Detailed Project Report
Non-Ferrous Castings Foundry (Brass, Bronze, Gun Metal)
—
Prepared on: 27 October 2026 · Prepared with Building Business DPR (buildingbusiness.in)
01 Project at a glance
- Total project cost
- ₹20.69 L
- Term loan from bank
- ₹18.62 L
- Promoter’s contribution
- ₹2.07 L
- Sales · Year 3
- ₹0.00 L
- Profit after tax · Year 3
- ₹-7.07 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
Melt copper, zinc, tin and aluminium alloys in a small induction furnace and sand-cast valves, bushes, impellers, connectors and meter bodies.
| Main product or service | Non-Ferrous Castings Foundry (Brass, Bronze, Gun Metal) |
|---|---|
| Installed capacity per year (at 100%) | 10,000 units |
04 Market
- Automobile part makers
- Machinery and pump makers
- Textile machinery users
- Electrical and power line hardware makers
- Water meter and valve makers
- Direct supply against buyer drawings
- Replacement-market dealers for bushes and bearings
05 Plant and machinery
| Item | Qty | ₹ | Total ₹ |
|---|---|---|---|
| Induction furnace, 75 kW / 150 kg, with control panel, hydraulic tilting and crucible | 1 | 15,00,000 | 15,00,000 |
| Power-operated moulding machine | 1 | 0 | 0 |
| Air compressor, 15 HP, with tank | 1 | 2,00,000 | 2,00,000 |
| Core oven / heating chamber | 1 | 25,000 | 25,000 |
| General purpose lathe, 2 HP | 1 | 50,000 | 50,000 |
| Bench drilling machine, 25 mm | 1 | 30,000 | 30,000 |
| Non-ferrous metal cutting machine | 1 | 25,000 | 25,000 |
| Hydraulic hardness tester | 1 | 60,000 | 60,000 |
| Metallurgical microscope and immersion pyrometer (× 2) | 1 | 80,000 | 80,000 |
| Total | 19,70,000 |
Pre-filled from: DC-MSME project profile — Non-Ferrous Castings; World Customs Organization – HS Nomenclature 2022 edition. Prices in older reports will have gone up — enter today’s quotations.
06 Raw materials
- Copper, zinc, tin and aluminium — 18 MT a month at an average ₹85,000 a MT in the profile
- Fluxes — ₹50,000 a month in the profile
- Moulding sand — ₹20,000 a month in the profile
07 Cost of project
| ₹ in lakh | |
|---|---|
| Plant and machinery | 19.70 |
| Contingency | 0.99 |
| Total fixed capital | 20.69 |
| Working capital margin | 0.00 |
| Total project cost | 20.69 |
08 Means of finance
| ₹ in lakh | % | |
|---|---|---|
| Promoter’s contribution | 2.07 | 10.0 |
| Term loan from bank | 18.62 | 90.0 |
| Total | 20.69 | 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 | 3.10 | 2.64 | 2.24 | 1.91 | 1.62 | 1.38 | 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 | 1.75 | 1.43 | 1.12 | 0.80 | 0.49 | 0.17 |
| Interest on working capital | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit before tax | -8.51 | -7.78 | -7.07 | -6.42 | -5.82 | -5.26 | -4.74 |
| Income tax | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit after tax | -8.51 | -7.78 | -7.07 | -6.42 | -5.82 | -5.26 | -4.74 |
12 Cash flow
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Profit after tax | -8.51 | -7.78 | -7.07 | -6.42 | -5.82 | -5.26 | -4.74 |
| Depreciation | 3.10 | 2.64 | 2.24 | 1.91 | 1.62 | 1.38 | 1.17 |
| Cash accruals (PAT + depreciation) | -5.41 | -5.14 | -4.83 | -4.51 | -4.20 | -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 | -6.84 | -8.01 | -7.69 | -7.38 | -7.06 | -6.75 | -6.43 |
| Cash and bank | -6.84 | -14.85 | -22.54 | -29.92 | -36.98 | -43.73 | -50.16 |
13 Projected balance sheet
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Capital (own + subsidy) | 2.07 | 2.07 | 2.07 | 2.07 | 2.07 | 2.07 | 2.07 |
| Reserves and surplus | -8.51 | -16.30 | -23.36 | -29.78 | -35.60 | -40.86 | -45.60 |
| Term loan outstanding | 17.18 | 14.32 | 11.46 | 8.59 | 5.73 | 2.86 | 0.00 |
| Working capital loan | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total liabilities | 10.74 | 0.09 | -9.84 | -19.12 | -27.80 | -35.93 | -43.53 |
| Net fixed assets | 17.58 | 14.94 | 12.70 | 10.80 | 9.18 | 7.80 | 6.63 |
| 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 | -6.84 | -14.85 | -22.54 | -29.92 | -36.98 | -43.73 | -50.16 |
| Total assets | 10.74 | 0.09 | -9.84 | -19.12 | -27.80 | -35.93 | -43.53 |
14 Ratios and break-even
| Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Debt service coverage ratio (DSCR) | -0.99 | -0.74 | -0.79 | -0.85 | -0.93 | -1.01 | -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 | 3.10 | 2.64 | 2.24 | 1.91 | 1.62 | 1.38 | 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 | 18.62 | 2.01 | 1.43 | 17.18 |
| 2 | 17.18 | 1.75 | 2.86 | 14.32 |
| 3 | 14.32 | 1.43 | 2.86 | 11.46 |
| 4 | 11.46 | 1.12 | 2.86 | 8.59 |
| 5 | 8.59 | 0.80 | 2.86 | 5.73 |
| 6 | 5.73 | 0.49 | 2.86 | 2.86 |
| 7 | 2.86 | 0.17 | 2.86 | 0.00 |
17 Licences and registrations
- Udyam registration
- GST
- State Pollution Control Board NOC and consent to operate (foundry)
- Factory licence under the Factories Act
- Authorisation under the Hazardous Waste Rules if you use non-ferrous scrap or dross
18 Government schemes that may apply
- Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE)
- Stand-Up India
19 Sources
- DC-MSME project profile — Non-Ferrous Castings — https://www.dcmsme.gov.in/publications/pmryprof/meatllurgical/ch19.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.