Project Report

PROJECT REPORT
OF

SATISH DAIRY FARM

At Post :- Mahegaon Deshmukh , Tal.- Kopargaon, Dist.-Ahamad Nagar.

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 Project Report

Introduction :-

Milk is indispensable product for every family in the earth. From Child to Old man every
one requires milk for their daily need. It can use in different forms like boiled Milk can
use for drink as complete food, a sweet dish consist milk and other fruits or other things,
For ice-creem, Tea, Coffee etc. Its demand increases as the society increases.
In fact the demand supply ratio is adverse. So that whatever milk receives in the market
someone already waiting surely.

Selling of milk is proprietors ancestral business. He is such type of farmer who actually
works in farm. So that he can do this business successfully.

Promoters and the Proprietor

The details of proprietor is as under:

Full Name :- Satish Ananda Kadam

Age :- yrs

Address :- At Post :- Mahegaon Deshmukh , Tal.- Kopargaon , Dist.- AhamadNagar.

Proposal

Proprietor is going to purchase 12 Cow. (Breed – Jursee )Which cost Rs.

1,00,000/- per Cow. Total cost of project is Rs. 12,00,000/-. Proprietor is ready to invest
Rs. 2,50,000/- and required a term loan of Rs. 9,50,000/- for a period of 5 years.

Manpower and management

Satish Ananda Kadam shall monitor and manage the day to day operations. She
has good experience in that field. The skilled workers and other technicians will be
sourced locally. Services of the veterinary department are available to the proposed
activity.

She is in touch with good veteran doctor who can support health of Cows .

Facilities Available

Proprietor is owning more than Acre fully irrigated land. There is good availability of
fodder and water in house. So that external cost of fodder will be reduced to the
proprietor. There are good roads and quick transport facilities are available so that it will
be very easy to sell the milk in the same day.

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Projected Profitability Statement

year
Particulars 23-24 24-25 25-26 26-27 2027-28

Sales (Annexure A) 13,82,400 14,25,600 14,68,800 15,12,000 15,55,200

13,82,400 14,25,600 14,68,800 15,12,000 15,55,200

Expenses

Travelling Expenses 6,200 6,820 7,502 8,252 9,077

Fodder Cost and suppliment 4,14,720 4,27,680 4,40,640 4,53,600 4,66,560
Wages 3,60,000 3,96,000 4,15,800 4,36,590 4,58,420
Insurance Expenses 40,000 44,000 48,400 53,240 58,564
Cleaning Expenses 12,400 13,640 15,004 16,504 18,155
Doctors Fees 48,000 52,800 58,080 63,888 70,277
Medecines 9,500 10,450 11,495 12,645 13,909
Convyance exps 38,500 42,350 46,585 51,244 56,368
Wastages 3,600 3,960 4,356 4,792 5,271
Interest on term loan 1,06,875 85,500 64,125 42,750 21,375
Depreciation 56,020 50,418 45,376 40,839 36,755

Total expenses 10,95,815 11,33,618 11,57,363 11,84,343 12,14,730

Profit / (loss) before tax 2,86,585 2,91,982 3,11,437 3,27,657 3,40,470

 Project Report

Projected Balance Sheets

Years
Particulars 23-24 24-25 25-26 26-27 2027-28 -

Proprietors Fund
Capital
Opening balance 6,10,200 11,06,785 13,56,767 16,11,204 18,66,861 21,20,331
Add: Capital introduced 2,50,000
Add: Profit for the year 2,86,585 2,91,982 3,11,437 3,27,657 3,40,470 3,27,109
Less : Drawings 40,000 42,000 57,000 72,000 87,000 1,02,000
11,06,785 13,56,767 16,11,204 18,66,861 21,20,331 23,45,440

Term Loan 7,60,000 5,70,000 3,80,000 1,90,000 - -

Total Liabilities 18,66,785 19,26,767 19,91,204 20,56,861 21,20,331 23,45,440

Fixed Asset
(As per annexure attatched )
SHED/Utensiles 5,04,180 4,53,762 4,08,386 3,67,547 3,30,792 2,97,713
Buffellow 12,00,000 12,00,000 12,00,000 12,00,000 12,00,000 12,00,000

Investments - 2,00,000 3,00,000 4,00,000 5,00,000 7,40,000

Current Assets
Sundry Debtors 15,000 18,750 23,438 29,297 36,621 45,776
Cash & bank Balances& Investment 1,47,605 54,255 59,381 60,017 52,918 61,950

Current Assets 1,62,605 73,005 82,818 89,314 89,539 1,07,727

Less : Current Liabilities

Sundry Creditors for purchases - - - - - -

Current Liabilites - - - - - -

Net Current Assets 1,62,605 73,005 82,818 89,314 89,539 1,07,727

Total Assets 18,66,785 19,26,767 19,91,204 20,56,861 21,20,331 23,45,440

TA 18,66,785 19,26,767 19,91,204 20,56,861 21,20,331 23,45,440

TL 18,66,785 19,26,767 19,91,204 20,56,861 21,20,331 23,45,440
Diff - - - - - -
 Project Report

Projected Cash Flow Statement

Source of Funds year

Particulars 23-24 24-25 25-26 26-27 2027-28 -

Profit After Depreciation 2,86,585 2,91,982 3,11,437 3,27,657 3,40,470 3,27,109

Depreciation 56,020 50,418 45,376 40,839 36,755 33,079
Interest on installment Add Back 1,06,875 85,500 64,125 42,750 21,375 -
Capital Introduced 2,50,000
Term Loan received 9,50,000

16,49,480 4,27,900 4,20,938 4,11,246 3,98,600 3,60,188

Application of Funds

Drawings 40,000 42,000 57,000 72,000 87,000 1,02,000

Repayment of Loan Installment 2,96,875 2,75,500 2,54,125 2,32,750 2,11,375 -

Capital expenditure on

Buffellow Purchased 12,00,000

Increase in Investment - 2,00,000 1,00,000 1,00,000 1,00,000 2,40,000
Increase in Current Assets 15,000 3,750 4,688 5,859 7,324 9,155

15,51,875 5,21,250 4,15,813 4,10,609 4,05,699 3,51,155

Opening Cash & Bank Balance 50,000 1,47,605 54,255 59,381 60,017 52,918
Add: Surplus /(Deficit) 97,605 (93,350) 5,126 636 (7,099) 9,033
Closing cash & Bank Balance 1,47,605 54,255 59,381 60,017 52,918 61,950
 Project Report

Projected Ratio Analysis

Years
Particulars 23-24 24-25 25-26 26-27 2027-28 -

Net Profit 2,86,585 2,91,982 3,11,437 3,27,657 3,40,470 3,27,109

Depreciation 56,020 50,418 45,376 40,839 36,755 33,079
Interest 1,06,875 85,500 64,125 42,750 21,375 -
Sub Total (A) 4,49,480 4,27,900 4,20,938 4,11,246 3,98,600 3,60,188

Interest 1,06,875 85,500 64,125 42,750 21,375 -

Prenciple Repayment of Loan 83,125 1,04,500 1,25,875 1,47,250 1,68,625 -
Sub Total (B) 1,90,000 1,90,000 1,90,000 1,90,000 1,90,000 -

Debt Service Coverage Ratio (A)/(B) 2.37 2.25 2.22 2.16 2.10 #DIV/0!
Times
AVERAGE DSCR 2.22
(Term loan is comparitively lesser hence DSCR reflects higher side)
Net Profit 2,86,585 2,91,982 3,11,437 3,27,657 3,40,470 3,27,109

Sales 13,82,400 14,25,600 14,68,800 15,12,000 15,55,200 15,98,400

Net Profit Ratio 20.73 20.48 21.20 21.67 21.89 20.46

% % % % % %
 Project Report

TERM LOAN From BANK

Year ended
23-24 24-25 25-26 26-27 2027-28
Particulars Rs. Rs. Rs. Rs. Rs.

Loan Amount 9,50,000 7,60,000 5,70,000 3,80,000 1,90,000

add Interes for the year 1,06,875 85,500 64,125 42,750 21,375
@ 11.25 % 10,56,875 8,45,500 6,34,125 4,22,750 2,11,375

Less : Interest 1,06,875 85,500 64,125 42,750 21,375

Less : Installment 1,90,000 1,90,000 1,90,000 1,90,000 1,90,000
2,96,875 2,75,500 2,54,125 2,32,750 2,11,375

O/s at Year end 7,60,000 5,70,000 3,80,000 1,90,000 -

 Project Report

Projected Depreciation Schedule

Year
Particulars Dep. 23-24
% 24-25 25-26 26-27 2027-28 2028-29

SHED/Utensiles
10
Cost/Opening Bal. 5,60,200 5,04,180 4,53,762 4,08,386 3,67,547 3,30,792
Add : addition -
Total 5,60,200 5,04,180 4,53,762 4,08,386 3,67,547 3,30,792
Less: Depreciation 56,020 50,418 45,376 40,839 36,755 33,079
Closing bal. 5,04,180 4,53,762 4,08,386 3,67,547 3,30,792 2,97,713

TOTAL OP.W.D.V 5,60,200 5,04,180 4,53,762 4,08,386 3,67,547 3,30,792

TOTAL DEPRECIATION 56,020 50,418 45,376 40,839 36,755 33,079
TOTAL CL.W.D.V 5,04,180 4,53,762 4,08,386 3,67,547 3,30,792 2,97,713

Annexure A Sale of Milk

PARTUCULARS Year ended
23-24 24-25 25-26 26-27 2027-28 2028-29
Lactation Days Days/per 240 240 240 240 240 240
Cow
Total No. of Cows 12 12 12 12 12 12

Milk Yield (per Cow ltr/days)

Ltrs 15 15 15 15 15 15
No of ltrs per day 180 180 180 180 180 180
Rate per liter 32 33.00 34.00 35.00 36.00 37.00

Sale Value For the Year 13,82,400 14,25,600 14,68,800 15,12,000 15,55,200 15,98,400

Gross revenue 13,82,400 14,25,600 14,68,800 15,12,000 15,55,200 15,98,400