Detailed Project Report
All-Purpose Skin Cream
—
Prepared on: 27 October 2026 · Prepared with Building Business DPR (buildingbusiness.in)
01 Project at a glance
- Total project cost
- ₹3.60 L
- Term loan from bank
- ₹2.34 L
- Promoter’s contribution
- ₹0.36 L
- Subsidy
- ₹0.90 L
- Sales · Year 3
- ₹0.00 L
- Profit after tax · Year 3
- ₹-3.54 L
- Average DSCR
- -6.38
- 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
Make a white moisturising cream from stearic acid, lanolin, paraffin and glycerine and fill it into jars.
| Main product or service | All-Purpose Skin Cream |
|---|---|
| Installed capacity per year (at 100%) | 10,000 units |
04 Market
- Office workers, students and other skin-conscious buyers
- Beauty parlours
- Rural and small-town households
- Cosmetic and general stores
- Beauty parlours
- Private-label supply
05 Plant and machinery
| Item | Qty | ₹ | Total ₹ |
|---|---|---|---|
| SS jacketed vessel with heating, stirrer and speed control, 200 kg | 1 | 1,50,000 | 1,50,000 |
| SS vessel with heating arrangement | 1 | 50,000 | 50,000 |
| Semi-automatic filling machine | 1 | 45,000 | 45,000 |
| SS storage tanks, 200 litres (× 2) | 1 | 30,000 | 30,000 |
| Testing and laboratory equipment | 1 | 30,000 | 30,000 |
| Water circulating pump ½ HP, tools and misc. equipment | 1 | 7,500 | 7,500 |
| Installation and electrification (10%) | 1 | 30,750 | 30,750 |
| Total | 3,43,250 |
Pre-filled from: PMEGP sample project report — All Purpose Cream (prepared by Udyami/Samadhan). Prices in older reports will have gone up — enter today’s quotations.
06 Raw materials
- Light liquid paraffin — 11,340 kg a year at ₹80/kg at full capacity
- Stearic acid — 6,780 kg a year at ₹73/kg
- Ethoxy lanolin — 1,824 kg a year at ₹800/kg
- Glycerine, borax, triethanolamine, beeswax, parabens and perfume — smaller quantities; perfume 360 kg at ₹800/kg
- Plastic jars (100 g and 200 g) and corrugated boxes — 2,11,200 jars of 100 g at ₹5 and 1,20,600 of 200 g at ₹6.50
07 Cost of project
| ₹ in lakh | |
|---|---|
| Plant and machinery | 3.43 |
| Contingency | 0.17 |
| Total fixed capital | 3.60 |
| Working capital margin | 0.00 |
| Total project cost | 3.60 |
08 Means of finance
| ₹ in lakh | % | |
|---|---|---|
| Promoter’s contribution | 0.36 | 10.0 |
| Subsidy | 0.90 | 25.0 |
| Term loan from bank | 2.34 | 65.0 |
| Total | 3.60 | 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 | 0.07 | 0.07 | 0.07 | 0.07 | 0.07 | 0.07 | 0.07 |
| Insurance | 0.02 | 0.02 | 0.02 | 0.02 | 0.02 | 0.02 | 0.02 |
| Total cost of operations | 2.97 | 2.97 | 2.97 | 2.97 | 2.97 | 2.97 | 2.97 |
| Operating profit (EBITDA) | -2.97 | -2.97 | -2.97 | -2.97 | -2.97 | -2.97 | -2.97 |
| Depreciation | 0.54 | 0.46 | 0.39 | 0.33 | 0.28 | 0.24 | 0.20 |
| Preliminary expenses written off | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Interest on term loan | 0.25 | 0.22 | 0.18 | 0.14 | 0.10 | 0.06 | 0.02 |
| Interest on working capital | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit before tax | -3.76 | -3.65 | -3.54 | -3.44 | -3.35 | -3.27 | -3.20 |
| Income tax | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit after tax | -3.76 | -3.65 | -3.54 | -3.44 | -3.35 | -3.27 | -3.20 |
12 Cash flow
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Profit after tax | -3.76 | -3.65 | -3.54 | -3.44 | -3.35 | -3.27 | -3.20 |
| Depreciation | 0.54 | 0.46 | 0.39 | 0.33 | 0.28 | 0.24 | 0.20 |
| Cash accruals (PAT + depreciation) | -3.22 | -3.19 | -3.15 | -3.11 | -3.07 | -3.03 | -2.99 |
| Term loan repaid | 0.18 | 0.36 | 0.36 | 0.36 | 0.36 | 0.36 | 0.36 |
| Owner’s drawings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Surplus after repayment | -3.40 | -3.55 | -3.51 | -3.47 | -3.43 | -3.39 | -3.35 |
| Cash and bank | -3.40 | -6.95 | -10.46 | -13.94 | -17.37 | -20.76 | -24.11 |
13 Projected balance sheet
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Capital (own + subsidy) | 1.26 | 1.26 | 1.26 | 1.26 | 1.26 | 1.26 | 1.26 |
| Reserves and surplus | -3.76 | -7.41 | -10.95 | -14.40 | -17.75 | -21.02 | -24.22 |
| Term loan outstanding | 2.16 | 1.80 | 1.44 | 1.08 | 0.72 | 0.36 | 0.00 |
| Working capital loan | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total liabilities | -0.34 | -4.35 | -8.25 | -12.05 | -15.77 | -19.40 | -22.96 |
| Net fixed assets | 3.06 | 2.60 | 2.21 | 1.88 | 1.60 | 1.36 | 1.16 |
| 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 | -3.40 | -6.95 | -10.46 | -13.94 | -17.37 | -20.76 | -24.11 |
| Total assets | -0.34 | -4.35 | -8.25 | -12.05 | -15.77 | -19.40 | -22.96 |
14 Ratios and break-even
| Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Debt service coverage ratio (DSCR) | -6.85 | -5.12 | -5.50 | -5.93 | -6.44 | -7.05 | -7.78 |
| Break-even (% of capacity used) | — | — | — | — | — | — | — |
| Cash break-even | — | — | — | — | — | — | — |
| Average DSCR | -6.38 |
|---|---|
| Lowest DSCR | -7.78 |
| Payback period | — |
15 Depreciation
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Depreciation | 0.54 | 0.46 | 0.39 | 0.33 | 0.28 | 0.24 | 0.20 |
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 | 2.34 | 0.25 | 0.18 | 2.16 |
| 2 | 2.16 | 0.22 | 0.36 | 1.80 |
| 3 | 1.80 | 0.18 | 0.36 | 1.44 |
| 4 | 1.44 | 0.14 | 0.36 | 1.08 |
| 5 | 1.08 | 0.10 | 0.36 | 0.72 |
| 6 | 0.72 | 0.06 | 0.36 | 0.36 |
| 7 | 0.36 | 0.02 | 0.36 | 0.00 |
17 Licences and registrations
- Cosmetics manufacturing licence from the state drug controller (Drugs and Cosmetics Act)
- Udyam
- GST
- Pollution consent as per state category
- Legal Metrology registration for packaged goods
- Trademark for the brand (optional)
18 Government schemes that may apply
- Prime Minister's Employment Generation Programme (PMEGP)
- Pradhan Mantri MUDRA Yojana (PMMY) – Shishu, Kishor, Tarun, Tarun Plus
- Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE)
19 Sources
- PMEGP sample project report — All Purpose Cream (prepared by Udyami/Samadhan) — https://pmegp.msme.gov.in/Home/DownloadDocument?fileName=Documents/ProjectSampleReport/All_Purpose_cream_%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.