Bank-ready face mask unit report under MUDRA Kishor — project cost ₹3–25 Lakh, subsidy, CMA data, DSCR ≥ 1.50 and 5-year projections.
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Starting a face mask manufacturing unit under the MUDRA Kishor scheme (NIC 17095) is a viable business opportunity for Indian entrepreneurs, especially in the post-pandemic era where demand for quality masks remains steady. This page provides a bank-ready project report tailored for a face mask unit with a project cost between ₹3 lakh and ₹25 lakh, eligible for MUDRA Kishor loan (₹5 lakh to ₹10 lakh). A well-structured project report is critical for loan approval—it must include CMA (Credit Monitoring Arrangement) data, Debt Service Coverage Ratio (DSCR) calculations, and 5-year financial projections. The report also covers subsidy benefits under MUDRA (no direct subsidy, but interest subvention for women/SC/ST entrepreneurs) and potential linkages with government schemes like PMEGP. Whether you are setting up in a small town or a metro city, this guide helps you prepare a comprehensive document that meets bank requirements, improves your chances of funding, and ensures your business plan is financially viable.
MUDRA Kishor is the second category under Pradhan Mantri MUDRA Yojana (PMMY), offering loans from ₹5 lakh to ₹10 lakh for established businesses. For a face mask unit, the project cost typically ranges from ₹3 lakh to ₹25 lakh, but the MUDRA Kishor component covers up to ₹10 lakh. To be eligible, the applicant must be an Indian citizen, above 18 years, with a viable business plan. No collateral is required under CGTMSE cover for loans up to ₹10 lakh. The business should be in the manufacturing sector (NIC 17095 covers manufacture of other textiles n.e.c., including face masks). Banks prefer existing businesses with at least 6 months of operations, but startups can also apply if they provide a strong project report. The loan is used for machinery, raw materials, and working capital. Interest rates vary from 8% to 14% depending on the bank and credit profile.
A typical face mask unit project cost of ₹10 lakh includes: machinery (mask making machine, ultrasonic welding, cutting machine) – ₹4 lakh; raw materials (non-woven fabric, meltblown, ear loops, nose wires) – ₹2 lakh; working capital – ₹3 lakh; and other expenses (licenses, furniture, installation) – ₹1 lakh. Under MUDRA Kishor, the loan amount is up to ₹10 lakh, with the borrower contributing 10-15% as margin money. The remaining cost can be financed through the loan. For projects above ₹10 lakh, the excess may be covered by own funds or other loans. Banks evaluate the debt-equity ratio (ideally 3:1) and DSCR (minimum 1.25). The project report must include a detailed cost breakdown, sources of funds, and repayment schedule over 3-5 years. Interest subvention of 2% for women and SC/ST entrepreneurs is available if the loan is repaid on time.
To apply for a MUDRA Kishor loan for a face mask unit, you need: (1) KYC documents – Aadhaar, PAN, voter ID, passport-size photos; (2) Business proof – GST registration, Udyam Aadhaar, trade license, shop and establishment certificate; (3) Financial documents – bank statements for last 6 months, IT returns for last 2 years (if applicable), audited balance sheet for existing businesses; (4) Project report – detailed with CMA data, DSCR calculation, 5-year projections, break-even analysis; (5) Quotations for machinery and raw materials; (6) Proof of premises – rent agreement or ownership documents; (7) Caste certificate (if claiming interest subvention). Ensure all documents are self-attested. Banks may also ask for a business plan summary and a declaration of no default. A well-prepared project report speeds up approval and reduces queries.
Every report is formatted to the exact standards required by Indian banks and government departments.
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MUDRA Kishor format + face mask unit economics combined correctly.
Subsidy/margin money for MUDRA Kishor auto-computed.
Project cost ₹3–25 Lakh, NIC 17095.
CMA, DSCR ≥ 1.50, 5-year projections.
Editable; Word + Excel exports; first report free.
Yes — MUDRA Kishor (₹50K–₹5L) is commonly used for face mask unit. The report is formatted to MUDRA Kishor requirements with subsidy/margin money shown.
₹50K–₹5L — computed automatically in the means-of-finance and subsidy sections.
Register free, pick the scheme & loan amount, and the AI drafts the full bank-ready report (CMA data, DSCR, 5-year projections) in under 60 seconds. First report free; clean exports ₹499.
The maximum loan under MUDRA Kishor is ₹10 lakh. However, the total project cost for a face mask unit can be up to ₹25 lakh, with the excess funded through own contribution or other loans. The MUDRA Kishor component is limited to ₹10 lakh.
MUDRA does not provide direct subsidy. However, interest subvention of 2% per annum is available for women and SC/ST entrepreneurs if the loan is repaid on time. Additionally, you can combine MUDRA with PMEGP subsidy (up to 35% of project cost) if eligible, but PMEGP has its own limits and approval process.
The repayment period for MUDRA Kishor loans is generally 3 to 5 years, with a moratorium of 3 to 6 months for term loans. The exact tenure depends on the bank's policy and the project's cash flow projections.
Yes, startups can apply, but they need a robust project report with realistic projections. Banks may require a higher margin money (15-20%) and may ask for collateral if the loan is above ₹10 lakh. Existing businesses with 6 months of operations have a higher chance of approval.