15 April 2010
Can somebody give me standard format of documents required to avail bank loan for starting a business and working capital requirements ??
15 April 2010
standard format for Project Report would cover something like the following:
1. Introduction about the promoter, giving his complete Bio-data (i.e. age, educational and professional qualification, Past experience, Present activity and relationship with each other in case of partnership concerns). 2. Manufacturing process. All operations, which are to be carried out from the Raw Material stage to be finished stage, are to be explained in detail. 3. Market Survey report that has already been prepared, is to be included. 4. Installed capacity of the plant, capacity utilization, during initial 1-3years and Annual Sales. 5. Complete details about the land and building (e.g. cost, area etc.). These are to be supposed by documentary evidence and building plans prepared by an approved Architect. 6. Details of the Plant Machinery. To be supported with quotations from three different suppliers. This should include expenses incurred on taxes, transportation, installation, accessories etc. 7. Details of the Annual requirement of Raw Material and consumables, also to be supported with quotations. 8. All annual expenses (e.g. Utilities, Administrative expenses, Repair and Maintenance, Salaries, Selling expenses, packing and forwarding expenses etc). 9. Working capital requirement, 10. Cost of the project : The items to be included in this area as follows: o Land o Building o Plant and Machinery o Misc. Fixed Assets o Contingencies o Pre-operative Expenses o Margin on Working Capital
Means of Finance o Term loan o Promoters Contribution o Subsidy (if applicable) o Special Capital Assistance (if applicable) (or seed capital) Following Annexures are to be included in the Feasibility Report. 11. Calculation of Interest and Repayment of Term Loan: 12. Calculation of Depreciation: 13. The cost of production and profitability: 14. Debt Service Coverage Ratio: 15. Cash Flow Statement: 16. Projected Balance Sheet: 17. Break Even Point