 309.72

45 April-2018 10450.81 117.57 -91.76 25.81

46 May-2018 10542.57 118.60 -92.79 25.81
47 June-2018 10635.36 119.65 -93.84 25.81
48 July-2018 10729.20 120.70 -94.89 25.81
49 Aug-2018 10824.10 121.77 -95.96 25.81
50 Sep-2018 10920.06 122.85 -97.04 25.81
51 Oct-2018 11017.10 123.94 -98.13 25.81
52 Nov-2018 11115.23 125.05 -99.24 25.81
53 Dec-2018 11214.47 126.16 -100.35 25.81
54 Jan-2019 11314.82 127.29 -101.48 25.81
55 Feb-2019 11416.30 128.43 -102.62 25.81
56 Mar-2019 11518.92 129.59 -103.78 25.81
31.03.2019 TOTAL : 1481.61 -1171.89 309.72

57 April-2019 11622.70 130.76 -104.95 25.81

58 May-2019 11727.65 131.94 -106.13 25.81
59 June-2018 11833.77 133.13 -107.32 25.81
60 July-2019 11941.09 134.34 -108.53 25.81
61 Aug-2019 12049.62 135.56 -109.75 25.81
62 Sep-2019 12159.37 136.79 -110.98 25.81
63 Oct-2019 12270.35 138.04 -112.23 25.81
64 Nov-2019 12382.58 139.30 -113.49 25.81
65 Dec-2020 12496.08 140.58 -114.77 25.81
66 Jan-2020 12610.85 141.87 -116.06 25.81
67 Feb-2020 12726.91 143.18 -117.37 25.81
68 Mar-2020 12844.28 144.50 -118.69 25.81
31.03.2020 TOTAL : 1649.98 -1340.26 309.72
69 April-2020 12962.97 145.83 -120.02 25.81
70 May-2020 13082.99 147.18 -121.37 25.81
71 June-2020 13204.36 148.55 -122.74 25.81
72 July-2020 13327.10 149.93 13327.10 13477.03
31.03.2021 TOTAL : 591.50 12962.97 13554.46
NET PROFIT TO SALES
 DEPRECIATION SCHEDULE FOR FIVE YEARS

NAME OF THE Furnitures

Computers
& Fixtures
& Plant &
ASSETS land Building laptops Machinery

RATE OF DEP. 0% 10% 10% 40% 15%

3500.00 1000.00 100.00 100.00 4200.00
Cost of the Asset :
Total Cost : 3500.00 1000.00 100.00 100.00 4200.00
First Year:
Depreciation 0.00 100.00 10.00 40.00 630.00
W.D.V. 3500.00 900.00 90.00 60.00 3570.00
Second Year:
Depreciation 0.00 90.00 9.00 24.00 535.50
W.D.V. 3500.00 810.00 81.00 36.00 3034.50
Third Year:
Depreciation 0.00 81.00 8.10 14.40 455.18
W.D.V. 3500.00 729.00 72.90 21.60 2579.33
Fourth Year:
Depreciation 0.00 72.90 7.29 8.64 386.90
W.D.V. 3500.00 656.10 65.61 12.96 2192.43
Fifth Year:
Depreciation 0.00 65.61 6.56 5.18 328.86
W.D.V. 3500.00 590.49 59.05 7.78 1863.56
ON SCHEDULE FOR FIVE YEARS

Rs.In '000
TOTAL

780.00

658.50

558.68

475.73

406.22
 // 2 //
DETAILS OF INTEREST ON BANK TERM LOAN AND REPAYMENT
SCHEDULE FOR FIVE YEARS (EMI)
(Rs. in 000's)
NO.OF MONTHS / LOAN CUMULATIVE INTEREST PRINCIPLE AMOUNT
MON YEAR RELEASE BALANCE 12.00% PAID PAID

1 1st Month 7280.00 7280.00 72.80 89.14 161.94

2 2nd Month 7190.86 71.91 90.03 161.94
3 3rd Month 7100.83 71.01 90.93 161.94
4 4th Month 7009.90 70.10 91.84 161.94
5 5th Month 6918.06 69.18 92.76 161.94
6 6th Month 6825.30 68.25 93.69 161.94
7 7th Month 6731.61 67.32 94.62 161.94
8 8th Month 6636.99 66.37 95.57 161.94
9 9th Month 6541.42 65.41 96.53 161.94
10 10th Month 6444.89 64.45 97.49 161.94
11 11th Month 6347.40 63.47 98.47 161.94
12 12th Month 6248.93 62.49 99.45 161.94
Ist YEAR TOTAL : 812.76 1130.52 1943.28
13 1st Month 6149.48 61.49 100.45 161.94
14 2nd Month 6049.04 60.49 101.45 161.94
15 3rd Month 5947.59 59.48 102.46 161.94
16 4th Month 5845.12 58.45 103.49 161.94
17 5th Month 5741.63 57.42 104.52 161.94
18 6th Month 5637.11 56.37 105.57 161.94
19 7th Month 5531.54 55.32 106.62 161.94
20 8th Month 5424.92 54.25 107.69 161.94
21 9th Month 5317.23 53.17 108.77 161.94
22 10th Month 5208.46 52.08 109.86 161.94
23 11th Month 5098.60 50.99 110.95 161.94
24 12th Month 4987.65 49.88 112.06 161.94
2nd Year TOTAL : 669.38 1273.90 1943.28
25 1st Month 4875.59 48.76 113.18 161.94
26 2nd Month 4762.40 47.62 114.32 161.94
27 3rd Month 4648.09 46.48 115.46 161.94
28 4th Month 4532.63 45.33 116.61 161.94
29 5th Month 4416.01 44.16 117.78 161.94
30 6th Month 4298.23 42.98 118.96 161.94
31 7th Month 4179.27 41.79 120.15 161.94
32 8th Month 4059.13 40.59 121.35 161.94
33 9th Month 3937.78 39.38 122.56 161.94
34 10th Month 3815.22 38.15 123.79 161.94
35 11th Month 3691.43 36.91 125.03 161.94
36 12th Month 3566.40 35.66 126.28 161.94
3rd Year TOTAL : 507.97 1435.46 1943.28
37 1st Month 3440.13 34.40 127.54 161.94
38 2nd Month 3312.59 33.13 128.81 161.94
39 3rd Month 3183.77 31.84 130.10 161.94
40 4th Month 3053.67 30.54 131.40 161.94
41 5th Month 2922.27 29.22 132.72 161.94
42 6th Month 2789.55 27.90 134.04 161.94
43 7th Month 2655.51 26.56 135.38 161.94
44 8th Month 2520.12 25.20 136.74 161.94
45 9th Month 2383.38 23.83 138.11 161.94
46 10th Month 2245.28 22.45 139.49 161.94
47 11th Month 2105.79 21.06 140.88 161.94
48 12th Month 1964.91 19.65 142.29 161.94
4th Year TOTAL : 325.77 1617.51 1943.28
49 1st Month 1822.62 18.23 143.71 161.94
50 2nd Month 1678.90 16.79 145.15 161.94
51 3rd Month 1533.75 15.34 146.60 161.94
52 4th Month 1387.15 13.87 148.07 161.94
53 5th Month 1239.08 12.39 149.55 161.94
54 6th Month 1089.53 10.90 151.04 161.94
55 7th Month 938.49 9.38 152.56 161.94
56 8th Month 785.93 7.86 154.08 161.94
57 9th Month 631.85 6.32 155.62 161.94
58 10th Month 476.23 4.76 157.18 161.94
59 11th Month 319.05 3.19 158.75 161.94
60 12th Month 160.30 1.60 160.30 161.91

5th Year TOTAL : 120.74 1822.62 1943.25

 PROJECTED PROFITABILITY STATEMENT FOR FIVE YEARS.
Rs.In' 000
PARTICULARS 31.03.2021 31.03.2022 31.03.2023 31.03.2024 31.03.2025
Utilisation of Capacity 70% 80% 85% 90% 95%
1. GROSS RECEIPTS :
1) Gross Sales Per Annum 10500.00 12000.00 12750.00 13500.00 14250.00

TOTAL RECEIPTS ( A ) : 10500.00 12000.00 12750.00 13500.00 14250.00

II. EXPENSES :
1 Direct Expenses
(a) Raw Materials 4200.00 4800.00 5100.00 5400.00 5700.00
(b) Salaries & Wages 504.00 576.00 612.00 648.00 684.00
(c) Electricity Charges 117.60 134.40 142.80 151.20 159.60
(d)Repairs & Maintenance 122.85 140.40 149.18 157.95 166.73
(e) Freight Charges 373.80 427.20 453.90 480.60 507.30
(f) Stores & Consumables etc., 157.50 180.00 191.25 202.50 213.75
2) Admn. Expenses 1085.00 1139.25 1196.21 1256.02 1318.82
3) Interest on term loan 812.76 669.38 507.97 325.77 120.74
3) Depreciation 780.00 658.50 558.68 475.73 406.22

TOTAL EXP. : ( B ) : 8153.51 8725.13 8911.98 9097.77 9277.16

III. Net Profit ( A - B ) 2346.49 3274.87 3838.02 4402.23 4972.84

IV. Income Tax 703.95 982.46 1151.41 1320.67 1491.85

V. Net Profit after Tax 1642.54 2292.41 2686.61 3081.56 3480.99

 PROJECTED CASHFLOW STATEMENT FOR FIVE YEARS
Rs.In' 000
PARTICULARS 31.03.2021 31.03.2022 31.03.2023 31.03.2024 31.03.2025

1. CASH IN FLOW:
1) Proprietor's Capital 3120.00 - - - -
2) Term loan 7280.00
3) Net Profit After Tax 1642.54 2292.41 2686.61 3081.56 3480.99
Add:Back
Interest on term Loan 812.76 669.38 507.97 325.77 120.74
Depreciation 780.00 658.50 558.68 475.73 406.22
Income tax 703.95 982.46 1151.41 1320.67 1491.85
TOTAL ( A ) : 14339.25 4602.75 4904.66 5203.73 5499.80

II. CASH OUT FLOW:

1) Plant & Machinery 10400.00 - - - -
2) Income tax 703.95 982.46 1151.41 1320.67 1491.85
3) Drawings 50.00 100.00 150.00 200.00 250.00
4) Term loan repayment
Interest 812.76 669.38 507.97 325.77 120.74
Principal 1130.52 1,273.90 1,435.46 1,617.51 1,822.62

TOTAL( B ) : 13097.23 3025.74 3244.83 3463.95 3685.21

Opening Balance 0.00 1242.02 2819.03 4478.86 6218.64

Surplus ( A - B ) 1242.02 1577.01 1659.83 1739.78 1814.59

CLOSING BALANCE : 1242.02 2819.03 4478.86 6218.64 8033.23

 PROJECTED BALANCE SHEET AS ON FOR FIVE YEARS
Rs.In' 000
PARTICULARS 3/31/2021 3/31/2022 3/31/2023 3/31/2024 3/31/2025

I. CASH IN FLOW:
a. Proprietor's Capital 3120.00 4712.54 6904.95 9441.56 12323.12
d. Net Profit after Tax 1642.54 2292.41 2686.61 3081.56 3480.99
Less : Drawings 50.00 100.00 150.00 200.00 250.00
4712.54 6904.95 9441.56 12323.12 15554.11
b. Bank Term Loan 6149.48 4875.59 3440.13 1822.62 - - -

TOTAL ( A ) : 10862.02 11780.53 12881.69 14145.74 15554.11

II. CASH OUT FLOW:

Fixed Assets:
Plant & Machinery 3570.00 3034.50 2579.33 2192.43 1863.56
Land 3500.00 3500.00 3500.00 3500.00 3500.00
Building 900.00 810.00 729.00 656.10 590.49
Furniture and fixtures 90.00 81.00 72.90 65.61 59.05
Computers&Laptop 60.00 36.00 21.60 12.96 7.78
Current Assets:
Cash & cash equivalence 2742.02 4319.03 5978.86 7718.64 9533.23
TOTAL( B ) : 10862.02 11780.53 12881.69 14145.74 15554.11