Detailed Project Report
Machine Vice Manufacturing
—
Prepared on: 13 November 2026 · Prepared with Building Business DPR (buildingbusiness.in)
01 Project at a glance
- Total project cost
- ₹20.63 L
- Term loan from bank
- ₹18.57 L
- Promoter’s contribution
- ₹2.06 L
- Sales · Year 3
- ₹0.00 L
- Profit after tax · Year 3
- ₹-7.06 L
- Average DSCR
- -0.92
- 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 bodies and steel screws into plain and swivel vices that hold jobs on milling and drilling machines.
| Main product or service | Machine Vice Manufacturing |
|---|---|
| Installed capacity per year (at 100%) | 10,000 units |
04 Market
- Machine-tool makers, who fit vices as standard equipment
- Workshops with milling and drilling machines
- Tool rooms
- Sub-contract supply to machine-tool makers
- Machine-tool and hardware dealers
05 Plant and machinery
| Item | Qty | ₹ | Total ₹ |
|---|---|---|---|
| Vertical milling machine with standard accessories | 1 | 6,50,000 | 6,50,000 |
| Universal tool and cutter grinder | 1 | 3,50,000 | 3,50,000 |
| Lathe, 40 mm spindle, 6 ft bed | 1 | 3,25,000 | 3,25,000 |
| Column drilling machine, 50 mm capacity | 1 | 2,50,000 | 2,50,000 |
| Surface grinder, 1000 mm x 240 mm | 1 | 1,40,000 | 1,40,000 |
| Universal band saw | 1 | 80,000 | 80,000 |
| Double-ended pedestal grinder, 6 inch | 1 | 40,000 | 40,000 |
| Measuring instruments | 1 | 50,000 | 50,000 |
| Jigs and fixtures | 1 | 80,000 | 80,000 |
| Total | 19,65,000 |
Pre-filled from: DC-MSME project profile — Machine Vices. Prices in older reports will have gone up — enter today’s quotations.
06 Raw materials
- Cast-iron castings (special grade grey iron) — 4 tonnes a month at ₹40 a kg
- EN-8 steel rod, 37 mm diameter — 1 tonne a month at ₹125 a kg
- Carbon-steel plates for jaws — ₹40,000 a month
- T-nuts, bolts and screws — ₹25,000 a month
07 Cost of project
| ₹ in lakh | |
|---|---|
| Plant and machinery | 19.65 |
| Contingency | 0.98 |
| Total fixed capital | 20.63 |
| Working capital margin | 0.00 |
| Total project cost | 20.63 |
08 Means of finance
| ₹ in lakh | % | |
|---|---|---|
| Promoter’s contribution | 2.06 | 10.0 |
| Term loan from bank | 18.57 | 90.0 |
| Total | 20.63 | 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 | 0.41 | 0.41 | 0.41 | 0.41 | 0.41 | 0.41 | 0.41 |
| Insurance | 0.10 | 0.10 | 0.10 | 0.10 | 0.10 | 0.10 | 0.10 |
| Total cost of operations | 3.40 | 3.40 | 3.40 | 3.40 | 3.40 | 3.40 | 3.40 |
| Operating profit (EBITDA) | -3.40 | -3.40 | -3.40 | -3.40 | -3.40 | -3.40 | -3.40 |
| Depreciation | 3.09 | 2.63 | 2.24 | 1.90 | 1.62 | 1.37 | 1.17 |
| Preliminary expenses written off | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Interest on term loan | 2.01 | 1.74 | 1.43 | 1.11 | 0.80 | 0.48 | 0.17 |
| Interest on working capital | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit before tax | -8.50 | -7.77 | -7.06 | -6.41 | -5.81 | -5.25 | -4.73 |
| Income tax | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit after tax | -8.50 | -7.77 | -7.06 | -6.41 | -5.81 | -5.25 | -4.73 |
12 Cash flow
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Profit after tax | -8.50 | -7.77 | -7.06 | -6.41 | -5.81 | -5.25 | -4.73 |
| Depreciation | 3.09 | 2.63 | 2.24 | 1.90 | 1.62 | 1.37 | 1.17 |
| Cash accruals (PAT + depreciation) | -5.41 | -5.14 | -4.82 | -4.51 | -4.19 | -3.88 | -3.57 |
| Term loan repaid | 1.43 | 2.86 | 2.86 | 2.86 | 2.86 | 2.86 | 2.86 |
| Owner’s drawings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Surplus after repayment | -6.83 | -7.99 | -7.68 | -7.37 | -7.05 | -6.74 | -6.42 |
| Cash and bank | -6.83 | -14.83 | -22.51 | -29.87 | -36.92 | -43.66 | -50.08 |
13 Projected balance sheet
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Capital (own + subsidy) | 2.06 | 2.06 | 2.06 | 2.06 | 2.06 | 2.06 | 2.06 |
| Reserves and surplus | -8.50 | -16.27 | -23.33 | -29.74 | -35.55 | -40.80 | -45.53 |
| Term loan outstanding | 17.14 | 14.28 | 11.43 | 8.57 | 5.71 | 2.86 | 0.00 |
| Working capital loan | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total liabilities | 10.70 | 0.08 | -9.84 | -19.10 | -27.77 | -35.88 | -43.47 |
| Net fixed assets | 17.54 | 14.91 | 12.67 | 10.77 | 9.15 | 7.78 | 6.61 |
| 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 | -6.83 | -14.83 | -22.51 | -29.87 | -36.92 | -43.66 | -50.08 |
| Total assets | 10.70 | 0.08 | -9.84 | -19.10 | -27.77 | -35.88 | -43.47 |
14 Ratios and break-even
| Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Debt service coverage ratio (DSCR) | -0.99 | -0.74 | -0.79 | -0.86 | -0.93 | -1.02 | -1.12 |
| Break-even (% of capacity used) | — | — | — | — | — | — | — |
| Cash break-even | — | — | — | — | — | — | — |
| Average DSCR | -0.92 |
|---|---|
| Lowest DSCR | -1.12 |
| Payback period | — |
15 Depreciation
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Depreciation | 3.09 | 2.63 | 2.24 | 1.90 | 1.62 | 1.37 | 1.17 |
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 | 18.57 | 2.01 | 1.43 | 17.14 |
| 2 | 17.14 | 1.74 | 2.86 | 14.28 |
| 3 | 14.28 | 1.43 | 2.86 | 11.43 |
| 4 | 11.43 | 1.11 | 2.86 | 8.57 |
| 5 | 8.57 | 0.80 | 2.86 | 5.71 |
| 6 | 5.71 | 0.48 | 2.86 | 2.86 |
| 7 | 2.86 | 0.17 | 2.86 | 0.00 |
17 Licences and registrations
- Udyam registration
- GST registration
- Factory licence where the worker and power limits apply
- Trade licence from the local body
18 Government schemes that may apply
- Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE)
19 Sources
- DC-MSME project profile — Machine Vices — https://www.dcmsme.gov.in/old/reports/mechanical/MachineVice.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.