Building BusinessServices

Section 24

Steel Measuring Tape Manufacturing

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Legal form
Applicant category
Location

Detailed Project Report

Steel Measuring Tape Manufacturing

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Prepared on: 13 November 2026 · Prepared with Building Business DPR (buildingbusiness.in)

01 Project at a glance

Total project cost
₹8.91 L
Term loan from bank
₹5.79 L
Promoter’s contribution
₹0.89 L
Subsidy
₹2.23 L
Sales · Year 3
₹0.00 L
Profit after tax · Year 3
₹-4.51 L
Average DSCR
-2.70
Break-even (% of capacity used)
—

02 Promoter and unit

Promoter name—
Business / firm name—
Legal formProprietorship
Address of the unit—
Applicant categoryGeneral · Rural

03 The project

Mark steel strip with a scale and assemble it with a coil spring into pocket measuring tapes.

Main product or serviceSteel Measuring Tape Manufacturing
Installed capacity per year (at 100%)10,000 units

04 Market

  • Construction contractors and workers
  • Factories and engineers
  • Sports grounds and clubs
  • Households
  • Hardware and tool shops
  • Tool wholesalers and distributors

05 Plant and machinery

ItemQty₹Total ₹
Inclinable power press, 20 tonne, with motor (× 2)11,77,0001,77,000
Abrasive cutting machine18,2508,250
Spring coiling machine122,00022,000
Riveting machine110,00010,000
Hand-operated linear dividing machine for scale marking (table 1260 × 175 mm)15,75,0005,75,000
Eccentric stamping press16,0006,000
Work benches, vices and hand tools (× L.S.)115,00015,000
Dies and tools120,00020,000
Testing instruments115,00015,000
Total8,48,250

Pre-filled from: DC-MSME project profile — Measuring Tapes (Steel) (PMRY series, prepared by SISI); World Customs Organization – HS Nomenclature 2022, Chapter 90. Prices in older reports will have gone up — enter today’s quotations.

06 Raw materials

  • Cold-rolled steel strip, 30 SWG — 700 kg a month at ₹22 a kg in the profile (measuring strip)
  • Tin plate, 28 SWG — 500 kg a month at ₹35 a kg (cases)
  • Spring strip and wire — 400 kg a month at ₹20 a kg
  • MS strip — 200 kg a month at ₹16 a kg
  • Fasteners and printing ink — ₹6,000 and ₹2,000 a month

07 Cost of project

₹ in lakh
Plant and machinery8.48
Contingency0.42
Total fixed capital8.91
Working capital margin0.00
Total project cost8.91

08 Means of finance

₹ in lakh%
Promoter’s contribution0.8910.0
Subsidy2.2325.0
Term loan from bank5.7965.0
Total8.91100.0
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 year60% · 70% · 80% · 80% · 80% · 80% · 80%
Term loan interest rate (% a year)11% · 84 months (Moratorium 6)
Working capital methodTurnover method (RBI) · Working capital interest (% a year) 11%
Income tax rate25%
Yearly price and cost rise0%

10 Production and sales

Year → (₹ in lakh)1234567
Capacity used60%70%80%80%80%80%80%
Production (units)6,0007,0008,0008,0008,0008,0008,000
Sales0.000.000.000.000.000.000.00

11 Projected profitability

Year → (₹ in lakh)1234567
Sales0.000.000.000.000.000.000.00
Raw material and packing0.000.000.000.000.000.000.00
Power and fuel0.000.000.000.000.000.000.00
Salaries and wages2.882.882.882.882.882.882.88
Rent0.000.000.000.000.000.000.00
Administration0.000.000.000.000.000.000.00
Selling and distribution0.000.000.000.000.000.000.00
Repairs and maintenance0.180.180.180.180.180.180.18
Insurance0.040.040.040.040.040.040.04
Total cost of operations3.103.103.103.103.103.103.10
Operating profit (EBITDA)-3.10-3.10-3.10-3.10-3.10-3.10-3.10
Depreciation1.341.140.970.820.700.590.50
Preliminary expenses written off0.000.000.000.000.000.000.00
Interest on term loan0.630.540.440.350.250.150.05
Interest on working capital0.000.000.000.000.000.000.00
Profit before tax-5.07-4.78-4.51-4.27-4.05-3.85-3.66
Income tax0.000.000.000.000.000.000.00
Profit after tax-5.07-4.78-4.51-4.27-4.05-3.85-3.66

12 Cash flow

Year → (₹ in lakh)1234567
Profit after tax-5.07-4.78-4.51-4.27-4.05-3.85-3.66
Depreciation1.341.140.970.820.700.590.50
Cash accruals (PAT + depreciation)-3.73-3.65-3.55-3.45-3.35-3.25-3.16
Term loan repaid0.450.890.890.890.890.890.89
Owner’s drawings0.000.000.000.000.000.000.00
Surplus after repayment-4.17-4.54-4.44-4.34-4.24-4.14-4.05
Cash and bank-4.17-8.71-13.15-17.49-21.73-25.88-29.92

13 Projected balance sheet

Year → (₹ in lakh)1234567
Capital (own + subsidy)3.123.123.123.123.123.123.12
Reserves and surplus-5.07-9.85-14.36-18.63-22.68-26.53-30.18
Term loan outstanding5.344.453.562.671.780.890.00
Working capital loan0.000.000.000.000.000.000.00
Total liabilities3.40-2.28-7.68-12.84-17.78-22.52-27.07
Net fixed assets7.576.445.474.653.953.362.86
Preliminary expenses not written off0.000.000.000.000.000.000.00
Current assets (stock and debtors)0.000.000.000.000.000.000.00
Cash and bank-4.17-8.71-13.15-17.49-21.73-25.88-29.92
Total assets3.40-2.28-7.68-12.84-17.78-22.52-27.07

14 Ratios and break-even

Year1234567
Debt service coverage ratio (DSCR)-2.89-2.16-2.32-2.51-2.72-2.98-3.29
Break-even (% of capacity used)———————
Cash break-even———————
Average DSCR-2.70
Lowest DSCR-3.29
Payback period—

15 Depreciation

Year → (₹ in lakh)1234567
Depreciation1.341.140.970.820.700.590.50

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

YearOpeningInterestTerm loan repaidClosing
15.790.630.455.34
25.340.540.894.45
34.450.440.893.56
43.560.350.892.67
52.670.250.891.78
61.780.150.890.89
70.890.050.890.00

17 Licences and registrations

  • Udyam registration
  • GST
  • Legal Metrology licence to manufacture measures, and model approval for the tape
  • BIS certification (IS 1270) if buyers ask for it
  • Trade licence from the local body

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)
  • Stand-Up India

19 Sources

  1. DC-MSME project profile — Measuring Tapes (Steel) (PMRY series, prepared by SISI) — https://www.dcmsme.gov.in/publications/pmryprof/mechanical/ch16.pdf
  2. World Customs Organization – HS Nomenclature 2022, Chapter 90 — https://www.wcoomd.org/-/media/wco/public/global/pdf/topics/nomenclature/instruments-and-tools/hs-nomenclature-2022/2022/1890_2022e.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.