2023

PROJECT
REPORT

Auto mobile workshop

finline address
 Project at a glance

Name & Address of Unit

Auto mobile workshop

finline address ,123456

Activity : Automobile workshop - Four wheeler

Email : sample@finline.in

Phone : 1234567891

Constitution : Proprietorship

Scheme : sme

Number of employment : 5

Total project cost : 10,25,000.00

Fixed Capital : 7,50,000.00

Working Capital : 2,75,000.00

Total Bank loan : 7,82,500.00

Promoter(s) contribution : 2,42,500.00

Term loan : 5,62,500.00 Interest : 11.00 %

Working capital loan : 2,20,000.00 Interest : 11.00 %

Name & address of promoter(s)

Name : finline sample project

Address : finline address

Phone : 1234567891

Designation : Founder

Category : na

E-mail : sample@finline.in
 Project Feasibility Ratio

Debt Service Coverage Ratio (Average) : 5.85

Current ratio (Average) : 8.56

Year 1 Year 2 Year 3 Year 4 Year 5

Current ratio 2.49 5.32 8.49 11.54 14.93

Quick ratio 2.49 5.32 8.49 11.54 14.93

Interest coverage ratio 12.00 12.26 15.63 20.89 30.22

Debt equity ratio 1.43 0.55 0.28 0.16 0.08

TOL/TNW 1.43 0.55 0.28 0.16 0.08

DSCR 6.59 5.24 5.74 5.57 6.09

Gross profit Sales Percentage % 41.94 % 41.94 % 41.94 % 41.94 % 41.94 %

Net profit Sales Percentage % 19.23 % 17.28 % 17.82 % 16.01 % 16.37 %

Return On Capital Employed 0.29 0.51 0.41 0.36 0.33

Net profit Sales % Quick ratio

Project Feasibility graph
Revenue v/s Expense

Expense Splitup
 Introduction

India was the fourth-largest car manufacturer in the world in 2020. Indian auto manufacturers produced a
record 29.1 million motor vehicles in 2017/20 (Apr-Mar) incl. 4.01 million passenger vehicles. It produced and
sold a record four million vehicles (cars, utility vehicles, and vans). The next milestone of five million vehicles
might not take that long but is unlikely to happen by 2021, unlike some earlier forecasts. Between March 2013
and March 2020, domestic PV production saw a compounded annual growth rate (CAGR) of 4.42 percent.
Assuming this rate stays for the next few years, it could take another five years to reach five million units. The
industry is more optimistic. That is because the CAGR in the past three years has been 7.72 percent. India
was projected to become the third-largest PV market by 2020, according to estimates. It stood fifth in 2017
after China, the US, Japan, and Germany. The auto servicing market, currently pegged at Rs. 20,000 crore, is
expected to be worth Rs. 33,000-34,000 crore by 2020. The growing number of cars in the market helps the
firm to achieve good customers and thus making the project viable.
 Product / Services & process

The firm provide the following services :

1.Four wheeler general services 2. New technology implemented complaints rectification 3. Full engine
servicing using proper company recommended tools 4. Special eletrical ramps gives maximum safety for cars
5. Use only genuine spare sparts 6. Customer call back facility after service 7. Road assistance facility 8.
Insurance claim 9 Free customer service 10.Total vehicle inspection and fine tuning
 Market potential & Strategy

Everyone is facing an acute scarcity of time, they need a workshop with a pickup and drop facility at your
doorsteps at a convenient time and also helping seniors on-road at the time of breakdowns. India, a nation
where one can get pizza in just 30 minutes by dialing a call number; but what happens if one’s 4 wheeler
encounters trouble on road? We aim to be the troubleshooters. Unfortunately, none were providing these
services.

The auto servicing market, currently pegged at Rs. 20,000 crore, is expected to be worth Rs. 33,000-34,000
crore by 2020.The firm provides roadside assistance, pick and drop of two-wheelers at extra charge, quick
response for our regular customers, and the unique list goes on. These are the USPs of this firm compare to
the normal service garages. The high increase of four-wheeler automobiles increased per capita of individuals,
and the adequate public transport system is the supporting factor for the two-wheeler industry as a whole.
For any vehicle, it needs special care and service for a while, so the potential is too high. The firm is planning
to provide a different customer experience through the service garage.
 Project Cost
Sl. no Item Amount Rs.

1 Building 3,00,000.00

2 machinery /Equipments 2,00,000.00

3 Racks & storage 50,000.00

4 Vehicle 1,00,000.00

5 Electrification & Electricity backup 1,00,000.00

6 Working Capital 2,75,000.00

Total 10,25,000.00
 Working Capital Computation
Sl. no Item Amount Rs.

1 Working expense. 2,75,000.00

2 Total working capital 2,75,000.00

3 Own Contribution 55,000.00

4 Working capital loan 2,20,000.00

 Annual Sales / Revenue
Sales is calculated from November 2023

Sl. no Item Rate Quantity Month Unit Total Rs.

1 Revenue from bike service 532.38 X 550 X 5 Number 14,64,040.00

Total 14,64,040.00
 Total Yearly Expense
Expense is calculated from November 2023 .

Sl. no Item Amount Rs.

1 Salary 2,00,000.00

2 Repairs and maintenance charges 1,00,000.00

3 Electricity/Gas charges 50,000.00

4 Purchase consumables/ spare part 5,00,000.00

5 Transportation cost 2,50,000.00

Total 11,00,000.00
 Application of Fund
Sl. no Item Subsidy % No. Rate Amount Rs.

1 Building 0.00 1 3,00,000.00 3,00,000.00

2 machinery /Equipments 0.00 1 2,00,000.00 2,00,000.00

3 Racks & storage 0.00 1 50,000.00 50,000.00

4 Vehicle 0.00 1 1,00,000.00 1,00,000.00

5 Electrification & Electricity backup 0.00 1 1,00,000.00 1,00,000.00

Total Investment 7,50,000.00

Total Subsidy 0.00

Net Investment 7,50,000.00

 Means of Finance
Sl. no Item Amount

1 Term Loan 5,62,500.00

2 Working capital Loan 2,20,000.00

3 Total loan 7,82,500.00

4 Promoters contribution on term loan 1,87,500.00

5 Promoters contribution on working capital loan 55,000.00

 Profitability Statement
All figures are in lakhs
31/03/24 31/03/25 31/03/26 31/03/27 31/03/28

Revenue from operation

Revenue from bike service 14.64 38.65 42.51 46.76 51.44

Add :

Closing stock 0 0 0 0 0

Total 14.64 38.65 42.51 46.76 51.44

Less :

Opening stock 0 0 0 0 0

Purchase consumables/ spare part 5.00 13.20 14.52 15.97 17.56

Salary 2.00 5.28 5.80 6.38 7.02

Repairs and maintenance charges 1.0 2.64 2.90 3.19 3.51

Electricity/Gas charges 0.50 1.32 1.45 1.59 1.75

Total 8.50 22.44 24.68 27.15 29.86

Gross profit 6.14 16.21 17.83 19.61 21.57

Less :

Transportation cost 2.50 6.60 7.26 7.98 8.78

Total 2.50 6.60 7.26 7.98 8.78

Profit before interest, tax and depreciation 3.64 9.61 10.57 11.62 12.79

Depreciation 0.21 0.48 0.42 0.37 0.33

Interest on TL 0.20 0.54 0.43 0.31 0.18

Interest on WC 0.10 0.24 0.24 0.24 0.24

Profit before tax 3.12 8.35 9.47 10.69 12.03

Income Tax 0.31 1.67 1.89 3.20 3.61

Profit after tax 2.81 6.68 7.57 7.48 8.42

 Cash flow statement
All figures are in lakhs
Cash Inflow Pre operative period 31/03/24 31/03/25 31/03/26 31/03/27 31/03/28
Capital 1.87 0.55 0 0 0 0
Subsidy 0 0 0 0 0 0
Termloan 5.62 0 0 0 0 0
Profit before tax with interest 0 3.43 9.13 10.15 11.25 12.45
Increase in WC loan 0 2.20 0 0 0 0
Depreciation 0 0.21 0.48 0.42 0.37 0.33
Increase in Current liability 0 0 0 0 0 0
Total Cash Inflow 7.50 6.39 9.61 10.57 11.62 12.79

Cash Outflow
Fixed Assets 7.50 0 0 0 0 0
Increase in Current asset 0 0 0 0 0
Interest on TL 0 0.20 0.54 0.43 0.31 0.18
Interest on WC 0 0.10 0.24 0.24 0.24 0.24
Income Tax 0 0.31 1.67 1.89 3.20 3.61
Decrease in Term loan 0.29 0.93 1.03 1.15 1.28
Drawing 0 0 0 0 0 0
Total Cash Outflow 7.50 0.90 3.37 3.60 4.91 5.32
Opening balance 0 0 5.48 11.71 18.68 25.39
Net Cashflow 0 5.48 6.23 6.96 6.70 7.47
Closing balance 0 5.48 11.71 18.68 25.39 32.86
 Balance sheet
All figures are in lakhs
Liability Pre operative period As of 31/03/24 31/03/25 31/03/26 31/03/27 31/03/28

A. Share holders funds

Capital 1.87 2.42 2.42 2.42 2.42 2.42

Reserve & Surplus 0 2.81 9.49 17.07 24.56 32.98

B.Non current Liabilities

Termloan 5.62 5.33 4.41 3.37 2.22 0.94

C.Current Liabilities

Working capital loan 0 2.20 2.20 2.20 2.20 2.20

Account payable 0 0 0 0 0

Total Liability 7.50 12.77 18.53 25.07 31.41 38.55

Asset

A. Non current Assets

Fixed Assets 7.50 7.29 6.81 6.39 6.01 5.68

B. Current Assets

Inventory 0 0 0 0 0 0

Trade receivables 0 0 0 0 0 0

Cash and cash equivalence 0 5.48 11.71 18.68 25.39 32.86

Total Asset 7.50 12.77 18.53 25.07 31.41 38.55

 Repayment of Term loan
All figures are in lakhs
Year Month Installment Outstanding at the beginning Principal repayment Interest Amount paid Outstanding at the end

1 Dec 2023 1 5.62 0.071 0.052 0.12 5.55

1 Jan 2024 2 5.55 0.071 0.051 0.12 5.48

1 Feb 2024 3 5.48 0.072 0.050 0.12 5.41

1 Mar 2024 4 5.41 0.073 0.050 0.12 5.33

2 Apr 2024 5 5.33 0.073 0.049 0.12 5.26

2 May 2024 6 5.26 0.074 0.048 0.12 5.19

2 Jun 2024 7 5.19 0.075 0.048 0.12 5.11

2 Jul 2024 8 5.11 0.075 0.047 0.12 5.04

2 Aug 2024 9 5.04 0.076 0.046 0.12 4.96

2 Sep 2024 10 4.96 0.077 0.046 0.12 4.88

2 Oct 2024 11 4.88 0.077 0.045 0.12 4.81

2 Nov 2024 12 4.81 0.078 0.044 0.12 4.73

2 Dec 2024 13 4.73 0.079 0.043 0.12 4.65

2 Jan 2025 14 4.65 0.080 0.043 0.12 4.57

2 Feb 2025 15 4.57 0.080 0.042 0.12 4.49

2 Mar 2025 16 4.49 0.081 0.041 0.12 4.41

3 Apr 2025 17 4.41 0.082 0.040 0.12 4.33

3 May 2025 18 4.33 0.083 0.040 0.12 4.24

3 Jun 2025 19 4.24 0.083 0.039 0.12 4.16

3 Jul 2025 20 4.16 0.084 0.038 0.12 4.07

3 Aug 2025 21 4.07 0.085 0.037 0.12 3.99

3 Sep 2025 22 3.99 0.086 0.037 0.12 3.90

3 Oct 2025 23 3.90 0.086 0.036 0.12 3.82

3 Nov 2025 24 3.82 0.087 0.035 0.12 3.73

3 Dec 2025 25 3.73 0.088 0.034 0.12 3.64

3 Jan 2026 26 3.64 0.089 0.033 0.12 3.55

3 Feb 2026 27 3.55 0.090 0.033 0.12 3.46

3 Mar 2026 28 3.46 0.091 0.032 0.12 3.37

4 Apr 2026 29 3.37 0.091 0.031 0.12 3.28

4 May 2026 30 3.28 0.092 0.030 0.12 3.19

4 Jun 2026 31 3.19 0.093 0.029 0.12 3.10

4 Jul 2026 32 3.10 0.094 0.028 0.12 3.00

4 Aug 2026 33 3.00 0.095 0.028 0.12 2.91

4 Sep 2026 34 2.91 0.096 0.027 0.12 2.81

4 Oct 2026 35 2.81 0.096 0.026 0.12 2.72

4 Nov 2026 36 2.72 0.097 0.025 0.12 2.62

4 Dec 2026 37 2.62 0.098 0.024 0.12 2.52

Year Month Installment Outstanding at the beginning Principal repayment Interest Amount paid Outstanding at the end

4 Jan 2027 38 2.52 0.099 0.023 0.12 2.42

4 Feb 2027 39 2.42 0.10 0.022 0.12 2.32

4 Mar 2027 40 2.32 0.10 0.021 0.12 2.22

5 Apr 2027 41 2.22 0.10 0.020 0.12 2.12

5 May 2027 42 2.12 0.10 0.019 0.12 2.02

5 Jun 2027 43 2.02 0.10 0.019 0.12 1.91

5 Jul 2027 44 1.91 0.10 0.018 0.12 1.81

5 Aug 2027 45 1.81 0.11 0.017 0.12 1.70

5 Sep 2027 46 1.70 0.11 0.016 0.12 1.60

5 Oct 2027 47 1.60 0.11 0.015 0.12 1.49

5 Nov 2027 48 1.49 0.11 0.014 0.12 1.38

5 Dec 2027 49 1.38 0.11 0.013 0.12 1.27

5 Jan 2028 50 1.27 0.11 0.012 0.12 1.16

5 Feb 2028 51 1.16 0.11 0.011 0.12 1.05

5 Mar 2028 52 1.05 0.11 0.0096 0.12 0.94

6 Apr 2028 53 0.94 0.11 0.0086 0.12 0.83

6 May 2028 54 0.83 0.11 0.0076 0.12 0.71

6 Jun 2028 55 0.71 0.12 0.0065 0.12 0.60

6 Jul 2028 56 0.60 0.12 0.0055 0.12 0.48

6 Aug 2028 57 0.48 0.12 0.0044 0.12 0.36

6 Sep 2028 58 0.36 0.12 0.0033 0.12 0.24

6 Oct 2028 59 0.24 0.12 0.0022 0.12 0.12

6 Nov 2028 60 0.12 0.12 0.0011 0.12 0

 Debt Service Coverage Ratio
All figures are in lakhs
Particulars 31/03/24 31/03/25 31/03/26 31/03/27 31/03/28

Receipts

a).Net Profit 2.81 6.68 7.57 7.48 8.42

b).Depreciation 0.21 0.48 0.42 0.37 0.33

c).Interest on termloan 0.20 0.54 0.43 0.31 0.18

Total 3.22 7.69 8.43 8.17 8.93

Repayments

a).Loan Principal 0.29 0.93 1.03 1.15 1.28

b).Interest on termloan 0.20 0.54 0.43 0.31 0.18

Total 0.49 1.46 1.46 1.46 1.46

DSCR 6.60 5.25 5.75 5.57 6.09

Average DSCR : 5.85

 Depreciation
All figures are in lakhs
Particulars Rate 31/03/24 31/03/25 31/03/26 31/03/27 31/03/28

Building 5 3.00 2.93 2.79 2.65 2.51

Less Depreciation 0.063 0.15 0.14 0.13 0.13

Written down value 2.93 2.79 2.65 2.51 2.39

machinery /Equipments 15 2.00 1.87 1.59 1.35 1.15

Less Depreciation 0.13 0.28 0.24 0.20 0.17

Written down value 1.87 1.59 1.35 1.15 0.98

Racks & storage 10 0.50 0.48 0.43 0.39 0.35

Less Depreciation 0.021 0.048 0.043 0.039 0.035

Written down value 0.48 0.43 0.39 0.35 0.31

Total less depreciation 0.21 0.48 0.42 0.37 0.33

Total written down value 7.29 6.81 6.39 6.01 5.68

 Assumption
The entire projection is based on the assumption that the sales for 5 years will be

All figures are in lakhs

31/03/24 31/03/25 31/03/26 31/03/27 31/03/28

14.64 38.65 42.52 46.77 51.44

Revenue from bike service : 3513696

Also the total expense for the firm during the projection years will be as follows

31/03/24 31/03/25 31/03/26 31/03/27 31/03/28

11.00 29.04 31.94 35.14 38.65

• The depreciation is as follows

Particulars Value

Building 5%

machinery /Equipments 15%

Racks & storage 10%

• Cost of the land or building is based on the basis of current rate

• Cost of machinery is based on the quotation submitted by the supplier

• Value of raw materials & utility charges as per the current market conditions

• All other assumptions are calculated based on the basis of experience of the promoter and deep study
on the working of similar model

This report is created using www.finline.in . Finline have bears no financial responsibility on or behalf of any of
the authorized signatories
 Conclusion
The project as a whole describes the scope and viability of the Service industry and mainly of the financial,
technical and its market potential.The project guarantee sufficient fund to repay the loan and also give a good
return on capital investment. When analyzing the social- economic impact, this project is able to generate an
employment of 5 and above. It will cater the demand of Service and thus helps the other business entities to
increase the production and service which provide service and support to this industry. Thus more cyclic
employment and livelihood generation. So in all ways, we can conclude the project is technically and socially
viable and commercially sound too.

When we take a close look at the Debt Service Coverage Ratio (DSCR), the avg: DSCR is 5.85 : 1, which is at a
higher proposition and proposes a stable venture

The Profit and Loss shows a steady growth in profit throughout the year and the firm has a higher Current
Ratio (average) of 8.56, this shows the current assets and current liabilities are managed & balanced well.