Detailed Project Report
Air Freshener Spray
—
Prepared on: 29 October 2026 · Prepared with Building Business DPR (buildingbusiness.in)
01 Project at a glance
- Total project cost
- ₹15.23 L
- Term loan from bank
- ₹9.90 L
- Promoter’s contribution
- ₹1.52 L
- Subsidy
- ₹3.81 L
- Sales · Year 3
- ₹0.00 L
- Profit after tax · Year 3
- ₹-5.67 L
- Average DSCR
- -1.66
- Break-even (% of capacity used)
- —
02 Promoter and unit
| Promoter name | — |
|---|---|
| Business / firm name | — |
| Legal form | Proprietorship |
| Address of the unit | — |
| Applicant category | General · Rural |
03 The project
Blend alcohol, water, fragrance and surfactant and fill it into spray cans or bottles as room freshener.
| Main product or service | Air Freshener Spray |
|---|---|
| Installed capacity per year (at 100%) | 10,000 units |
04 Market
- Households
- Hotels and restaurants
- Hospitals and medical facilities
- Malls, gyms, offices and auto showrooms
- Housekeeping and hygiene suppliers
- FMCG distributors and retail
- Direct institutional supply
05 Plant and machinery
| Item | Qty | ₹ | Total ₹ |
|---|---|---|---|
| Stainless-steel mixing tanks with PLC-controlled agitator | 1 | 0 | 0 |
| Aerosol/bottle filling machine (30–250 ml, 500–1,500 bottles an hour) | 1 | 0 | 0 |
| Industrial demineralised water plant | 1 | 0 | 0 |
| Hot-water bath for leak testing | 1 | 0 | 0 |
| High-pressure air blowers for drying | 1 | 0 | 0 |
| All plant and machinery (total) | 1 | 14,50,000 | 14,50,000 |
| Total | 14,50,000 |
Pre-filled from: PMEGP sample project report — Air Freshener Manufacturing Unit (prepared by Udyami/Samadhan). Prices in older reports will have gone up — enter today’s quotations.
06 Raw materials
- De-ionised water — base
- Isopropyl, ethyl or methyl alcohol — solvent; flammable
- Surfactant (e.g. nonylphenol ethoxylate), fragrance and colours — formulation
- Preservative (sodium benzoate), anti-microbial agents and anti-oxidants — formulation
- Spray bottles or cans, nozzles and caps — packaging
07 Cost of project
| ₹ in lakh | |
|---|---|
| Plant and machinery | 14.50 |
| Contingency | 0.73 |
| Total fixed capital | 15.23 |
| Working capital margin | 0.00 |
| Total project cost | 15.23 |
08 Means of finance
| ₹ in lakh | % | |
|---|---|---|
| Promoter’s contribution | 1.52 | 10.0 |
| Subsidy | 3.81 | 25.0 |
| Term loan from bank | 9.90 | 65.0 |
| Total | 15.23 | 100.0 |
| Working capital loan (outside project cost) | 0.00 |
09 Key assumptions
| Selling price | ₹0 per units |
|---|---|
| Raw material & packing cost | ₹0 per units |
| Capacity used each year | 60% · 70% · 80% · 80% · 80% · 80% · 80% |
| Term loan interest rate (% a year) | 11% · 84 months (Moratorium 6) |
| Working capital method | Turnover method (RBI) · Working capital interest (% a year) 11% |
| Income tax rate | 25% |
| Yearly price and cost rise | 0% |
10 Production and sales
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Capacity used | 60% | 70% | 80% | 80% | 80% | 80% | 80% |
| Production (units) | 6,000 | 7,000 | 8,000 | 8,000 | 8,000 | 8,000 | 8,000 |
| Sales | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
11 Projected profitability
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Sales | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Raw material and packing | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Power and fuel | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Salaries and wages | 2.88 | 2.88 | 2.88 | 2.88 | 2.88 | 2.88 | 2.88 |
| Rent | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Administration | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Selling and distribution | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Repairs and maintenance | 0.30 | 0.30 | 0.30 | 0.30 | 0.30 | 0.30 | 0.30 |
| Insurance | 0.08 | 0.08 | 0.08 | 0.08 | 0.08 | 0.08 | 0.08 |
| Total cost of operations | 3.26 | 3.26 | 3.26 | 3.26 | 3.26 | 3.26 | 3.26 |
| Operating profit (EBITDA) | -3.26 | -3.26 | -3.26 | -3.26 | -3.26 | -3.26 | -3.26 |
| Depreciation | 2.28 | 1.94 | 1.65 | 1.40 | 1.19 | 1.01 | 0.86 |
| Preliminary expenses written off | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Interest on term loan | 1.07 | 0.93 | 0.76 | 0.59 | 0.43 | 0.26 | 0.09 |
| Interest on working capital | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit before tax | -6.62 | -6.13 | -5.67 | -5.26 | -4.88 | -4.53 | -4.21 |
| Income tax | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit after tax | -6.62 | -6.13 | -5.67 | -5.26 | -4.88 | -4.53 | -4.21 |
12 Cash flow
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Profit after tax | -6.62 | -6.13 | -5.67 | -5.26 | -4.88 | -4.53 | -4.21 |
| Depreciation | 2.28 | 1.94 | 1.65 | 1.40 | 1.19 | 1.01 | 0.86 |
| Cash accruals (PAT + depreciation) | -4.33 | -4.19 | -4.02 | -3.85 | -3.69 | -3.52 | -3.35 |
| Term loan repaid | 0.76 | 1.52 | 1.52 | 1.52 | 1.52 | 1.52 | 1.52 |
| Owner’s drawings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Surplus after repayment | -5.09 | -5.71 | -5.54 | -5.38 | -5.21 | -5.04 | -4.87 |
| Cash and bank | -5.09 | -10.80 | -16.35 | -21.72 | -26.93 | -31.97 | -36.85 |
13 Projected balance sheet
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Capital (own + subsidy) | 5.33 | 5.33 | 5.33 | 5.33 | 5.33 | 5.33 | 5.33 |
| Reserves and surplus | -6.62 | -12.75 | -18.42 | -23.67 | -28.55 | -33.08 | -37.30 |
| Term loan outstanding | 9.14 | 7.61 | 6.09 | 4.57 | 3.05 | 1.52 | 0.00 |
| Working capital loan | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total liabilities | 7.85 | 0.20 | -7.00 | -13.78 | -20.18 | -26.23 | -31.97 |
| Net fixed assets | 12.94 | 11.00 | 9.35 | 7.95 | 6.76 | 5.74 | 4.88 |
| Preliminary expenses not written off | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Current assets (stock and debtors) | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Cash and bank | -5.09 | -10.80 | -16.35 | -21.72 | -26.93 | -31.97 | -36.85 |
| Total assets | 7.85 | 0.20 | -7.00 | -13.78 | -20.18 | -26.23 | -31.97 |
14 Ratios and break-even
| Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Debt service coverage ratio (DSCR) | -1.78 | -1.33 | -1.43 | -1.54 | -1.67 | -1.83 | -2.02 |
| Break-even (% of capacity used) | — | — | — | — | — | — | — |
| Cash break-even | — | — | — | — | — | — | — |
| Average DSCR | -1.66 |
|---|---|
| Lowest DSCR | -2.02 |
| Payback period | — |
15 Depreciation
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Depreciation | 2.28 | 1.94 | 1.65 | 1.40 | 1.19 | 1.01 | 0.86 |
Written-down value method at Income-tax Rules block rates (building 10%, plant & machinery 15%, furniture 10%, computers 40%). Change them if your CA uses other rates.
16 Term loan repayment
| Year | Opening | Interest | Term loan repaid | Closing |
|---|---|---|---|---|
| 1 | 9.90 | 1.07 | 0.76 | 9.14 |
| 2 | 9.14 | 0.93 | 1.52 | 7.61 |
| 3 | 7.61 | 0.76 | 1.52 | 6.09 |
| 4 | 6.09 | 0.59 | 1.52 | 4.57 |
| 5 | 4.57 | 0.43 | 1.52 | 3.05 |
| 6 | 3.05 | 0.26 | 1.52 | 1.52 |
| 7 | 1.52 | 0.09 | 1.52 | 0.00 |
17 Licences and registrations
- BIS registration (listed in the report)
- Trade licence
- Udyam
- GST
- Pollution Control Board NOC
- Fire NOC (flammable materials)
- Legal Metrology registration for packaged goods
18 Government schemes that may apply
- Prime Minister's Employment Generation Programme (PMEGP)
- Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE)
19 Sources
- PMEGP sample project report — Air Freshener Manufacturing Unit (prepared by Udyami/Samadhan) — https://pmegp.msme.gov.in/Home/DownloadDocument?fileName=Documents/ProjectSampleReport/Air_Freshner_%28_Samadhan_Projects_%29.pdf
This report is a projection from the figures entered by the promoter. It is not a bank appraisal or a guarantee of a loan or subsidy. Check every figure with current quotations and your chartered accountant before submitting it.