Detailed Project Report
Gaura Stone Handicraft
—
Prepared on: 13 November 2026 · Prepared with Building Business DPR (buildingbusiness.in)
01 Project at a glance
- Total project cost
- ₹3.05 L
- Term loan from bank
- ₹1.98 L
- Promoter’s contribution
- ₹0.30 L
- Subsidy
- ₹0.76 L
- Sales · Year 3
- ₹0.00 L
- Profit after tax · Year 3
- ₹-3.44 L
- Average DSCR
- -7.52
- 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
Carve flower vases and showpieces from soft white Gaura stone — the traditional craft of Gaurahari, Mahoba.
| Main product or service | Gaura Stone Handicraft |
|---|---|
| Installed capacity per year (at 100%) | 10,000 units |
04 Market
- Gift and home-décor shops
- Handicraft traders and emporia
- Exporters of stone craft
- Handicraft fairs and exhibitions
- Traders in bigger cities
- Exporters and online craft stores
05 Plant and machinery
| Item | Qty | ₹ | Total ₹ |
|---|---|---|---|
| Stone cutter | 1 | 1,40,000 | 1,40,000 |
| Buffing machine (× 2) | 1 | 70,000 | 70,000 |
| Stone power drill (× 2) | 1 | 30,000 | 30,000 |
| Die grinder (× 2) | 1 | 20,000 | 20,000 |
| Other tools and equipment (× 1 lot) | 1 | 30,000 | 30,000 |
| Total | 2,90,000 |
Pre-filled from: PMEGP sample project report — Gaurastone Handicraft (prepared by Udyami/Samadhan); World Customs Organization – HS Nomenclature 2022 edition. Prices in older reports will have gone up — enter today’s quotations.
06 Raw materials
- Gaura stone — the main raw material; mined around Gaurahari, Mahoba
- Red oxide — for finishing
- Consumables — compass, pencil and similar — for marking designs
07 Cost of project
| ₹ in lakh | |
|---|---|
| Plant and machinery | 2.90 |
| Contingency | 0.15 |
| Total fixed capital | 3.05 |
| Working capital margin | 0.00 |
| Total project cost | 3.05 |
08 Means of finance
| ₹ in lakh | % | |
|---|---|---|
| Promoter’s contribution | 0.30 | 10.0 |
| Subsidy | 0.76 | 25.0 |
| Term loan from bank | 1.98 | 65.0 |
| Total | 3.05 | 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 | 0.06 | 0.06 | 0.06 | 0.06 | 0.06 | 0.06 | 0.06 |
| Insurance | 0.02 | 0.02 | 0.02 | 0.02 | 0.02 | 0.02 | 0.02 |
| Total cost of operations | 2.96 | 2.96 | 2.96 | 2.96 | 2.96 | 2.96 | 2.96 |
| Operating profit (EBITDA) | -2.96 | -2.96 | -2.96 | -2.96 | -2.96 | -2.96 | -2.96 |
| Depreciation | 0.46 | 0.39 | 0.33 | 0.28 | 0.24 | 0.20 | 0.17 |
| Preliminary expenses written off | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Interest on term loan | 0.21 | 0.19 | 0.15 | 0.12 | 0.09 | 0.05 | 0.02 |
| Interest on working capital | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit before tax | -3.63 | -3.53 | -3.44 | -3.36 | -3.28 | -3.21 | -3.15 |
| Income tax | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit after tax | -3.63 | -3.53 | -3.44 | -3.36 | -3.28 | -3.21 | -3.15 |
12 Cash flow
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Profit after tax | -3.63 | -3.53 | -3.44 | -3.36 | -3.28 | -3.21 | -3.15 |
| Depreciation | 0.46 | 0.39 | 0.33 | 0.28 | 0.24 | 0.20 | 0.17 |
| Cash accruals (PAT + depreciation) | -3.17 | -3.14 | -3.11 | -3.07 | -3.04 | -3.01 | -2.97 |
| Term loan repaid | 0.15 | 0.30 | 0.30 | 0.30 | 0.30 | 0.30 | 0.30 |
| Owner’s drawings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Surplus after repayment | -3.32 | -3.45 | -3.41 | -3.38 | -3.35 | -3.31 | -3.28 |
| Cash and bank | -3.32 | -6.77 | -10.18 | -13.56 | -16.91 | -20.22 | -23.50 |
13 Projected balance sheet
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Capital (own + subsidy) | 1.07 | 1.07 | 1.07 | 1.07 | 1.07 | 1.07 | 1.07 |
| Reserves and surplus | -3.63 | -7.16 | -10.60 | -13.95 | -17.23 | -20.44 | -23.59 |
| Term loan outstanding | 1.83 | 1.52 | 1.22 | 0.91 | 0.61 | 0.30 | 0.00 |
| Working capital loan | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total liabilities | -0.73 | -4.57 | -8.31 | -11.97 | -15.56 | -19.07 | -22.52 |
| Net fixed assets | 2.59 | 2.20 | 1.87 | 1.59 | 1.35 | 1.15 | 0.98 |
| 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 | -3.32 | -6.77 | -10.18 | -13.56 | -16.91 | -20.22 | -23.50 |
| Total assets | -0.73 | -4.57 | -8.31 | -11.97 | -15.56 | -19.07 | -22.52 |
14 Ratios and break-even
| Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Debt service coverage ratio (DSCR) | -8.07 | -6.03 | -6.47 | -6.99 | -7.59 | -8.30 | -9.16 |
| Break-even (% of capacity used) | — | — | — | — | — | — | — |
| Cash break-even | — | — | — | — | — | — | — |
| Average DSCR | -7.52 |
|---|---|
| Lowest DSCR | -9.16 |
| Payback period | — |
15 Depreciation
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Depreciation | 0.46 | 0.39 | 0.33 | 0.28 | 0.24 | 0.20 | 0.17 |
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 | 1.98 | 0.21 | 0.15 | 1.83 |
| 2 | 1.83 | 0.19 | 0.30 | 1.52 |
| 3 | 1.52 | 0.15 | 0.30 | 1.22 |
| 4 | 1.22 | 0.12 | 0.30 | 0.91 |
| 5 | 0.91 | 0.09 | 0.30 | 0.61 |
| 6 | 0.61 | 0.05 | 0.30 | 0.30 |
| 7 | 0.30 | 0.02 | 0.30 | 0.00 |
17 Licences and registrations
- Udyam registration
- GST registration
- Artisan card (handicraft scheme benefits)
- Proof that the stone is bought from a legal source
- State Pollution Control Board consent if required for dust
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 — Gaurastone Handicraft (prepared by Udyami/Samadhan) — https://pmegp.msme.gov.in/Home/DownloadDocument?fileName=Documents/ProjectSampleReport/Gaurastone_Handicraft_%28_Samadhan_Projects_%29.pdf
- World Customs Organization – HS Nomenclature 2022 edition — https://www.wcoomd.org/en/topics/nomenclature/instrument-and-tools/hs-nomenclature-2022-edition/hs-nomenclature-2022-edition.aspx
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.