Detailed Project Report
Plastic Dust Bins and Biodegradable Garbage Bags
—
Prepared on: 13 November 2026 · Prepared with Building Business DPR (buildingbusiness.in)
01 Project at a glance
- Total project cost
- ₹36.36 L
- Term loan from bank
- ₹32.73 L
- Promoter’s contribution
- ₹3.64 L
- Sales · Year 3
- ₹0.00 L
- Profit after tax · Year 3
- ₹-10.24 L
- Average DSCR
- -0.58
- 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
Injection-mould 10-litre plastic dust bins with lids and make biodegradable garbage bags on a bag-making machine, for homes and hospitals.
| Main product or service | Plastic Dust Bins and Biodegradable Garbage Bags |
|---|---|
| Installed capacity per year (at 100%) | 10,000 units |
04 Market
- Hospitals, clinics and health centres
- Housing societies and households
- Municipal bodies and housekeeping contractors
- Hospital and housekeeping supply dealers
- Direct institutional orders and tenders
- Household goods wholesalers and retailers
05 Plant and machinery
| Item | Qty | ₹ | Total ₹ |
|---|---|---|---|
| Automatic C-fold garbage bag making machine, 70–140 pieces a minute | 1 | 9,00,000 | 9,00,000 |
| Semi-automatic injection moulding machine (bins) | 1 | 15,00,000 | 15,00,000 |
| Semi-automatic injection moulding machine (lids) | 1 | 7,50,000 | 7,50,000 |
| Air compressor | 1 | 95,000 | 95,000 |
| Weighing machine | 1 | 18,000 | 18,000 |
| Office furniture and computer with printer | 1 | 2,00,000 | 2,00,000 |
| Total | 34,63,000 |
Pre-filled from: MSME-DI Chennai project profile — Garbage Bins. Prices in older reports will have gone up — enter today’s quotations.
06 Raw materials
- Biodegradable plastic film rolls — 10 tonnes a month at ₹300 a kg = ₹30,00,000
- HDPE or PP granules — 15 tonnes a month at ₹60 a kg = ₹9,00,000
07 Cost of project
| ₹ in lakh | |
|---|---|
| Plant and machinery | 34.63 |
| Contingency | 1.73 |
| Total fixed capital | 36.36 |
| Working capital margin | 0.00 |
| Total project cost | 36.36 |
08 Means of finance
| ₹ in lakh | % | |
|---|---|---|
| Promoter’s contribution | 3.64 | 10.0 |
| Term loan from bank | 32.73 | 90.0 |
| Total | 36.36 | 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 | 0.73 | 0.73 | 0.73 | 0.73 | 0.73 | 0.73 | 0.73 |
| Insurance | 0.18 | 0.18 | 0.18 | 0.18 | 0.18 | 0.18 | 0.18 |
| Total cost of operations | 3.79 | 3.79 | 3.79 | 3.79 | 3.79 | 3.79 | 3.79 |
| Operating profit (EBITDA) | -3.79 | -3.79 | -3.79 | -3.79 | -3.79 | -3.79 | -3.79 |
| Depreciation | 5.45 | 4.64 | 3.94 | 3.35 | 2.85 | 2.42 | 2.06 |
| Preliminary expenses written off | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Interest on term loan | 3.54 | 3.07 | 2.52 | 1.96 | 1.41 | 0.85 | 0.30 |
| Interest on working capital | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit before tax | -12.79 | -11.49 | -10.24 | -9.10 | -8.04 | -7.06 | -6.15 |
| Income tax | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit after tax | -12.79 | -11.49 | -10.24 | -9.10 | -8.04 | -7.06 | -6.15 |
12 Cash flow
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Profit after tax | -12.79 | -11.49 | -10.24 | -9.10 | -8.04 | -7.06 | -6.15 |
| Depreciation | 5.45 | 4.64 | 3.94 | 3.35 | 2.85 | 2.42 | 2.06 |
| Cash accruals (PAT + depreciation) | -7.33 | -6.86 | -6.30 | -5.75 | -5.20 | -4.64 | -4.09 |
| Term loan repaid | 2.52 | 5.03 | 5.03 | 5.03 | 5.03 | 5.03 | 5.03 |
| Owner’s drawings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Surplus after repayment | -9.85 | -11.89 | -11.34 | -10.79 | -10.23 | -9.68 | -9.12 |
| Cash and bank | -9.85 | -21.74 | -33.08 | -43.87 | -54.10 | -63.77 | -72.90 |
13 Projected balance sheet
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Capital (own + subsidy) | 3.64 | 3.64 | 3.64 | 3.64 | 3.64 | 3.64 | 3.64 |
| Reserves and surplus | -12.79 | -24.28 | -34.52 | -43.62 | -51.67 | -58.73 | -64.88 |
| Term loan outstanding | 30.21 | 25.17 | 20.14 | 15.10 | 10.07 | 5.03 | 0.00 |
| Working capital loan | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total liabilities | 21.06 | 4.53 | -10.75 | -24.88 | -37.96 | -50.06 | -61.24 |
| Net fixed assets | 30.91 | 26.27 | 22.33 | 18.98 | 16.13 | 13.71 | 11.66 |
| 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 | -9.85 | -21.74 | -33.08 | -43.87 | -54.10 | -63.77 | -72.90 |
| Total assets | 21.06 | 4.53 | -10.75 | -24.88 | -37.96 | -50.06 | -61.24 |
14 Ratios and break-even
| Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Debt service coverage ratio (DSCR) | -0.63 | -0.47 | -0.50 | -0.54 | -0.59 | -0.64 | -0.71 |
| Break-even (% of capacity used) | — | — | — | — | — | — | — |
| Cash break-even | — | — | — | — | — | — | — |
| Average DSCR | -0.58 |
|---|---|
| Lowest DSCR | -0.71 |
| Payback period | — |
15 Depreciation
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Depreciation | 5.45 | 4.64 | 3.94 | 3.35 | 2.85 | 2.42 | 2.06 |
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 | 32.73 | 3.54 | 2.52 | 30.21 |
| 2 | 30.21 | 3.07 | 5.03 | 25.17 |
| 3 | 25.17 | 2.52 | 5.03 | 20.14 |
| 4 | 20.14 | 1.96 | 5.03 | 15.10 |
| 5 | 15.10 | 1.41 | 5.03 | 10.07 |
| 6 | 10.07 | 0.85 | 5.03 | 5.03 |
| 7 | 5.03 | 0.30 | 5.03 | 0.00 |
17 Licences and registrations
- Udyam registration
- GST registration
- Registration as a producer under the Plastic Waste Management Rules
- Central Pollution Control Board certificate for making compostable plastic bags
- Consent from the State Pollution Control Board
- Factory licence where the worker and power limits apply
18 Government schemes that may apply
- Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE)
19 Sources
- MSME-DI Chennai project profile — Garbage Bins — https://msmedi-chennai.gov.in/GARMS_Admin/basictools/images/Covidproject/Garbages-Bins.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.