Detailed Project Report
Tumbler Lock (Padlock) Manufacturing
—
Prepared on: 13 November 2026 · Prepared with Building Business DPR (buildingbusiness.in)
01 Project at a glance
- Total project cost
- ₹9.82 L
- Term loan from bank
- ₹6.38 L
- Promoter’s contribution
- ₹0.98 L
- Subsidy
- ₹2.46 L
- Sales · Year 3
- ₹0.00 L
- Profit after tax · Year 3
- ₹-4.68 L
- Average DSCR
- -2.46
- 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
Pressure die-cast zinc-alloy lock bodies and assemble them with levers, shackles and keys into padlocks.
| Main product or service | Tumbler Lock (Padlock) Manufacturing |
|---|---|
| Installed capacity per year (at 100%) | 10,000 units |
04 Market
- Households and shopkeepers
- Hardware wholesalers and retailers
- Almirah and trunk makers
- Hardware shops
- Hardware wholesale markets
05 Plant and machinery
| Item | Qty | ₹ | Total ₹ |
|---|---|---|---|
| Hand-operated hot-chamber pneumatic pressure die casting machine (up to 400 g) (× 5) | 1 | 4,25,000 | 4,25,000 |
| Power press, 10 tonne, with 1 HP motor (× 2) | 1 | 1,30,000 | 1,30,000 |
| Air compressor for die casting (× 5) | 1 | 75,000 | 75,000 |
| Bench drilling machine, 10 mm (× 2) | 1 | 25,000 | 25,000 |
| Bench grinder, 200 mm | 1 | 5,500 | 5,500 |
| Lathe, 1,500 mm bed, with 2 HP motor | 1 | 75,000 | 75,000 |
| Electroplating plant / painting equipment (× L.S.) | 1 | 1,00,000 | 1,00,000 |
| Dies, tools and measuring instruments | 1 | 1,00,000 | 1,00,000 |
| Total | 9,35,500 |
Pre-filled from: DC-MSME project profile — Tumbler Locks (PMRY series, prepared by SISI); World Customs Organization – HS Nomenclature 2022, Chapter 83. Prices in older reports will have gone up — enter today’s quotations.
06 Raw materials
- Mazak (zinc-based) alloy — 1.5 tonnes a month at ₹70,000 a tonne in the profile
- Springs — 100 kg a month at ₹25 a kg
- MS sheet, 24 SWG — 500 kg a month at ₹20 a kg (levers)
- Electroplating salts, paint, oil and diesel — ₹75,000 a month
07 Cost of project
| ₹ in lakh | |
|---|---|
| Plant and machinery | 9.36 |
| Contingency | 0.47 |
| Total fixed capital | 9.82 |
| Working capital margin | 0.00 |
| Total project cost | 9.82 |
08 Means of finance
| ₹ in lakh | % | |
|---|---|---|
| Promoter’s contribution | 0.98 | 10.0 |
| Subsidy | 2.46 | 25.0 |
| Term loan from bank | 6.38 | 65.0 |
| Total | 9.82 | 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 | 0.20 | 0.20 | 0.20 | 0.20 | 0.20 | 0.20 | 0.20 |
| Insurance | 0.05 | 0.05 | 0.05 | 0.05 | 0.05 | 0.05 | 0.05 |
| Total cost of operations | 3.13 | 3.13 | 3.13 | 3.13 | 3.13 | 3.13 | 3.13 |
| Operating profit (EBITDA) | -3.13 | -3.13 | -3.13 | -3.13 | -3.13 | -3.13 | -3.13 |
| Depreciation | 1.47 | 1.25 | 1.06 | 0.90 | 0.77 | 0.65 | 0.56 |
| Preliminary expenses written off | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Interest on term loan | 0.69 | 0.60 | 0.49 | 0.38 | 0.27 | 0.17 | 0.06 |
| Interest on working capital | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit before tax | -5.29 | -4.98 | -4.68 | -4.41 | -4.17 | -3.95 | -3.74 |
| Income tax | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit after tax | -5.29 | -4.98 | -4.68 | -4.41 | -4.17 | -3.95 | -3.74 |
12 Cash flow
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Profit after tax | -5.29 | -4.98 | -4.68 | -4.41 | -4.17 | -3.95 | -3.74 |
| Depreciation | 1.47 | 1.25 | 1.06 | 0.90 | 0.77 | 0.65 | 0.56 |
| Cash accruals (PAT + depreciation) | -3.82 | -3.72 | -3.62 | -3.51 | -3.40 | -3.29 | -3.18 |
| Term loan repaid | 0.49 | 0.98 | 0.98 | 0.98 | 0.98 | 0.98 | 0.98 |
| Owner’s drawings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Surplus after repayment | -4.31 | -4.71 | -4.60 | -4.49 | -4.38 | -4.27 | -4.17 |
| Cash and bank | -4.31 | -9.01 | -13.61 | -18.10 | -22.49 | -26.76 | -30.93 |
13 Projected balance sheet
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Capital (own + subsidy) | 3.44 | 3.44 | 3.44 | 3.44 | 3.44 | 3.44 | 3.44 |
| Reserves and surplus | -5.29 | -10.27 | -14.95 | -19.36 | -23.53 | -27.48 | -31.22 |
| Term loan outstanding | 5.89 | 4.91 | 3.93 | 2.95 | 1.96 | 0.98 | 0.00 |
| Working capital loan | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total liabilities | 4.04 | -1.92 | -7.58 | -12.98 | -18.13 | -23.06 | -27.78 |
| Net fixed assets | 8.35 | 7.10 | 6.03 | 5.13 | 4.36 | 3.70 | 3.15 |
| 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 | -4.31 | -9.01 | -13.61 | -18.10 | -22.49 | -26.76 | -30.93 |
| Total assets | 4.04 | -1.92 | -7.58 | -12.98 | -18.13 | -23.06 | -27.78 |
14 Ratios and break-even
| Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Debt service coverage ratio (DSCR) | -2.64 | -1.98 | -2.12 | -2.29 | -2.49 | -2.72 | -3.00 |
| Break-even (% of capacity used) | — | — | — | — | — | — | — |
| Cash break-even | — | — | — | — | — | — | — |
| Average DSCR | -2.46 |
|---|---|
| Lowest DSCR | -3.00 |
| Payback period | — |
15 Depreciation
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Depreciation | 1.47 | 1.25 | 1.06 | 0.90 | 0.77 | 0.65 | 0.56 |
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 | 6.38 | 0.69 | 0.49 | 5.89 |
| 2 | 5.89 | 0.60 | 0.98 | 4.91 |
| 3 | 4.91 | 0.49 | 0.98 | 3.93 |
| 4 | 3.93 | 0.38 | 0.98 | 2.95 |
| 5 | 2.95 | 0.27 | 0.98 | 1.96 |
| 6 | 1.96 | 0.17 | 0.98 | 0.98 |
| 7 | 0.98 | 0.06 | 0.98 | 0.00 |
17 Licences and registrations
- Udyam registration
- GST
- State Pollution Control Board consent (electroplating)
- Trade licence from the local body
- BIS certification if a Quality Control Order covers padlocks — check the current BIS list
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
- DC-MSME project profile — Tumbler Locks (PMRY series, prepared by SISI) — https://www.dcmsme.gov.in/publications/pmryprof/mechanical/ch20.pdf
- World Customs Organization – HS Nomenclature 2022, Chapter 83 — https://www.wcoomd.org/-/media/wco/public/global/pdf/topics/nomenclature/instruments-and-tools/hs-nomenclature-2022/2022/1583_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.