Detailed Project Report
Industrial Centrifugal Pump Manufacturing (150 mm)
—
Prepared on: 13 November 2026 · Prepared with Building Business DPR (buildingbusiness.in)
01 Project at a glance
- Total project cost
- ₹34.21 L
- Term loan from bank
- ₹30.79 L
- Promoter’s contribution
- ₹3.42 L
- Sales · Year 3
- ₹0.00 L
- Profit after tax · Year 3
- ₹-9.81 L
- Average DSCR
- -0.61
- 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
Machine cast-iron casings, bronze impellers and steel shafts, then assemble and test 150 mm centrifugal pumps for industry, water works and dewatering.
| Main product or service | Industrial Centrifugal Pump Manufacturing (150 mm) |
|---|---|
| Installed capacity per year (at 100%) | 10,000 units |
04 Market
- Process industries — oil and gas, chemicals, pharmaceuticals, paper, textiles, food and power plants
- Water and sewage treatment plants
- Construction sites and mines that need dewatering
- Agriculture
- Direct sale to factories and project contractors
- Pump dealers and distributors
- Government and public-sector tenders
05 Plant and machinery
| Item | Qty | ₹ | Total ₹ |
|---|---|---|---|
| Hacksaw machine, 600 mm stroke (× 2) | 1 | 80,000 | 80,000 |
| Lathe machine (300 mm centre height × 800 mm bed length) (× 2) | 1 | 7,00,000 | 7,00,000 |
| Universal milling machine | 1 | 2,50,000 | 2,50,000 |
| Slotting machine (× 2) | 1 | 70,000 | 70,000 |
| Lathe machine (150 mm centre height × 1,000 mm bed length) (× 3) | 1 | 2,25,000 | 2,25,000 |
| Pillar drilling machine, 25 mm capacity (× 2) | 1 | 80,000 | 80,000 |
| Motor testing apparatus (× 2) | 1 | 30,000 | 30,000 |
| Pump test system as per BIS (hydraulic testing machine, impeller balancing machine, electromagnetic flow meter with piping and valves, pressure and vacuum gauges, tachometer, electrical meters) | 1 | 17,23,000 | 17,23,000 |
| Tools, jigs, fixtures and gauges | 1 | 1,00,000 | 1,00,000 |
| Total | 32,58,000 |
Pre-filled from: DC-MSME import-substitution DPR — Centrifugal Pumps. Prices in older reports will have gone up — enter today’s quotations.
06 Raw materials
- Cast-iron castings — 40 tonnes a month at ₹70,000 a tonne
- Steel rod — 6 tonnes a month at ₹1,00,000 a tonne
- Bronze — 4 tonnes a month at ₹6,00,000 a tonne
- Other bought-out items — ₹25,00,000 a month, lump sum
07 Cost of project
| ₹ in lakh | |
|---|---|
| Plant and machinery | 32.58 |
| Contingency | 1.63 |
| Total fixed capital | 34.21 |
| Working capital margin | 0.00 |
| Total project cost | 34.21 |
08 Means of finance
| ₹ in lakh | % | |
|---|---|---|
| Promoter’s contribution | 3.42 | 10.0 |
| Term loan from bank | 30.79 | 90.0 |
| Total | 34.21 | 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 | 0.68 | 0.68 | 0.68 | 0.68 | 0.68 | 0.68 | 0.68 |
| Insurance | 0.17 | 0.17 | 0.17 | 0.17 | 0.17 | 0.17 | 0.17 |
| Total cost of operations | 3.74 | 3.74 | 3.74 | 3.74 | 3.74 | 3.74 | 3.74 |
| Operating profit (EBITDA) | -3.74 | -3.74 | -3.74 | -3.74 | -3.74 | -3.74 | -3.74 |
| Depreciation | 5.13 | 4.36 | 3.71 | 3.15 | 2.68 | 2.28 | 1.94 |
| Preliminary expenses written off | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Interest on term loan | 3.33 | 2.89 | 2.37 | 1.85 | 1.32 | 0.80 | 0.28 |
| Interest on working capital | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit before tax | -12.20 | -10.98 | -9.81 | -8.73 | -7.74 | -6.82 | -5.95 |
| Income tax | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit after tax | -12.20 | -10.98 | -9.81 | -8.73 | -7.74 | -6.82 | -5.95 |
12 Cash flow
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Profit after tax | -12.20 | -10.98 | -9.81 | -8.73 | -7.74 | -6.82 | -5.95 |
| Depreciation | 5.13 | 4.36 | 3.71 | 3.15 | 2.68 | 2.28 | 1.94 |
| Cash accruals (PAT + depreciation) | -7.07 | -6.62 | -6.10 | -5.58 | -5.06 | -4.54 | -4.02 |
| Term loan repaid | 2.37 | 4.74 | 4.74 | 4.74 | 4.74 | 4.74 | 4.74 |
| Owner’s drawings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Surplus after repayment | -9.44 | -11.36 | -10.84 | -10.32 | -9.80 | -9.28 | -8.75 |
| Cash and bank | -9.44 | -20.80 | -31.63 | -41.95 | -51.75 | -61.02 | -69.78 |
13 Projected balance sheet
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Capital (own + subsidy) | 3.42 | 3.42 | 3.42 | 3.42 | 3.42 | 3.42 | 3.42 |
| Reserves and surplus | -12.20 | -23.18 | -32.99 | -41.72 | -49.46 | -56.28 | -62.23 |
| Term loan outstanding | 28.42 | 23.68 | 18.95 | 14.21 | 9.47 | 4.74 | 0.00 |
| Working capital loan | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total liabilities | 19.64 | 3.92 | -10.62 | -24.09 | -36.57 | -48.12 | -58.81 |
| Net fixed assets | 29.08 | 24.72 | 21.01 | 17.86 | 15.18 | 12.90 | 10.97 |
| 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 | -9.44 | -20.80 | -31.63 | -41.95 | -51.75 | -61.02 | -69.78 |
| Total assets | 19.64 | 3.92 | -10.62 | -24.09 | -36.57 | -48.12 | -58.81 |
14 Ratios and break-even
| Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Debt service coverage ratio (DSCR) | -0.66 | -0.49 | -0.53 | -0.57 | -0.62 | -0.67 | -0.74 |
| Break-even (% of capacity used) | — | — | — | — | — | — | — |
| Cash break-even | — | — | — | — | — | — | — |
| Average DSCR | -0.61 |
|---|---|
| Lowest DSCR | -0.74 |
| Payback period | — |
15 Depreciation
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Depreciation | 5.13 | 4.36 | 3.71 | 3.15 | 2.68 | 2.28 | 1.94 |
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 | 30.79 | 3.33 | 2.37 | 28.42 |
| 2 | 28.42 | 2.89 | 4.74 | 23.68 |
| 3 | 23.68 | 2.37 | 4.74 | 18.95 |
| 4 | 18.95 | 1.85 | 4.74 | 14.21 |
| 5 | 14.21 | 1.32 | 4.74 | 9.47 |
| 6 | 9.47 | 0.80 | 4.74 | 4.74 |
| 7 | 4.74 | 0.28 | 4.74 | 0.00 |
17 Licences and registrations
- Udyam registration
- GST registration
- Factory licence
- BIS licence to IS 6595 where the buyer or a quality control order requires it
- State Pollution Control Board consent as applicable
18 Government schemes that may apply
- Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE)
19 Sources
- DC-MSME import-substitution DPR — Centrifugal Pumps — https://dcmsme.gov.in/09_centrifugal%20pump%20by%20KH%20Shah-converted.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.