Detailed Project Report
Photochromatic and Coloured Sunglass Lenses
—
Prepared on: 13 November 2026 · Prepared with Building Business DPR (buildingbusiness.in)
01 Project at a glance
- Total project cost
- ₹2.19 L
- Term loan from bank
- ₹1.42 L
- Promoter’s contribution
- ₹0.22 L
- Subsidy
- ₹0.55 L
- Sales · Year 3
- ₹0.00 L
- Profit after tax · Year 3
- ₹-3.28 L
- Average DSCR
- -10.37
- 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
Grind and polish photochromic and coloured glass blanks into finished lenses for sunglasses and spectacles.
| Main product or service | Photochromatic and Coloured Sunglass Lenses |
|---|---|
| Installed capacity per year (at 100%) | 10,000 units |
04 Market
- Optical shops that fit lenses into frames
- Optical wholesalers
- Sunglass assemblers and frame makers
- Direct supply to opticians in nearby towns
- Sale through optical wholesale markets
05 Plant and machinery
| Item | Qty | ₹ | Total ₹ |
|---|---|---|---|
| Spherical diamond curve generator with 1 HP motor and pump | 1 | 50,000 | 50,000 |
| Automatic two-spindle spherical smoothing machine with feeding pumps, motors and timer (× 2 sets) | 1 | 45,000 | 45,000 |
| Automatic two-spindle spherical polishing machine with feeding pumps and motors (× 5 sets) | 1 | 80,000 | 80,000 |
| Surface blocker and deblocker unit with thermostat (× 1 set) | 1 | 15,000 | 15,000 |
| Set of spherical grinding and polishing tools (× 20 pairs) | 1 | 1,500 | 1,500 |
| Spherical blocking holders, 50 mm to 55 mm (× 25 dozen pairs) | 1 | 1,500 | 1,500 |
| Brass gauges (× 10) | 1 | 2,500 | 2,500 |
| Lensometer | 1 | 10,000 | 10,000 |
| Lens measure (× 2) | 1 | 750 | 750 |
| Trial set (× 1 set) | 1 | 2,500 | 2,500 |
| Total | 2,08,750 |
Pre-filled from: DC-MSME project profile — Ophthalmic and Sun Photochromatic Glasses. Prices in older reports will have gone up — enter today’s quotations.
06 Raw materials
- Photochromic glass blanks (photogrey, photogrey extra, photobrown, photosun), 60 mm to 65 mm diameter, 2.8 mm to 5 mm thick — 260 dozen a month at ₹680 per dozen = ₹1,76,800 (2003 prices)
- Coloured glass blanks in different shades, 55 mm to 65 mm diameter, 3.00 mm to 5.00 mm thick — 50 dozen pairs a month at ₹430 per dozen = ₹21,500
- Abrasive and polishing compounds (cerium oxide) — ₹1,500 a month
- Blocking alloy and cleaning chemicals — ₹1,500 a month
- Packing materials — ₹1,000 a month
07 Cost of project
| ₹ in lakh | |
|---|---|
| Plant and machinery | 2.09 |
| Contingency | 0.10 |
| Total fixed capital | 2.19 |
| Working capital margin | 0.00 |
| Total project cost | 2.19 |
08 Means of finance
| ₹ in lakh | % | |
|---|---|---|
| Promoter’s contribution | 0.22 | 10.0 |
| Subsidy | 0.55 | 25.0 |
| Term loan from bank | 1.42 | 65.0 |
| Total | 2.19 | 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 | 0.04 | 0.04 | 0.04 | 0.04 | 0.04 | 0.04 | 0.04 |
| Insurance | 0.01 | 0.01 | 0.01 | 0.01 | 0.01 | 0.01 | 0.01 |
| Total cost of operations | 2.93 | 2.93 | 2.93 | 2.93 | 2.93 | 2.93 | 2.93 |
| Operating profit (EBITDA) | -2.93 | -2.93 | -2.93 | -2.93 | -2.93 | -2.93 | -2.93 |
| Depreciation | 0.33 | 0.28 | 0.24 | 0.20 | 0.17 | 0.15 | 0.12 |
| Preliminary expenses written off | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Interest on term loan | 0.15 | 0.13 | 0.11 | 0.09 | 0.06 | 0.04 | 0.01 |
| Interest on working capital | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit before tax | -3.42 | -3.35 | -3.28 | -3.22 | -3.17 | -3.12 | -3.07 |
| Income tax | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit after tax | -3.42 | -3.35 | -3.28 | -3.22 | -3.17 | -3.12 | -3.07 |
12 Cash flow
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Profit after tax | -3.42 | -3.35 | -3.28 | -3.22 | -3.17 | -3.12 | -3.07 |
| Depreciation | 0.33 | 0.28 | 0.24 | 0.20 | 0.17 | 0.15 | 0.12 |
| Cash accruals (PAT + depreciation) | -3.09 | -3.07 | -3.04 | -3.02 | -3.00 | -2.97 | -2.95 |
| Term loan repaid | 0.11 | 0.22 | 0.22 | 0.22 | 0.22 | 0.22 | 0.22 |
| Owner’s drawings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Surplus after repayment | -3.20 | -3.29 | -3.26 | -3.24 | -3.22 | -3.19 | -3.17 |
| Cash and bank | -3.20 | -6.49 | -9.75 | -12.99 | -16.20 | -19.40 | -22.56 |
13 Projected balance sheet
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Capital (own + subsidy) | 0.77 | 0.77 | 0.77 | 0.77 | 0.77 | 0.77 | 0.77 |
| Reserves and surplus | -3.42 | -6.77 | -10.05 | -13.27 | -16.44 | -19.56 | -22.63 |
| Term loan outstanding | 1.32 | 1.10 | 0.88 | 0.66 | 0.44 | 0.22 | 0.00 |
| Working capital loan | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total liabilities | -1.34 | -4.90 | -8.40 | -11.84 | -15.23 | -18.57 | -21.86 |
| Net fixed assets | 1.86 | 1.58 | 1.35 | 1.14 | 0.97 | 0.83 | 0.70 |
| 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 | -3.20 | -6.49 | -9.75 | -12.99 | -16.20 | -19.40 | -22.56 |
| Total assets | -1.34 | -4.90 | -8.40 | -11.84 | -15.23 | -18.57 | -21.86 |
14 Ratios and break-even
| Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Debt service coverage ratio (DSCR) | -11.13 | -8.32 | -8.93 | -9.64 | -10.46 | -11.45 | -12.64 |
| Break-even (% of capacity used) | — | — | — | — | — | — | — |
| Cash break-even | — | — | — | — | — | — | — |
| Average DSCR | -10.37 |
|---|---|
| Lowest DSCR | -12.64 |
| Payback period | — |
15 Depreciation
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Depreciation | 0.33 | 0.28 | 0.24 | 0.20 | 0.17 | 0.15 | 0.12 |
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 | 1.42 | 0.15 | 0.11 | 1.32 |
| 2 | 1.32 | 0.13 | 0.22 | 1.10 |
| 3 | 1.10 | 0.11 | 0.22 | 0.88 |
| 4 | 0.88 | 0.09 | 0.22 | 0.66 |
| 5 | 0.66 | 0.06 | 0.22 | 0.44 |
| 6 | 0.44 | 0.04 | 0.22 | 0.22 |
| 7 | 0.22 | 0.01 | 0.22 | 0.00 |
17 Licences and registrations
- Udyam registration
- GST registration
- Trade licence from the local body
- BIS certification where a Quality Control Order applies
18 Government schemes that may apply
- Prime Minister's Employment Generation Programme (PMEGP)
- Pradhan Mantri MUDRA Yojana (PMMY) – Shishu, Kishor, Tarun, Tarun Plus
- Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE)
19 Sources
- DC-MSME project profile — Ophthalmic and Sun Photochromatic Glasses — https://www.dcmsme.gov.in/publications/pmryprof/glass/ch19.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.