PMFME · Food Processing

PMFME Soya Products Unit Project Report

Bank-ready soya products unit report under PMFME — project cost ₹5–40 Lakh, subsidy, CMA data, DSCR ≥ 1.50 and 5-year projections.

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About This Scheme

Are you planning to start a Soya Products Unit under the PMFME (Pradhan Mantri Formalisation of Micro Food Processing Enterprises) scheme? This page provides a complete project report format for NIC 10406 (Manufacture of vegetable and animal oils and fats) with a project cost between ₹5 lakh and ₹40 lakh. A bank-ready project report is essential for loan approval under PMFME, which offers 35% capital subsidy (max ₹10 lakh) and credit-linked support. The report must include CMA (Credit Monitoring Arrangement) data, DSCR (Debt Service Coverage Ratio), and 5-year financial projections. Whether you are in Indore (soya hub of India), Madhya Pradesh, or any other state, this guide covers the project cost breakup, subsidy calculation, machinery list, and documentation required for a successful application. Use this template to prepare a professional report that meets bank and scheme guidelines.

PMFME
Scheme
Soya Products Unit
Business
₹5–40 Lakh
Project Cost
10406
NIC Code
35% capital subsidy
Coverage
≥ 1.50
DSCR (bank norm)
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Price

Eligibility for PMFME Soya Products Unit

To apply for PMFME subsidy for a Soya Products Unit, you must be an Individual, Partnership, LLP, Private Limited, Cooperative, or Self Help Group (SHG). The project cost should be between ₹5 lakh and ₹40 lakh. Existing units can also apply for upgradation. The business must be involved in processing soya beans into products like soya oil, soya meal, soya chunks, soya milk, or tofu. The unit should be located in a rural or semi-urban area (preference given). You need a valid GST registration (if turnover exceeds ₹20 lakh), FSSAI license, and Udyam Registration. The promoter should not have defaulted on any previous loan. The project must be viable with a DSCR of at least 1.25.

Project Cost & Financing Structure

For a Soya Products Unit with a project cost of ₹20 lakh (example), the typical financing structure under PMFME is: 35% capital subsidy (₹7 lakh) from the scheme, 10% promoter contribution (₹2 lakh), and 55% bank loan (₹11 lakh). The project cost includes: land & building (if not owned) ₹3 lakh, plant & machinery (soya expeller, oil filter, boiler, packaging machine) ₹10 lakh, working capital (raw material, electricity, labour) ₹5 lakh, and other expenses (licenses, installation) ₹2 lakh. The bank loan is repayable over 5 years at an interest rate of MCLR + 2-3% (approx 9-11%). The subsidy is released in two instalments: 50% after loan disbursement and 50% after project completion. Ensure you have a detailed CMA report showing current ratio >1.5 and DSCR >1.5.

Documents Required for PMFME Loan

For a PMFME loan application for a Soya Products Unit, you need: 1. Duly filled PMFME application form (Annexure I). 2. Project report with CMA, DSCR, and 5-year projections. 3. KYC documents (Aadhaar, PAN, Voter ID). 4. Proof of business address (rent agreement or ownership). 5. GST registration certificate. 6. FSSAI license (for food processing). 7. Udyam Registration certificate. 8. Bank statements for last 6 months (if existing business). 9. Quotations for machinery from suppliers. 10. Land documents (if owned). 11. Caste certificate (if SC/ST/OBC for additional benefits). 12. No objection certificate from local authority. Submit these to your nearest empanelled bank (SBI, PNB, Bank of Baroda, etc.) or through the PMFME portal.

What Your Report Includes

Every report is formatted to the exact standards required by Indian banks and government departments.

  • Executive Summary with scheme-specific highlights
  • Promoter profile & KYC details
  • Business description & market analysis
  • Machinery & equipment list with quotations
  • Raw material & manpower planning
  • 5-year financial projections (P&L, Balance Sheet, Cash Flow)
  • CMA Data in IBA-approved format
  • Working Capital Assessment — Tandon Method II (RBI norms)
  • Loan repayment schedule with DSCR ≥ 1.25
  • SWOT analysis
  • Declarations & undertakings as per scheme guidelines

Eligibility Checklist

  • soya products unit owner eligible under PMFME (35% capital subsidy)
  • Valid Aadhaar & PAN
  • Udyam (MSME) registration recommended
  • New or existing soya products unit
  • Age 18+
  • No prior bank default
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A complete 14-section project report — the same document your bank officer will read. Every table below is real: the repayment schedule, the DSCR, the CMA workings, the balance sheet. Generate yours free, then pay ₹499 for the clean copy.

Project cost
₹10,00,000
Term loan sought
₹8,00,000
Promoter's margin
₹2,00,000 (20%)
Average DSCR
5.87 (norm ≥ 1.25)
Break-even
62% of Year-1 sales
Employment
3 existing + 3 new

Project Report

Sharma Electronics & Repair Services

Consumer electronics repair, servicing & spare-parts retail

Vaishali Nagar, Jaipur, Rajasthan

SchemeMUDRA Tarun
Loan applied for₹8,00,000
Total project cost₹10,00,000
ConstitutionSole Proprietorship

Submitted to the Branch Manager · Punjab National Bank, Vaishali Nagar, Jaipur

01

Executive Summary

Name of the unit
Sharma Electronics & Repair Services
Constitution
Sole Proprietorship
Promoter
Suresh Sharma (34 years)
Address of unit
Shop No. 12, Ground Floor, Vaishali Nagar, Jaipur — 302021
Nature of activity
Consumer electronics repair, servicing & spare-parts retail
NIC code
9521 — Repair of consumer electronics
Scheme applied under
Pradhan Mantri MUDRA Yojana — Tarun
Total project cost
₹10,00,000
Term loan requested
₹8,00,000 (80%)
Promoter's contribution
₹2,00,000 (20%)
Repayment
60 monthly instalments @ 10.50% p.a.

The unit has been in operation since 2019 and currently services 20–25 jobs a day from a 350 sq.ft. ground-floor shop, with a recorded customer base of 600+ households in the Vaishali Nagar catchment. The promoter proposes to expand the workbench capacity, add board-level diagnostic equipment and carry a spare-parts inventory so that 70% of repairs can be completed same-day instead of the present 3-day turnaround.

The project is assessed at a cost of ₹10.00 lakh, financed by a ₹8.00 lakh MUDRA Tarun term loan and ₹2.00 lakh of promoter's own contribution (20%). At the projected turnover the unit services its debt 5.87 times over on average, against the 1.25 minimum, and breaks even at 62% of Year-1 sales — leaving substantial cushion against a demand shortfall.

Recommendation: the proposal is technically feasible, commercially viable and financially sound. It is recommended for sanction of a term loan of ₹8.00 lakh repayable in 60 monthly instalments.

05

Project Cost

Cost of the project
ParticularsBasisAmount (₹)
Renovation & civil work200 sq.ft. additional area, electrical, ESD flooring1,20,000
Diagnostic & repair equipmentAs per quotations — Annexure IX2,40,000
Computers, software & service tools2 systems, billing software, tool kits80,000
Furniture, air-conditioning & display fixturesCounter, racks, 1.5 T AC60,000
Margin money for working capitalStock, receivables & operating cash5,00,000
Total project cost10,00,000

A 5% contingency is built into the civil and equipment estimates. All capital items are supported by three quotations each.

06

Means of Finance

Means of finance
SourceAmount (₹)% of project cost
Promoter's own contribution2,00,00020.00%
Term loan under MUDRA Tarun8,00,00080.00%
Subsidy / margin money grantNil
Total10,00,000100.00%

Promoter's contribution is held in Savings A/c No. XXXXXX4417 with Punjab National Bank, Vaishali Nagar (statement enclosed). Debt–equity at inception is 4.00 : 1, improving to 1.65 : 1 by the end of Year 1.

For PMEGP, PMFME, NABARD and state-subsidy proposals this section additionally carries the margin-money subsidy workings, the subsidy-adjusted repayment and a second DSCR computed net of subsidy.

07

Machinery & Equipment

Plant, machinery and equipment proposed
EquipmentQtyRate (₹)Amount (₹)
BGA rework station with preheater195,00095,000
Digital storage oscilloscope with probes145,00045,000
Universal IC programmer135,00035,000
Ultrasonic PCB cleaning unit122,00022,000
Soldering / desoldering stations38,00024,000
Precision tool kits & ESD workbench29,50019,000
Total2,40,000

Suppliers: Fine Tools India (Jaipur), Sagar Electronics (Delhi), Techno Instruments (Jaipur). Quotations enclosed at Annexure IX. Delivery within 30 days of sanction; installation by the supplier at no extra cost.

09

Profitability Projections (5 Years)

Projected profit & loss account (₹ in lakh)
ParticularsYear 1Year 2Year 3Year 4Year 5
Service & repair income24.0028.3232.5736.8041.22
Sale of spares & accessories9.6011.3313.0314.7316.49
Total revenue33.6039.6545.6051.5357.71
Cost of spares & materials (45%)15.1217.8420.5223.1925.97
Gross profit18.4821.8125.0828.3431.74
Salaries & wages6.727.267.848.479.14
Rent1.441.511.591.671.75
Power & fuel0.720.780.830.890.95
Repairs & maintenance0.300.330.360.390.42
Marketing & business promotion0.360.400.440.480.52
Administrative & miscellaneous0.600.660.720.780.84
Insurance0.120.130.140.150.16
Total operating expenses10.2611.0711.9212.8313.78
EBITDA8.2210.7413.1615.5117.96
Depreciation (WDV, as per IT Act)0.860.660.520.420.35
EBIT7.3610.0812.6415.0917.61
Interest on term loan0.780.640.480.310.11
Profit before tax6.589.4412.1614.7817.50
Income tax (as applicable)0.300.620.951.351.80
Profit after tax6.288.8211.2113.4315.70

Revenue grows 18%, 15%, 13% and 12% over the five years, against 22% achieved by the unit in the last audited year. Capacity utilisation moves from 72% to 91%; the projections do not assume any increase in service rates.

10

Repayment Schedule & DSCR

Loan amount
₹8,00,000
Rate of interest
10.50% p.a. (reducing balance)
Tenure
60 months
Moratorium
Nil
Equated monthly instalment
₹17,195
Total interest over the tenure
₹2,31,707
Year-wise repayment schedule (₹)
YearOpening balancePrincipal repaidInterestTotal outgoClosing balance
18,00,0001,28,40477,9372,06,3416,71,596
26,71,5961,42,55563,7872,06,3415,29,041
35,29,0411,58,26548,0772,06,3413,70,776
43,70,7761,75,70630,6352,06,3411,95,070
51,95,0701,95,07011,2722,06,341Nil
Total8,00,0002,31,70710,31,705
Debt service coverage ratio (₹ in lakh)
ParticularsYear 1Year 2Year 3Year 4Year 5
Profit after tax6.288.8211.2113.4315.70
Add: depreciation0.860.660.520.420.35
Add: interest on term loan0.780.640.480.310.11
Cash available for debt service (A)7.9210.1212.2114.1616.16
Principal repayment1.281.431.581.761.95
Interest0.780.640.480.310.11
Total debt service (B)2.062.072.062.072.06
DSCR (A ÷ B)3.844.895.936.847.84

Average DSCR over the tenure: 5.87. The minimum acceptable to banks is 1.25; the unit crosses that threshold even if Year-1 revenue falls 60% short of projection.

11

Balance Sheet & Cash Flow Projections

Projected balance sheet (₹ in lakh)
ParticularsYear 1Year 2Year 3Year 4Year 5
LIABILITIES
Capital account (net of drawings)4.087.5012.1117.7424.44
Term loan — long-term portion5.293.711.95
Term loan — current maturity1.431.581.761.95
Sundry creditors (30 days)1.261.491.711.932.16
Other current liabilities & provisions0.300.350.400.450.50
Total12.3614.6317.9322.0727.10
ASSETS
Net fixed assets4.143.482.962.542.19
Stock of spares (45 days)1.862.202.532.863.20
Sundry debtors (10 days)0.921.091.251.411.58
Cash & bank balance5.447.8611.1915.2620.13
Total12.3614.6317.9322.0727.10
Cash flow statement — Year 1 (₹ in lakh)
SourcesAmountApplicationsAmount
Profit after tax6.28Capital expenditure5.00
Depreciation0.86Increase in stock1.86
Increase in creditors & provisions1.56Increase in debtors0.92
Term loan drawn8.00Repayment of term loan1.28
Promoter's capital introduced2.00Drawings4.20
Closing cash & bank5.44
Total18.70Total18.70
12

CMA Data & Working Capital Assessment

Working capital is assessed under the Tandon Committee Method II, the basis used by banks for limits up to ₹5 crore. The workings below are drawn from the Year-1 projections above.

Maximum permissible bank finance (₹ in lakh)
ParticularsAmount
Stock of spares1.86
Sundry debtors0.92
Cash & bank balance5.44
Total current assets (TCA)8.22
Sundry creditors1.26
Other current liabilities & provisions0.30
Current maturity of term loan1.43
Other current liabilities (OCL)2.99
Working capital gap (TCA − OCL)5.23
25% of TCA — stipulated margin2.06
Maximum permissible bank finance (Method II)3.18

No cash-credit limit is sought in this proposal; the assessment is presented because bank officers ask for it. Were the limit of ₹3.18 lakh availed, the current ratio would stand at 1.33 — above the 1.25 stipulated by IBA.

CMA statements included in the full report

  • Form I — particulars of existing and proposed limits
  • Form II — operating statement (actuals and projections)
  • Form III — analysis of the balance sheet
  • Form IV — comparative statement of current assets and current liabilities
  • Form V — computation of maximum permissible bank finance
  • Form VI — fund flow statement
  • Ratio analysis and holding-period statement
13

Key Ratios, Break-Even & SWOT

Key financial indicators
RatioYear 1Year 2Year 3Year 4Year 5Bank norm
Current ratio2.753.263.874.519.36≥ 1.25
Debt–equity ratio1.650.710.310.11Nil≤ 3.00
DSCR3.844.895.936.847.84≥ 1.25
Net profit margin18.7%22.2%24.6%26.1%27.2%
Interest coverage9.415.826.348.7160.1≥ 2.00
Break-even analysis — Year 1 (₹ in lakh)
ParticularsAmount
Fixed costs (salaries, rent, admin, depreciation, interest)10.88
Variable costs (materials, power, maintenance)16.14
Contribution (revenue − variable costs)17.46
P/V ratio51.96%
Break-even sales20.94
Break-even as % of Year-1 revenue62.3%
Cash break-even as % of Year-1 revenue57.4%

Strengths

  • Nine years of promoter experience in the same line of activity; the unit is already running and profitable.
  • Only board-level repair capability in a 3 km catchment of 12,000 households.
  • 85% repeat customers — revenue is recurring rather than one-off.
  • Low fixed-cost base; the shop is rented at ₹12,000 a month with no owned-premises burden.

Weaknesses

  • Technical dependence on the proprietor for complex board-level work.
  • Informal book-keeping to date; a computerised billing and stock system is part of this project.
  • Brand recognition limited to the immediate locality.

Opportunities

  • Right to Repair framework improving access to genuine spares for independent repairers.
  • About 3,000 new households entering the catchment within 1 km.
  • Institutional tie-ups — schools, clinics and offices for annual maintenance contracts.

Threats

  • An authorised brand service centre opening within the catchment.
  • Import-duty-led increases in spare-parts prices.
  • Attrition of trained technicians to larger service chains.
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Subsidy/margin money for PMFME auto-computed.

Project cost ₹5–40 Lakh, NIC 10406.

CMA, DSCR ≥ 1.50, 5-year projections.

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Frequently Asked Questions

Can I fund a soya products unit with PMFME?

Yes — PMFME (35% capital subsidy) is commonly used for soya products unit. The report is formatted to PMFME requirements with subsidy/margin money shown.

How much subsidy under PMFME?

35% capital subsidy — computed automatically in the means-of-finance and subsidy sections.

How do I get it?

Register free, pick the scheme & loan amount, and the full bank-ready report is drafted for you (CMA data, DSCR, 5-year projections) in under 60 seconds. First report free; clean exports ₹499.

What is the maximum subsidy under PMFME for a Soya Products Unit?

The maximum capital subsidy under PMFME is 35% of the eligible project cost, capped at ₹10 lakh. For a project cost of ₹40 lakh, the subsidy is ₹10 lakh. For a project cost of ₹20 lakh, the subsidy is ₹7 lakh. The subsidy is released in two instalments: 50% after loan disbursement and 50% after project completion and verification.

Can I get a loan for a Soya Products Unit without collateral under PMFME?

Yes, PMFME loans are collateral-free for loans up to ₹10 lakh under CGTMSE (Credit Guarantee Fund Trust for Micro and Small Enterprises). For loans above ₹10 lakh, collateral may be required depending on the bank's policy. The project cost up to ₹40 lakh is eligible, so if your loan component is within ₹10 lakh, no collateral is needed.

What is the repayment period for a PMFME loan?

The repayment period for a PMFME loan is typically 5 years, including a moratorium period of 6-12 months. The loan is repaid in monthly or quarterly instalments. The interest rate is based on the bank's MCLR plus 2-3%, currently around 9-11% per annum. Ensure your DSCR is at least 1.25 to get loan approval.

Do I need a project report for PMFME subsidy?

Yes, a detailed project report is mandatory for PMFME subsidy. The report must include CMA (Credit Monitoring Arrangement) data, DSCR (Debt Service Coverage Ratio), and 5-year financial projections (profit & loss, balance sheet, cash flow). It should also cover the project cost breakup, machinery list, raw material sourcing, and market analysis. A bank-ready report increases your chances of loan approval.

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