Detailed Project Report
Soapstone Sauna Construction
—
Prepared on: 13 November 2026 · Prepared with Building Business DPR (buildingbusiness.in)
01 Project at a glance
- Total project cost
- ₹3.47 L
- Term loan from bank
- ₹2.25 L
- Promoter’s contribution
- ₹0.35 L
- Subsidy
- ₹0.87 L
- Sales · Year 3
- ₹0.00 L
- Profit after tax · Year 3
- ₹-3.52 L
- Average DSCR
- -6.63
- 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
Design and build custom saunas from local soapstone and wood for homestays, resorts, yoga retreats and Ayurvedic spas.
| Main product or service | Soapstone Sauna Construction |
|---|---|
| Installed capacity per year (at 100%) | 10,000 units |
04 Market
- Boutique homestays and private villas
- Yoga retreats, Ayurvedic spas and naturopathy centres
- Resorts and wellness hotels in cold regions
- A demonstration sauna for client visits
- Tie-ups with architects, homestay federations and spa companies
- Annual maintenance contracts
05 Plant and machinery
| Item | Qty | ₹ | Total ₹ |
|---|---|---|---|
| Stone cutting machine | 1 | 85,000 | 85,000 |
| Hand grinders and polishers | 1 | 45,000 | 45,000 |
| Stone carving chisels and tools | 1 | 20,000 | 20,000 |
| Mobile crane or pulley unit | 1 | 1,50,000 | 1,50,000 |
| Safety gear and dust collectors | 1 | 30,000 | 30,000 |
| Total | 3,30,000 |
Pre-filled from: Uttarakhand DUY project profile — Natural Soapstone Sauna Construction Service. Prices in older reports will have gone up — enter today’s quotations.
06 Raw materials
- Soapstone slabs — quarried in Bageshwar, Pithoragarh and Chamoli
- Deodar or pine wood — for benches and doors
- Tempered glass — for doors and windows
- Insulation (jute or natural wool)
- Electric or wood-fired heating units
07 Cost of project
| ₹ in lakh | |
|---|---|
| Plant and machinery | 3.30 |
| Contingency | 0.17 |
| Total fixed capital | 3.47 |
| Working capital margin | 0.00 |
| Total project cost | 3.47 |
08 Means of finance
| ₹ in lakh | % | |
|---|---|---|
| Promoter’s contribution | 0.35 | 10.0 |
| Subsidy | 0.87 | 25.0 |
| Term loan from bank | 2.25 | 65.0 |
| Total | 3.47 | 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 | 0.07 | 0.07 | 0.07 | 0.07 | 0.07 | 0.07 | 0.07 |
| Insurance | 0.02 | 0.02 | 0.02 | 0.02 | 0.02 | 0.02 | 0.02 |
| Total cost of operations | 2.97 | 2.97 | 2.97 | 2.97 | 2.97 | 2.97 | 2.97 |
| Operating profit (EBITDA) | -2.97 | -2.97 | -2.97 | -2.97 | -2.97 | -2.97 | -2.97 |
| Depreciation | 0.52 | 0.44 | 0.38 | 0.32 | 0.27 | 0.23 | 0.20 |
| Preliminary expenses written off | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Interest on term loan | 0.24 | 0.21 | 0.17 | 0.13 | 0.10 | 0.06 | 0.02 |
| Interest on working capital | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit before tax | -3.73 | -3.62 | -3.52 | -3.42 | -3.33 | -3.26 | -3.18 |
| Income tax | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit after tax | -3.73 | -3.62 | -3.52 | -3.42 | -3.33 | -3.26 | -3.18 |
12 Cash flow
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Profit after tax | -3.73 | -3.62 | -3.52 | -3.42 | -3.33 | -3.26 | -3.18 |
| Depreciation | 0.52 | 0.44 | 0.38 | 0.32 | 0.27 | 0.23 | 0.20 |
| Cash accruals (PAT + depreciation) | -3.21 | -3.18 | -3.14 | -3.10 | -3.06 | -3.03 | -2.99 |
| Term loan repaid | 0.17 | 0.35 | 0.35 | 0.35 | 0.35 | 0.35 | 0.35 |
| Owner’s drawings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Surplus after repayment | -3.38 | -3.52 | -3.49 | -3.45 | -3.41 | -3.37 | -3.33 |
| Cash and bank | -3.38 | -6.91 | -10.39 | -13.84 | -17.25 | -20.62 | -23.96 |
13 Projected balance sheet
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Capital (own + subsidy) | 1.21 | 1.21 | 1.21 | 1.21 | 1.21 | 1.21 | 1.21 |
| Reserves and surplus | -3.73 | -7.35 | -10.87 | -14.29 | -17.62 | -20.88 | -24.06 |
| Term loan outstanding | 2.08 | 1.73 | 1.39 | 1.04 | 0.69 | 0.35 | 0.00 |
| Working capital loan | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total liabilities | -0.44 | -4.40 | -8.27 | -12.03 | -15.71 | -19.32 | -22.85 |
| Net fixed assets | 2.95 | 2.50 | 2.13 | 1.81 | 1.54 | 1.31 | 1.11 |
| 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 | -3.38 | -6.91 | -10.39 | -13.84 | -17.25 | -20.62 | -23.96 |
| Total assets | -0.44 | -4.40 | -8.27 | -12.03 | -15.71 | -19.32 | -22.85 |
14 Ratios and break-even
| Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Debt service coverage ratio (DSCR) | -7.11 | -5.32 | -5.71 | -6.16 | -6.69 | -7.32 | -8.08 |
| Break-even (% of capacity used) | — | — | — | — | — | — | — |
| Cash break-even | — | — | — | — | — | — | — |
| Average DSCR | -6.63 |
|---|---|
| Lowest DSCR | -8.08 |
| Payback period | — |
15 Depreciation
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Depreciation | 0.52 | 0.44 | 0.38 | 0.32 | 0.27 | 0.23 | 0.20 |
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 | 2.25 | 0.24 | 0.17 | 2.08 |
| 2 | 2.08 | 0.21 | 0.35 | 1.73 |
| 3 | 1.73 | 0.17 | 0.35 | 1.39 |
| 4 | 1.39 | 0.13 | 0.35 | 1.04 |
| 5 | 1.04 | 0.10 | 0.35 | 0.69 |
| 6 | 0.69 | 0.06 | 0.35 | 0.35 |
| 7 | 0.35 | 0.02 | 0.35 | 0.00 |
17 Licences and registrations
- Udyam registration
- GST registration
- Buy soapstone only from licensed quarries with valid transit passes
- Electrical work for heaters by a licensed electrician
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
- Uttarakhand DUY project profile — Natural Soapstone Sauna Construction Service — https://duy-heduk.org/downloads/project-profiles/Natural_Soapstone_Sauna_Construction_Service%20in%20Uttarakhand.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.