Detailed Project Report
Hand Sanitizer Manufacturing
—
Prepared on: 13 November 2026 · Prepared with Building Business DPR (buildingbusiness.in)
01 Project at a glance
- Total project cost
- ₹15.80 L
- Term loan from bank
- ₹10.27 L
- Promoter’s contribution
- ₹1.58 L
- Subsidy
- ₹3.95 L
- Sales · Year 3
- ₹0.00 L
- Profit after tax · Year 3
- ₹-5.78 L
- Average DSCR
- -1.60
- 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 isopropyl alcohol, water and gel agents into hand sanitiser and fill 200 ml bottles.
| Main product or service | Hand Sanitizer Manufacturing |
|---|---|
| Installed capacity per year (at 100%) | 10,000 units |
04 Market
- Pharmacies and general stores
- Hospitals and clinics
- Offices, schools and hotels
- Distributors and wholesalers
- Direct institutional supply
- Private label and online sale
05 Plant and machinery
| Item | Qty | ₹ | Total ₹ |
|---|---|---|---|
| High-speed agitator with 500 litre tank | 1 | 3,20,000 | 3,20,000 |
| Storage tank, 1,000 litre | 1 | 2,85,000 | 2,85,000 |
| Transfer pump (× 2) | 1 | 1,50,000 | 1,50,000 |
| Automatic filling and capping machine | 1 | 7,50,000 | 7,50,000 |
| Total | 15,05,000 |
Pre-filled from: PMEGP sample project report — Hand Sanitizer (prepared by Udyami/Samadhan). Prices in older reports will have gone up — enter today’s quotations.
06 Raw materials
- Isopropyl alcohol, distilled water and other ingredients (as a group) — ₹198 per litre of sanitiser in the report — ₹39.60 per 200 ml bottle
- Carbopol 940, triethanolamine, glycerine, polysorbate 20, preservative, perfume — listed as essential ingredients
- Neem, peppermint extract, clove oil — optional additives
- Sanitiser bottles — 200 ml bottles
07 Cost of project
| ₹ in lakh | |
|---|---|
| Plant and machinery | 15.05 |
| Contingency | 0.75 |
| Total fixed capital | 15.80 |
| Working capital margin | 0.00 |
| Total project cost | 15.80 |
08 Means of finance
| ₹ in lakh | % | |
|---|---|---|
| Promoter’s contribution | 1.58 | 10.0 |
| Subsidy | 3.95 | 25.0 |
| Term loan from bank | 10.27 | 65.0 |
| Total | 15.80 | 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 | 0.32 | 0.32 | 0.32 | 0.32 | 0.32 | 0.32 | 0.32 |
| Insurance | 0.08 | 0.08 | 0.08 | 0.08 | 0.08 | 0.08 | 0.08 |
| Total cost of operations | 3.28 | 3.28 | 3.28 | 3.28 | 3.28 | 3.28 | 3.28 |
| Operating profit (EBITDA) | -3.28 | -3.28 | -3.28 | -3.28 | -3.28 | -3.28 | -3.28 |
| Depreciation | 2.37 | 2.01 | 1.71 | 1.46 | 1.24 | 1.05 | 0.89 |
| Preliminary expenses written off | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Interest on term loan | 1.11 | 0.96 | 0.79 | 0.62 | 0.44 | 0.27 | 0.09 |
| Interest on working capital | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit before tax | -6.76 | -6.25 | -5.78 | -5.35 | -4.95 | -4.59 | -4.26 |
| Income tax | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit after tax | -6.76 | -6.25 | -5.78 | -5.35 | -4.95 | -4.59 | -4.26 |
12 Cash flow
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Profit after tax | -6.76 | -6.25 | -5.78 | -5.35 | -4.95 | -4.59 | -4.26 |
| Depreciation | 2.37 | 2.01 | 1.71 | 1.46 | 1.24 | 1.05 | 0.89 |
| Cash accruals (PAT + depreciation) | -4.39 | -4.24 | -4.06 | -3.89 | -3.72 | -3.54 | -3.37 |
| Term loan repaid | 0.79 | 1.58 | 1.58 | 1.58 | 1.58 | 1.58 | 1.58 |
| Owner’s drawings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Surplus after repayment | -5.18 | -5.82 | -5.64 | -5.47 | -5.30 | -5.12 | -4.95 |
| Cash and bank | -5.18 | -11.00 | -16.64 | -22.11 | -27.41 | -32.53 | -37.48 |
13 Projected balance sheet
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Capital (own + subsidy) | 5.53 | 5.53 | 5.53 | 5.53 | 5.53 | 5.53 | 5.53 |
| Reserves and surplus | -6.76 | -13.01 | -18.79 | -24.13 | -29.09 | -33.68 | -37.95 |
| Term loan outstanding | 9.48 | 7.90 | 6.32 | 4.74 | 3.16 | 1.58 | 0.00 |
| Working capital loan | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total liabilities | 8.26 | 0.42 | -6.94 | -13.86 | -20.40 | -26.57 | -32.42 |
| Net fixed assets | 13.43 | 11.42 | 9.70 | 8.25 | 7.01 | 5.96 | 5.07 |
| 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 | -5.18 | -11.00 | -16.64 | -22.11 | -27.41 | -32.53 | -37.48 |
| Total assets | 8.26 | 0.42 | -6.94 | -13.86 | -20.40 | -26.57 | -32.42 |
14 Ratios and break-even
| Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Debt service coverage ratio (DSCR) | -1.72 | -1.29 | -1.38 | -1.49 | -1.62 | -1.77 | -1.96 |
| Break-even (% of capacity used) | — | — | — | — | — | — | — |
| Cash break-even | — | — | — | — | — | — | — |
| Average DSCR | -1.60 |
|---|---|
| Lowest DSCR | -1.96 |
| Payback period | — |
15 Depreciation
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Depreciation | 2.37 | 2.01 | 1.71 | 1.46 | 1.24 | 1.05 | 0.89 |
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 | 10.27 | 1.11 | 0.79 | 9.48 |
| 2 | 9.48 | 0.96 | 1.58 | 7.90 |
| 3 | 7.90 | 0.79 | 1.58 | 6.32 |
| 4 | 6.32 | 0.62 | 1.58 | 4.74 |
| 5 | 4.74 | 0.44 | 1.58 | 3.16 |
| 6 | 3.16 | 0.27 | 1.58 | 1.58 |
| 7 | 1.58 | 0.09 | 1.58 | 0.00 |
17 Licences and registrations
- Licence from the State Drugs Controller (FDCA) — the report lists this
- Udyam
- GST
- Fire safety NOC for alcohol storage
- Legal Metrology packaged commodity registration
- Trademark (optional)
18 Government schemes that may apply
- Prime Minister's Employment Generation Programme (PMEGP)
- Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE)
- Stand-Up India
19 Sources
- PMEGP sample project report — Hand Sanitizer (prepared by Udyami/Samadhan) — https://pmegp.msme.gov.in/Home/DownloadDocument?fileName=Documents/ProjectSampleReport/Hand_Sanitizer_%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.