PROJECT REPORT

OF

MADHAVI KIRANA & GENERAL STORES

AJMEERA BADRI

D.NO.4-66, S.T.Colony, Uppusaka

Bhadrachalam
BHADRADRIKOTHAGUDEM - 507144

Prepared By
CA ARUN NUNE
Charted Accountant
Beside Central Bank of India
Ganesh Temple
KOTHAGUDEM - 507101
 APPLICATION FOR A TERM LOAN

Summary of the Proposal

Name and Address of the Proposal : MADHAVI KIRANA & GENERAL STORES
D.NO.4-66, S.T.Colony, Uppusaka
Bhadrachalam
BHADRADRIKOTHAGUDEM - 507144
Line of Activity : KIRANA & GENERAL STORES

Term Loan : 475,000

Rate of Interest : 12.00%

Promotor : AJMEERA BADRI

Constitution : Proprietory

Promoters: The Promoter is a reputed businessman.The Promoter is financially

sound and fit.
He is financially fit and having sufficient liquid cash to invest the requiredmargin in the
Project.
 MADHAVI KIRANA & GENERAL STORES
Bhadrachalam
BHADRADRIKOTHAGUDEM - 507101

PROJECT HIGH LIGHTS

1.Name of the Firm: MADHAVI KIRANA & GENERAL STORES

2. Address: Bhadrachalam
BHADRADRIKOTHAGUDEM - 507144
BHADRADRIKOTHAGUDEM DIST
3.Factory: N.A

4.Constitution: PROPRIETORSHIP

5.Name of the Proprietrix: AJMEERA BADRI

6.D S C R 2.05

7.Debt Equity Ratio:(Long Term Debt)

8.Term Loan Required: Rs. 4.75 Lakhs

9.Wokring Capital Loan: Rs. 0 Lakhs

PREPARED AS PER INFORMATION BY THE BORROWER

 MADHAVI KIRANA & GENERAL STORES
AJMEERA BADRI

COST OF PROJECT: Amount(Rs.)

Building(Leases) 0

Furniture &Fixtures 0

Plant & Machinery 0

FMCG Products 500,000
TOTAL 500,000

MEANS OF FINANCE:

Promoters 25,000

Term Loan 475,000

500,000
 MADHAVI KIRANA & GENERAL STORES
AJMEERA BADRI

Projected Profit & Loss Account

PARTICULARS 1st Year 2nd Year 3rd Year 4th Year 5th Year
Sales 852400.00 1022880 1227456 1472947.2 1767536.64
Opening Stock 0 0.00 106740.00 154168 213961.6 391245.92
Purchases 500000 660800.00 712,300 857,640 1,134,700 1,367,840
Closing Stock 106740.00 154168.00 213961.60 391245.92 610187.10
Gross Profit 298340 358008 429609.6 515531.52 618637.824
(A) 298340.00 358008.00 429609.60 515531.52 618637.82

EXPENSES
Electricity 18560.00 20,416 22,458 24,703 27,174
Salaries 48000.00 54,000 60,000 66,000 72,000
Rent 24000.00 24,000 36,000 36,000 36,000
Telephone 2000.00 2,200 2,400 2,600 2,800
Other expences 6000.00 6,600 7,260 7,986 8,785
Depreciation 0.00 0 0 0 0
('C) 98560.00 107,216 128,118 137,289 146,758

P B I (B-C) 199780.00 250,792 301,492 378,242 471,880

Financial Charges
Term Loan 27616 48,493 38,562 27,373 14,764

PBT 172164 202,299 262,930 350,869 457,116

Provision for Tax 51649 60,690 78,879 105,261 137,135
PAT 120515 141,609 184,051 245,609 319,981
 MADHAVI KIRANA & GENERAL STORES
AJMEERA BADRI

Projected Balance Sheet

Openings 1st Year 2nd Year 3rd Year 4th Year 5th Year

LIABILITIES

Proprietor's Capital a/c 25,000 45,515 187,124 371,175 616,784 936,765

Secured Loans

Bank Term Loan-1 475,000 439,220 360,921 272,691 173,272 61,244

Unsecured Loans
From Friends & Relatives 0 0 0 0 0 0

Sundry Creditors 0 0 0 0 0 0

500000 484,735 548,045 643,866 790,055 998,008

ASSETS
Fixed Assets
Steel Articles & Home Applian 0 0 0 0 0 0
Building 0 0 0 0 0 0

Additions to Assets 0 0 0 0 0 0

Sundry Debtors 0 0 0 0 0 0

Closing Stock 0 106,740 154,168 213,962 391,246 610,187

Working Capital 500,000
Deposits 0 0 0 0 0

Cash on Hand 0 377,995 393,877 429,905 398,810 387,821

500,000 484,735 548,045 643,866 790,055 998,008

 MADHAVI KIRANA & GENERAL STORES
AJMEERA BADRI

CASH FLOW STATEMENT

PARTICULARS 1st Year 2nd Year 3rd Year 4th Year 5th Year

INFLOWS

Profit for the year 120,515 141,609 184,051 245,609 319,981

Add:Depreciation 0 0 0 0 0

Increase in Capital 25,000 0 0 0 0

Increase in Term Loans 475,000 0 0 0 0

Increase in Unsecured Loans 0 0 0 0 0

Decrease in Cur Assets 0 0 0 0 0

Increase in Cur Liabilities 0 0 0 0 0

620,515 141,609 184,051 245,609 319,981

OUTFLOWS

Increase in Fixed Assets 0 0 0 0 0

Additions to Fixed Assets

(like purchase of own land
& Constuction of Building) 0 0 0 0 0

Decrease in Capital 100,000 0 0 0 0

Decrease in Term Loan 35,780 78,299 88,230 99,419 112,028

Decrease In Term Loan 2 0 0 0 0 0

Increase in Cur Assets

Sundry Debtors 0 0 0 0 0

Closing Stock 106,740 47,428 59,794 177,284 218,941

Deposits 0 0 0 0 0

Decrease in Unsecured loans 0 0 0 0 0

Decrease in Cur Liabilities 0 0 0 0 0

242,520 125,727 148,023 276,704 330,969

Opening Cash Balance 0 377,995 393,877 429,905 398,810

Surplus Cash dur the year 377,995 15,882 36,028 -31,095 -10,988
Closing Cash Balance 377,995 393,877 429,905 398,810 387,821
 MADHAVI KIRANA & GENERAL STORES
AJMEERA BADRI

DEPRECIATION STATEMENT

Particulars of Asset Year Rate of Opening Additions Total Depreciation Closing

Depreciation WDV Rs. Rs. WDV
Rs. Rs.
Furniture & Fixtures 1 5% 0 0 0 0 0
2 5% 0 0 0 0 0
3 5% 0 0 0 0 0
4 5% 0 0 0 0 0
5 5% 0 0 0 0 0

Plant & Machinery 1 15% 0 0 0 0 0

2 15% 0 0 0 0 0
3 15% 0 0 0 0 0
4 15% 0 0 0 0 0
5 15% 0 0 0 0 0
 MADHAVI KIRANA & GENERAL STORES
AJMEERA BADRI

DEBT SERVICE COVERAGE RATIO - I

1st Year 2nd Year 3rd Year 4th Year

5th Year TOTAL

DEBT ( Only Bank Loan)

Principal of Loan 1 35,780 78,299 88,230 99,419 ### 413,756
Principal of Loan 2 0 0 0 0 ### 0
Interest/Fin. Charges 27,616 48,493 38,562 27,373 ### 156,808

Debt(a) 63,396 126,792 126,792 126,792 ### 570,564

SERVICE

Profit aftet Tax 120,515 141,609 184,051 245,609

### 1,011,765
Add:Depreciation 0 0 0 ###
0 0
Add: Financial Charges
Term Loan -1 27,616 48,493 38,562 27,373
### 156,808
Term Loan -2 0 0 0 ###
0 0

Profit before Depreciation &

Financial Charges (b) 148,131 190,102 222,613 272,981
### 1,168,572

Debt Service Ratio(b/a) 2.34 1.50 1.76 2.15 ### 2.05

Average DSCR 2.05

 INTEREST ON BANK TERM LOAN

Loan Amount(In Rs.) 475,000

Rate of Interest 12.00%
Term (in monts) 60

Year

1st year Outstanding Principal Interest Total Outstanding

1 0 0 0 0 0
2 0 0 0 0 0
3 0 0 0 0 0
4 0 0 0 0 0
5 0 0 0 0 0
6 0 0 0 0 0
7 475,000 5,816 4,750 10,566 469,184
8 469,184 5,874 4,692 10,566 463,310
9 463,310 5,933 4,633 10,566 457,377
10 457,377 5,992 4,574 10,566 451,385
11 451,385 6,052 4,514 10,566 445,333
12 445,333 6,113 4,453 10,566 439,220
35,780 27,616 63,396

2nd Year Outstanding Principal Interest Total Outstanding

1 439,220 6,174 4,392 10,566 433,046

2 433,046 6,236 4,330 10,566 426,811
3 426,811 6,298 4,268 10,566 420,513
4 420,513 6,361 4,205 10,566 414,152
5 414,152 6,424 4,142 10,566 407,727
6 407,727 6,489 4,077 10,566 401,239
7 401,239 6,554 4,012 10,566 394,685
8 394,685 6,619 3,947 10,566 388,066
9 388,066 6,685 3,881 10,566 381,380
10 381,380 6,752 3,814 10,566 374,628
11 374,628 6,820 3,746 10,566 367,809
12 367,809 6,888 3,678 10,566 360,921
78,299 48,493 126,792

3rd Year Outstanding Principal Interest Total Outstanding

1 360,921 6,957 3,609 10,566 353,964

2 353,964 7,026 3,540 10,566 346,937
3 346,937 7,097 3,469 10,566 339,841
4 339,841 7,168 3,398 10,566 332,673
5 332,673 7,239 3,327 10,566 325,434
6 325,434 7,312 3,254 10,566 318,122
7 318,122 7,385 3,181 10,566 310,738
8 310,738 7,459 3,107 10,566 303,279
9 303,279 7,533 3,033 10,566 295,746
10 295,746 7,609 2,957 10,566 288,137
11 288,137 7,685 2,881 10,566 280,453
12 280,453 7,761 2,805 10,566 272,691
88,230 38,562 126,792
4th Year Outstanding Principal Interest Total Outstanding

1 272,691 7,839 2,727 10,566 264,852

2 264,852 7,917 2,649 10,566 256,935
3 256,935 7,997 2,569 10,566 248,938
4 248,938 8,077 2,489 10,566 240,861
5 240,861 8,157 2,409 10,566 232,704
6 232,704 8,239 2,327 10,566 224,465
7 224,465 8,321 2,245 10,566 216,144
8 216,144 8,405 2,161 10,566 207,739
9 207,739 8,489 2,077 10,566 199,250
10 199,250 8,573 1,993 10,566 190,677
11 190,677 8,659 1,907 10,566 182,018
12 182,018 8,746 1,820 10,566 173,272
99,419 27,373 126,792

5th Year Outstanding Principal Interest Total Outstanding

1 173,272 8,833 1,733 10,566 164,439

2 164,439 8,922 1,644 10,566 155,517
3 155,517 9,011 1,555 10,566 146,506
4 146,506 9,101 1,465 10,566 137,405
5 137,405 9,192 1,374 10,566 128,213
6 128,213 9,284 1,282 10,566 118,929
7 118,929 9,377 1,189 10,566 109,553
8 109,553 9,470 1,096 10,566 100,082
9 100,082 9,565 1,001 10,566 90,517
10 90,517 9,661 905 10,566 80,856
11 80,856 9,757 809 10,566 71,099
12 71,099 9,855 711 10,566 61,244
112,028 14,764 126,792