Detailed Project Report
Heavy Fabrication (Tanks, Pressure Vessels, Piping)
—
Prepared on: 13 November 2026 · Prepared with Building Business DPR (buildingbusiness.in)
01 Project at a glance
- Total project cost
- ₹74.87 L
- Term loan from bank
- ₹67.38 L
- Promoter’s contribution
- ₹7.49 L
- Sales · Year 3
- ₹0.00 L
- Profit after tax · Year 3
- ₹-18.04 L
- Average DSCR
- -0.35
- 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
Cut, roll, weld, machine and test heavy steel plate into storage tanks, tankers, pressure and reaction vessels and process piping.
| Main product or service | Heavy Fabrication (Tanks, Pressure Vessels, Piping) |
|---|---|
| Installed capacity per year (at 100%) | 10,000 units |
04 Market
- Chemical and petrochemical plants
- Pharma, food and dairy plants
- Power plants and boiler makers
- Shipbuilders and tanker makers
- Tenders and project contracts
- Approved-vendor lists of large companies
- EPC contractors
05 Plant and machinery
| Item | Qty | ₹ | Total ₹ |
|---|---|---|---|
| Heavy-duty saw machine | 1 | 2,00,000 | 2,00,000 |
| Laser / plasma plate cutting machine | 1 | 8,00,000 | 8,00,000 |
| Hydraulic press brake, 800 T | 1 | 8,00,000 | 8,00,000 |
| 3-roller plate bending machine (× 2) | 1 | 2,50,000 | 2,50,000 |
| TIG / MIG / SAW welding machine (× 6) | 1 | 2,50,000 | 2,50,000 |
| Welding positioner (× 3) | 1 | 80,000 | 80,000 |
| Shot blasting machine | 1 | 4,50,000 | 4,50,000 |
| Weld heat treatment plant | 1 | 2,00,000 | 2,00,000 |
| Radial drill machine | 1 | 6,00,000 | 6,00,000 |
| Vertical lathe, 2.5 m table | 1 | 10,00,000 | 10,00,000 |
| Heavy-duty lathe, 3 m bed | 1 | 7,50,000 | 7,50,000 |
| Ultrasonic / magnetic particle test system (× 2) | 1 | 2,50,000 | 2,50,000 |
| X-ray test system | 1 | 6,00,000 | 6,00,000 |
| Jib crane and hoists (× lump sum) | 1 | 2,00,000 | 2,00,000 |
| Air compressor and air handling | 1 | 2,50,000 | 2,50,000 |
| EOT crane | 1 | 4,50,000 | 4,50,000 |
| Total | 71,30,000 |
Pre-filled from: SIDBI Stand-Up Mitra project profile — Heavy Fabrication; World Customs Organization – HS Nomenclature 2022, Chapter 73. Prices in older reports will have gone up — enter today’s quotations.
06 Raw materials
- Steel plates, pipes and sections of various grades — ₹30–250 a kg in the profile depending on grade; often charged to the customer at actual
- Welding wire, flux, electrodes and gases — consumables for TIG, MIG and SAW welding
07 Cost of project
| ₹ in lakh | |
|---|---|
| Plant and machinery | 71.30 |
| Contingency | 3.57 |
| Total fixed capital | 74.87 |
| Working capital margin | 0.00 |
| Total project cost | 74.87 |
08 Means of finance
| ₹ in lakh | % | |
|---|---|---|
| Promoter’s contribution | 7.49 | 10.0 |
| Term loan from bank | 67.38 | 90.0 |
| Total | 74.87 | 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 | 1.50 | 1.50 | 1.50 | 1.50 | 1.50 | 1.50 | 1.50 |
| Insurance | 0.37 | 0.37 | 0.37 | 0.37 | 0.37 | 0.37 | 0.37 |
| Total cost of operations | 4.75 | 4.75 | 4.75 | 4.75 | 4.75 | 4.75 | 4.75 |
| Operating profit (EBITDA) | -4.75 | -4.75 | -4.75 | -4.75 | -4.75 | -4.75 | -4.75 |
| Depreciation | 11.23 | 9.55 | 8.11 | 6.90 | 5.86 | 4.98 | 4.24 |
| Preliminary expenses written off | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Interest on term loan | 7.29 | 6.32 | 5.18 | 4.04 | 2.90 | 1.76 | 0.62 |
| Interest on working capital | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit before tax | -23.27 | -20.62 | -18.04 | -15.69 | -13.51 | -11.49 | -9.60 |
| Income tax | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit after tax | -23.27 | -20.62 | -18.04 | -15.69 | -13.51 | -11.49 | -9.60 |
12 Cash flow
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Profit after tax | -23.27 | -20.62 | -18.04 | -15.69 | -13.51 | -11.49 | -9.60 |
| Depreciation | 11.23 | 9.55 | 8.11 | 6.90 | 5.86 | 4.98 | 4.24 |
| Cash accruals (PAT + depreciation) | -12.04 | -11.07 | -9.93 | -8.79 | -7.65 | -6.51 | -5.37 |
| Term loan repaid | 5.18 | 10.37 | 10.37 | 10.37 | 10.37 | 10.37 | 10.37 |
| Owner’s drawings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Surplus after repayment | -17.23 | -21.44 | -20.30 | -19.16 | -18.02 | -16.88 | -15.74 |
| Cash and bank | -17.23 | -38.66 | -58.96 | -78.12 | -96.13 | -113.01 | -128.74 |
13 Projected balance sheet
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Capital (own + subsidy) | 7.49 | 7.49 | 7.49 | 7.49 | 7.49 | 7.49 | 7.49 |
| Reserves and surplus | -23.27 | -43.89 | -61.93 | -77.62 | -91.13 | -102.62 | -112.23 |
| Term loan outstanding | 62.20 | 51.83 | 41.46 | 31.10 | 20.73 | 10.37 | 0.00 |
| Working capital loan | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total liabilities | 46.41 | 15.43 | -12.98 | -39.04 | -62.91 | -84.77 | -104.74 |
| Net fixed assets | 63.64 | 54.09 | 45.98 | 39.08 | 33.22 | 28.24 | 24.00 |
| 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 | -17.23 | -38.66 | -58.96 | -78.12 | -96.13 | -113.01 | -128.74 |
| Total assets | 46.41 | 15.43 | -12.98 | -39.04 | -62.91 | -84.77 | -104.74 |
14 Ratios and break-even
| Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Debt service coverage ratio (DSCR) | -0.38 | -0.28 | -0.31 | -0.33 | -0.36 | -0.39 | -0.43 |
| Break-even (% of capacity used) | — | — | — | — | — | — | — |
| Cash break-even | — | — | — | — | — | — | — |
| Average DSCR | -0.35 |
|---|---|
| Lowest DSCR | -0.43 |
| Payback period | — |
15 Depreciation
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Depreciation | 11.23 | 9.55 | 8.11 | 6.90 | 5.86 | 4.98 | 4.24 |
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 | 67.38 | 7.29 | 5.18 | 62.20 |
| 2 | 62.20 | 6.32 | 10.37 | 51.83 |
| 3 | 51.83 | 5.18 | 10.37 | 41.46 |
| 4 | 41.46 | 4.04 | 10.37 | 31.10 |
| 5 | 31.10 | 2.90 | 10.37 | 20.73 |
| 6 | 20.73 | 1.76 | 10.37 | 10.37 |
| 7 | 10.37 | 0.62 | 10.37 | 0.00 |
17 Licences and registrations
- Udyam registration
- GST registration
- Factory licence
- State Pollution Control Board consent
- PESO approval if you make pressure vessels for compressed gases
- Boiler and IBR approvals if you make boiler-related pressure parts
- Fire safety clearance; radiation (AERB) clearance for X-ray testing
18 Government schemes that may apply
- Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE)
- Stand-Up India
19 Sources
- SIDBI Stand-Up Mitra project profile — Heavy Fabrication — https://www.standupmitra.in/Default/ViewFile/?id=1521212437141_Heavy%20Fabrication.docx&path=ProjectProfile
- World Customs Organization – HS Nomenclature 2022, Chapter 73 — https://www.wcoomd.org/-/media/wco/public/global/pdf/topics/nomenclature/instruments-and-tools/hs-nomenclature-2022/2022/1573_2022e.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.