Detailed Project Report
Transformer Parts and Brass Accessories
—
Prepared on: 13 November 2026 · Prepared with Building Business DPR (buildingbusiness.in)
01 Project at a glance
- Total project cost
- ₹34.65 L
- Term loan from bank
- ₹31.19 L
- Promoter’s contribution
- ₹3.47 L
- Sales · Year 3
- ₹0.00 L
- Profit after tax · Year 3
- ₹-9.90 L
- Average DSCR
- -0.60
- 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
Cast brass scrap and machine it into nuts, terminals, fittings and other small parts used on transformers and electrical equipment.
| Main product or service | Transformer Parts and Brass Accessories |
|---|---|
| Installed capacity per year (at 100%) | 10,000 units |
04 Market
- Transformer manufacturers
- Transformer repair workshops
- Electrical equipment makers
- Direct supply to manufacturers
- Electrical hardware dealers
05 Plant and machinery
| Item | Qty | ₹ | Total ₹ |
|---|---|---|---|
| Foundry (brass melting and sand casting) | 1 | 13,00,000 | 13,00,000 |
| Machining division (centre lathe, special-purpose machines, threading, drilling) | 1 | 8,00,000 | 8,00,000 |
| Milling and other division | 1 | 3,00,000 | 3,00,000 |
| Packing and finishing division (× lump sum) | 1 | 2,00,000 | 2,00,000 |
| Laboratory division | 1 | 3,00,000 | 3,00,000 |
| Installation, electrification, taxes and transport (× lump sum) | 1 | 4,00,000 | 4,00,000 |
| Total | 33,00,000 |
Pre-filled from: SIDBI Stand-Up Mitra project profile — Transformers Parts and Accessories; World Customs Organization – HS Nomenclature 2022, Chapter 74. Prices in older reports will have gone up — enter today’s quotations.
06 Raw materials
- Brass scrap — the main raw material; sorted and melted in-house
- Steel, aluminium and copper — for some parts
- Brass rods — drawn on a drawing machine
07 Cost of project
| ₹ in lakh | |
|---|---|
| Plant and machinery | 33.00 |
| Contingency | 1.65 |
| Total fixed capital | 34.65 |
| Working capital margin | 0.00 |
| Total project cost | 34.65 |
08 Means of finance
| ₹ in lakh | % | |
|---|---|---|
| Promoter’s contribution | 3.47 | 10.0 |
| Term loan from bank | 31.19 | 90.0 |
| Total | 34.65 | 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 | 0.69 | 0.69 | 0.69 | 0.69 | 0.69 | 0.69 | 0.69 |
| Insurance | 0.17 | 0.17 | 0.17 | 0.17 | 0.17 | 0.17 | 0.17 |
| Total cost of operations | 3.75 | 3.75 | 3.75 | 3.75 | 3.75 | 3.75 | 3.75 |
| Operating profit (EBITDA) | -3.75 | -3.75 | -3.75 | -3.75 | -3.75 | -3.75 | -3.75 |
| Depreciation | 5.20 | 4.42 | 3.76 | 3.19 | 2.71 | 2.31 | 1.96 |
| Preliminary expenses written off | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Interest on term loan | 3.38 | 2.92 | 2.40 | 1.87 | 1.34 | 0.81 | 0.29 |
| Interest on working capital | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit before tax | -12.32 | -11.09 | -9.90 | -8.81 | -7.80 | -6.87 | -5.99 |
| Income tax | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit after tax | -12.32 | -11.09 | -9.90 | -8.81 | -7.80 | -6.87 | -5.99 |
12 Cash flow
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Profit after tax | -12.32 | -11.09 | -9.90 | -8.81 | -7.80 | -6.87 | -5.99 |
| Depreciation | 5.20 | 4.42 | 3.76 | 3.19 | 2.71 | 2.31 | 1.96 |
| Cash accruals (PAT + depreciation) | -7.12 | -6.67 | -6.14 | -5.62 | -5.09 | -4.56 | -4.03 |
| Term loan repaid | 2.40 | 4.80 | 4.80 | 4.80 | 4.80 | 4.80 | 4.80 |
| Owner’s drawings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Surplus after repayment | -9.52 | -11.47 | -10.94 | -10.41 | -9.89 | -9.36 | -8.83 |
| Cash and bank | -9.52 | -20.99 | -31.93 | -42.34 | -52.23 | -61.59 | -70.42 |
13 Projected balance sheet
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Capital (own + subsidy) | 3.47 | 3.47 | 3.47 | 3.47 | 3.47 | 3.47 | 3.47 |
| Reserves and surplus | -12.32 | -23.41 | -33.31 | -42.11 | -49.91 | -56.78 | -62.77 |
| Term loan outstanding | 28.79 | 23.99 | 19.19 | 14.39 | 9.60 | 4.80 | 0.00 |
| Working capital loan | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total liabilities | 19.93 | 4.05 | -10.65 | -24.26 | -36.85 | -48.52 | -59.31 |
| Net fixed assets | 29.45 | 25.03 | 21.28 | 18.09 | 15.37 | 13.07 | 11.11 |
| 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 | -9.52 | -20.99 | -31.93 | -42.34 | -52.23 | -61.59 | -70.42 |
| Total assets | 19.93 | 4.05 | -10.65 | -24.26 | -36.85 | -48.52 | -59.31 |
14 Ratios and break-even
| Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Debt service coverage ratio (DSCR) | -0.65 | -0.49 | -0.52 | -0.56 | -0.61 | -0.67 | -0.74 |
| Break-even (% of capacity used) | — | — | — | — | — | — | — |
| Cash break-even | — | — | — | — | — | — | — |
| Average DSCR | -0.60 |
|---|---|
| Lowest DSCR | -0.74 |
| Payback period | — |
15 Depreciation
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Depreciation | 5.20 | 4.42 | 3.76 | 3.19 | 2.71 | 2.31 | 1.96 |
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 | 31.19 | 3.38 | 2.40 | 28.79 |
| 2 | 28.79 | 2.92 | 4.80 | 23.99 |
| 3 | 23.99 | 2.40 | 4.80 | 19.19 |
| 4 | 19.19 | 1.87 | 4.80 | 14.39 |
| 5 | 14.39 | 1.34 | 4.80 | 9.60 |
| 6 | 9.60 | 0.81 | 4.80 | 4.80 |
| 7 | 4.80 | 0.29 | 4.80 | 0.00 |
17 Licences and registrations
- Udyam registration
- GST registration
- State Pollution Control Board consent (non-ferrous foundry)
- Factory licence
- Hazardous and Other Wastes Rules authorisation if you handle brass dross or scrap under those rules
- Fire safety clearance for the furnace area
18 Government schemes that may apply
- Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE)
- Stand-Up India
19 Sources
- SIDBI Stand-Up Mitra project profile — Transformers Parts and Accessories — https://www.standupmitra.in/Default/ViewFile/?id=1520964877705_Transformer%20Parts%20and%20Accssories.docx&path=ProjectProfile
- World Customs Organization – HS Nomenclature 2022, Chapter 74 — https://www.wcoomd.org/-/media/wco/public/global/pdf/topics/nomenclature/instruments-and-tools/hs-nomenclature-2022/2022/1574_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.