MIRA INFORM REPORT

Report Date :

24.11.2014

IDENTIFICATION DETAILS

Name :	STAR FABRICS
Registered Office :	10, 3rd Floor, Madhav Industries, Kapodra, Surat – 395006, Gujarat
Country :	India
Financials (as on) :	20.10.2014 [Provisional]
Date of Establishment :	27.07.2009
Capital Investment :	Rs. 3.140 Millions
IEC No.:	5209049302
PAN No.: [Permanent Account No.]	AMLPR4470L
Legal Form :	Sole Proprietary Concern
Line of Business :	Manufacturer of Art Silk Grey Cloth.
No. of Employees :	6 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (30)

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Status :	Small Concern
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is a small proprietary concern in its field. Its scale of activities are limited. However, trade relations are reported to be fair. Business is active. Payment terms are reported to be slow but correct. The concern can be considered for small to medium business dealings with some caution.

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – June 1, 2014

Country Name	Previous Rating (31.03.2014)	Current Rating (01.06.2014)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

INDIAN ECONOMIC OVERVIEW

N E W S

Verdict Implications : Apex court order may alter coal import dynamics. Traders go slow on talks over coal supply contracts, uncertainty over cancellation of blocks weigh on stocks.

Recent arrest of the Chennai head of the Registrar of Companies, the ministry of corporate affairs arm that ensures that companies file all the information required by the Companies Act is the latest manifestation of a messy fight between a father and his adopted son for the control of Rs 40000 mn business empire. The Central Bureau of Investigation arrested Manumeethi Cholan after he accepted Rs 10 lakhs as bribe from M A M Ramaswamy, a CBI official said.

Central Bureau of Investigation books Electrotherm for cheating Central Bank of Rs 4360 mn.

Infosys maintains revenue guidance. COO Rao says attrition still an area of concern and it would take a few more quarters to bring down levels to 13-15 %.

DHL to invest Euro 100 mn in India over next 2 years. The firm has chosen India to pilot its e-commerce business model for the Asia-Pacific region.

Blackstone may buy stake in BlueRidge SEZ in line with the fund’s real estate strategy in India.

Kingfisher Airlines Ltd grounded in October 2012 under the weight of heavy debt and accumulated losses, recently approached the Delhi high court for relief in two separate cases. The airline challenged a notice by Punjab & National Bank alleging that it had willfully defaulted on Rs 7700 mn of loans and sought more time to comply with the requirements under the listing agreements with the Stock Exchanges.

OnMobile likely to sack another 300 employees. The lay-offs follow a spate of senior-level exits over the past two years, starting with of its founder. The overall lay-offs could number around 600 and are driven by the need to cut costs, says a former employee.

EXTERNAL AGENCY RATING

NOT AVAILABLE

RBI DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2014.

INFORMATION PARTED BY

Name :	Mr. Shivlal U. Rajani
Designation :	Chief Executive Officer
Contact No.:	91-9925015923
Date :	21.11.2011

LOCATIONS

Registered Office/ Factory 1 :	10, 3rd Floor, Madhav Industries, Kapodra, Surat – 395006, Gujarat, India
Tel. No.:	Not Available
Mobile No.:	91-9033022023 [Mrs. Chandrika Shivlal Rajani] 91-9925015923 [Mr. Shivlal U. Rajani]
Fax No.:	Not Available
E-Mail :	rajanishivlal@gmail.com
Location :	Rented
Factory 2 :	Plot No. P-38, Sayan Textile Park, SITP-3, Hazira Adajan Road, Ichhapore, Surat – 394510, Gujarat, India
Area :	3348.80 Sq. ft.
Location :	Owned

SOLE PROPRIETOR

Name :	Mrs. Chandrika Shivlal Rajani
Designation :	Proprietor
Address :	5, Ekta Row House, Near Lajamni Chowk, Mota, Varachha, Surat - 394110, Gujarat, India
Date of Birth/Age :	01.06.1981
PAN No.:	AMLPR4470L

KEY EXECUTIVES

Name :	Mr. Shivlal U. Rajani
Designation :	Chief Executive Officer

BUSINESS DETAILS

Line of Business :	Manufacturer of Art Silk Grey Cloth.
Brand Names :	--
Agencies Held :	100% Indian
Exports :	Not Available
Imports :	Not Available
Terms :
Selling :	Credit [30 days and 60 days]
Purchasing :	Credit [30 days]

GENERAL INFORMATION

Suppliers :

Reference:	Dhara Textiles, Surat
Name of the Person (Designation):	Mr. Paresh Rakholiya, Chief Executive Officer
Contact Number:	91-9825600083
Since how long known:	2 Years
Experience:	It’s a good company and a payment behavior is on time.
Maximum limit dealt:	Rs. 3.000 Millions yearly

Customers :

Wholesalers

Reference:	Hari Krishna Fabrics, Surat
Name of the Person (Designation):	Mr. Girish Karat, Proprietor
Contact Number:	91-9376011869
Since how long known:	2 years to 3 years
Experience:	Quality of the product is good.
Maximum limit dealt:	Rs. 3.000 Millions yearly

No. of Employees :

6 (Approximately)

Bankers :

Bank Name:	HDFC Bank Limited
Branch:	Varachha, Surat, Gujarat, India
Person Name (with Designation):	Branch Manager
Contact Number:	91-9376636496
Name of Account Holder:	Star Fabrics
Account Number:	05332020008409
Account Since (Date/ Year of A/c Opening):	29.09.2012
Average Balance Maintained (Optional):	Not Divulged
Credit Facilities Enjoyed (CC/OD/Term Loan):	--
Account Operation:	--
Remarks: As claimed by Branch Manager, the subject having satisfactory track record for Banking transactions.

Facilities :

SECURED LOANS	20.10.2014 (Rs. In Millions) (Provisional)	31.03.2014 (Rs. In Millions)
Bank of Baroda – Term Loan	0.000	1.579
Bank of Baroda CC A/c	0.000	0.506
Total	0.000	2.085

Auditors :
Name :	Jignesh Korat and Associates Chartered Accountants
Address :	F3, Shreyas Diamond, Mini Bazaar, Surat, Gujarat, India
Mobile No.:	91-9375018202
E-Mail :	jjkorat@gmail.com
Associates/Subsidiaries :	· Pearl Fab Star Fashion

CAPITAL STRUCTURE

CAPITAL ACCOUNT [PROVISIONAL]

[RS. IN MILLIONS]

DEBIT	20.10.2014	CREDIT	20.10.2014
Withdrawals	0.036	Opening Balance	2.915
Income – Tax	0.020
		Net Profit during the year	0.281
Balance c/f	3.140
Total	3.196	Total	3.196

FINANCIAL DATA

[all figures are in Rupees Millions]

Note : Sole Proprietary and Partnership concerns are exempted from filing their financials with the Government Authorities or Registry.

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		20.10.2014 [Provisional]	31.03.2014	31.03.2013	31.03.2012
SHAREHOLDERS FUNDS
1] Proprietor Capital		3.140	2.915	2.609	2.265
2] Share Application Money		0.000	0.000	0.000	0.000
3] Profit and Loss Account		0.000	0.000	0.000	0.000
4] (Accumulated Losses)		0.000	0.000	0.000	0.000
NETWORTH		3.140	2.915	2.609	2.265
LOAN FUNDS
1] Secured Loans		0.000	2.085	3.075	4.282
2] Unsecured Loans		0.475	0.075	0.290	0.290
TOTAL BORROWING		0.475	2.160	3.365	4.572
DEFERRED TAX LIABILITIES		0.000	0.000	0.000	0.000
TOTAL		3.615	5.075	5.974	6.837
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		2.657	3.115	3.655	4.289
Capital work-in-progress		0.000	0.000	0.000	0.000
INVESTMENT		0.032	0.032	0.031	0.205
DEFERRED TAX ASSETS		0.000	0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.411	0.437	0.497	0.755
	Sundry Debtors	0.348	0.953	0.961	0.988
	Cash & Bank Balances	0.194	0.258	0.875	0.026
	Other Current Assets	0.000	0.000	0.000	0.000
	Loans & Advances	0.066	0.399	0.053	0.696
Total Current Assets		1.019	2.047	2.386	2.465
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	0.093	0.099	0.081	0.050
	Other Current Liabilities	0.000	0.000	0.000	0.000
	Provisions	0.000	0.020	0.017	0.072
Total Current Liabilities		0.093	0.119	0.098	0.122
Net Current Assets		0.926	1.928	2.288	2.343
MISCELLANEOUS EXPENSES		0.000	0.000	0.000	0.000
TOTAL		3.615	5.075	5.974	6.837

PROFIT & LOSS ACCOUNT

	PARTICULARS		20.10.2014 [Provisional]	31.03.2014	31.03.2013	31.03.2012
	SALES
		Embroidery Job Work	3.274	6.841	6.071	5.862
		Other Income	0.000	0.000	0.000	0.000
		TOTAL	3.274	6.841	6.071	5.862
Less	EXPENSES
		Cost of Goods sold	0.026	0.060	0.258	(0.018)
		Materials Expenses	1.532	3.676	3.009	0.783
		Dhaga Cutting charges	0.039	0.078	0.062	0.062
		Job Work Charges paid	0.411	0.878	0.472	2.432
		Karigar Salary	0.288	0.484	0.449	0.446
		Electricity Powerbill Expenses	0.043	0.073	0.045	0.044
		Roll Polishing Charges	0.032	0.067	0.054	0.053
		Accounting Charges	0.007	0.013	0.012	0.012
		Conveyance Expenses	0.006	0.010	0.007	0.009
		Factory Rent	0.084	0.144	0.120	0.120
		Interest on loan	0.022	0.268	0.481	0.660
		Kasar/ Vatav Account	0.014	0.035	0.002	0.000
		Transportation Charges	0.014	0.026	0.011	0.036
		Other Expenses	0.016	0.074	0.072	0.099
		TOTAL	2.534	5.886	5.054	4.738
	PROFIT BEFORE DEPRECIATION AND AMORTISATION		0.740	0.955	1.017	1.124
Less/ Add	DEPRECIATION/ AMORTISATION		0.459	0.539	0.635	0.746
	NET PROFIT		0.281	0.416	0.382	0.378

KEY RATIOS

PARTICULARS		20.10.2014 [Provisional]	31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT/Sales)	(%)	8.58	6.08	6.29	6.45
Return on Total Assets (PBT/Total Assets}	(%)	7.64	8.06	6.32	5.60
Return on Investment (ROI) (PBT/Networth)		0.09	0.14	0.15	0.17
Debt Equity Ratio (Total Debt/Networth)		0.15	0.74	1.29	2.02
Current Ratio (Current Asset/Current Liability)		10.96	17.20	24.35	20.20

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Proprietor Capital	2.265	2.609	2.915
Profit and Loss Account	0.000	0.000	0.000
Net worth	2.265	2.609	2.915
Secured Loans	4.282	3.075	2.085
Unsecured Loans	0.290	0.290	0.075
Total borrowings	4.572	3.365	2.160
Debt/Equity ratio	2.019	1.290	0.741

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	5.862	6.071	6.841
		3.565	12.683

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Sales	5.862	6.071	6.841
Profit	0.378	0.382	0.416
	6.45%	6.29%	6.08%

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	Check List by Info Agents	Available in Report (Yes / No)
1]	Year of Establishment	Yes
2]	Locality of the firm	Yes
3]	Constitutions of the firm	Yes
4]	Premises details	Yes
5]	Type of Business	Yes
6]	Line of Business	Yes
7]	Promoter's background	Yes
8]	No. of employees	Yes
9]	Name of person contacted	Yes
10]	Designation of contact person	Yes
11]	Turnover of firm for last three years and seven months	Yes
12]	Profitability for last three years and seven months	Yes
13]	Reasons for variation <> 20%	--
14]	Estimation for coming financial year	Yes
15]	Capital in the business	Yes
16]	Details of sister concerns	Yes
17]	Major suppliers	Yes
18]	Major customers	Yes
19]	Payments terms	Yes
20]	Export / Import details (if applicable)	No
21]	Market information	--
22]	Litigations that the firm / promoter involved in	--
23]	Banking Details	Yes
24]	Banking facility details	Yes
25]	Conduct of the banking account	--
26]	Buyer visit details	--
27]	Financials, if provided	Yes
28]	Incorporation details, if applicable	No
29]	Last accounts filed at ROC	No
30]	Major Shareholders, if available	No
31]	Date of Birth of Proprietor/Partner/Director, if available	Yes
32]	PAN of Proprietor/Partner/Director, if available	Yes
33]	Voter ID No of Proprietor/Partner/Director, if available	No
34]	External Agency Rating, if available	No

------------------------------------------------------------------------------------------------------------------------------

UNSECURED LOANS

(RS. IN MILLIONS)

PARTICULARS	20.10.2014 (Provisional)	31.03.2014
Govindbhai K. Rajani	0.075	0.075
Pawan Art	0.400	0.000
Total	0.475	0.075

------------------------------------------------------------------------------------------------------------------------------

STAR FABRICS

COMPUTATION OF TOTAL INCOME

(RS. IN MILLIONS)

PARTICULARS	31.03.2014
INCOME FROM BUSINESS OR PROFESSION
Net Profit as per Profit and Loss Account		0.416
Add: Disallowable / Addition
Depreciation treated septly	0.540
		0.540
			0.956
			-------------
Gross Total Business Income			0.956
Less: Business Deductions
Current Depreciation u/s. 32(1)		0.540
			0.540
TOTAL BUSINESS INCOME				0.416
INCOME FROM OTHER SOURCES
Interest Income
Interest on FD with Banks		0.001
			0.001
TOTAL OTHER SOURCE INCOME				0.001
				-------------
GROSS TOTAL INCOME				0.417
Total Income				0.417
Rounded off u/s.288A				0.417
				-------------
COMPUTATION OF TAX PAYABLE
Gross Tax on Rs. 0.417 Million [Normal]				0.022
Less: Tax Rebate u/s. 87(A)				0.002
Tax Payable				0.020
Add: Education Cess and Higher Education Cess				0.001
				------------
				0.021
Tax Deducted at Sources:
Other than Salary		0.042
			0.042
Total Prepaid Taxes				0.042
				-----------
Tax Refundable				(0.021)
Rounded off to nearest 10				(0.021)
				========

------------------------------------------------------------------------------------------------------------------------------

COST OF PROJECT

(RS. IN MILLIONS)

PARTICULARS	EXISTING	PROPOSED	TOTAL
Plant and Machinery	3.056	9.188	12.244
Land and Building	0.000	1.750	1.750
Other Fixed Assets	0.059	0.000	0.059
TOTAL CAPITAL COST OF PROJECT	3.115	10.938	14.053
Working Capital Margin	1.959	4.653	6.612
TOTAL COST OF PROJECT	5.074	15.591	20.665

------------------------------------------------------------------------------------------------------------------------------

MEANS OF FINANCE

(RS. IN MILLIONS)

PARTICULARS	EXISTING	PROPOSED	TOTAL
Capital	2.915	3.500	6.415
Term Loans	1.578	6.891	8.469
Cash Credit	0.506	3.000	3.506
Unsecured Loans / Deposits	0.075	2.200	2.275
TOTAL MEANS OF FINANCE	5.074	15.591	20.665

------------------------------------------------------------------------------------------------------------------------------

COMPUTATION OF DEBT SERVICE COVERAGE RATIO

(RS. IN MILLIONS)

PARTICULARS	2014-15	2015-16	2016-17	2017-18	2018-19	2019-20
	PROJECTION
Net Profit after Tax	0.720	1.620	2.005	2.380	2.732	3.368
Add: Depreciation written off	0.803	1.716	1.459	1.240	1.054	0.448
Add: Interest on TL – Proposed	0.411	1.271	1.068	0.862	0.655	0.457
Funds available to Service	1.934	4.607	4.532	4.482	4.441	4.272
Add: Interest on TL – Proposed	0.411	1.271	1.068	0.862	0.655	0.457
Principal repayment – Pr	--	1.276	1.531	1.531	1.531	1.021
Total Installment	0.411	2.547	2.600	2.393	2.186	1.478
DSCR	4.70	1.81	1.74	1.87	2.03	2.89
Average DSCR	2.09
Interest Coverage Ratio [No.]	4.70	3.63	4.24	5.20	6.78	9.35

------------------------------------------------------------------------------------------------------------------------------

BREAK EVEN ANALYSIS

(RS. IN MILLIONS)

PARTICULARS	2014-15	2015-16	2016-17	2017-18	2018-19	2019-20
	PROJECTION
Installed Capacity	65934	263736	263736	263736	263736	263736
Sales / Revenue	10.885	21.187	23.720	24.253	24.786	25.319
Variable Costs	8.640	18.526	18.735	18.919	19.103	19.298
Contribution	2.245	4.660	4.985	5.334	5.683	6.021
Total Fixed Costs	1.203	2.316	2.084	1.890	1.729	1.148
Cash Fixed Costs	0.400	0.600	0.625	0.650	0.675	0.700
Profit Volume Ratio	20.62	20.10	21.02	21.99	22.93	23.78
Cash Break Even Sales	1.939	2.985	2.974	2.955	2.944	2.943
Cash Margin of Safety	8.945	20.202	20.746	21.298	21.842	22.376
Break Even Sales	5.833	11.523	9.915	8.593	7.541	4.827
Margin of Safety	5.052	11.663	13.805	15.660	17.245	20.492
Cash Break Even [% of Inst.]	42.02	16.17	16.11	16.01	15.95	15.94
Break Even Sales [[% of Inst.]	126.37	62.42	53.71	46.54	40.85	26.15

------------------------------------------------------------------------------------------------------------------------------

STATEMENT SHOWING PROFITABILITY AND NET CASH ACCRUALS

(RS. IN MILLIONS)

PARTICULARS	2014-15	2015-16	2016-17	2017-18	2018-19	2019-20
	PROJECTION
INCOME
Sales / Job Work	9.417	21.662	22.160	22.658	23.156	23.654
Closing Stock	1.468	1.525	1.560	1.595	1.630	1.665
Other Income	--	--	--	--	--	--
TOTAL	10.885	23.187	23.720	24.253	24.786	25.319
EXPENDITURES
Opening Stock	0.437	1.468	1.525	1.560	1.595	1.630
Raw Material Purchases	5.442	11.593	11.860	12.126	12.393	12.659
Outside Job Work	--	--	--	--	--	--
Power and Fuel	0.352	0.721	0.737	0.753	0.769	0.785
Salaries and Wages	1.671	2.778	2.834	2.891	2.949	3.008
Other Manufacturing Expenses	0.327	0.696	0.712	0.728	0.744	0.760
Factory Costs	8.228	17.256	17.667	18.057	18.448	18.841
Cost of Production	8.228	17.256	17.667	18.057	18.448	18.841
Gross Profit	2.656	5.931	6.053	6.196	6.338	6.478
Selling and General Administrative Expenses	0.400	0.600	0.625	0.650	0.675	0.700
Profit before Interest and Depreciation	2.256	5.331	5.428	5.546	5.663	5.778
Interest on Bank Loan	0.411	1.271	1.068	0.862	0.655	0.457
Depreciation written off	0.803	1.716	1.459	1.240	1.054	0.448
Net Profit before Tax	1.042	2.344	2.901	3.444	3.954	4.873
Less: Tax	0.322	0.724	0.896	1.064	1.222	1.506
Profit after Tax	0.720	1.620	2.005	2.380	2.732	3.368
Add: Depreciation	0.803	1.716	1.459	1.240	1.054	0.448
Net Cash Accruals	1.523	3.336	3.463	3.620	3.786	3.815

------------------------------------------------------------------------------------------------------------------------------

STATEMENT SHOWING PROJECTED BALANCE SHEET

(RS. IN MILLIONS)

PARTICULARS	2014-15	2015-16	2016-17	2017-18	2018-19	2019-20
	PROJECTION
LIABILITIES
Capital	2.915	7.135	8.555	10.310	12.390	14.772
Add: Addition	3.500	--	--	--	--	--
Add: Net Profit/ (Net Loss)	0.720	1.620	2.005	2.380	2.732	3.368
Less: Withdrawals	--	0.200	0.250	0.300	0.350	0.400
Closing Capital [A]	7.135	8.555	10.310	12.390	14.772	17.739
Term Loan	5.615	4.084	2.552	1.021	--	--
Unsecured Loans	2.275	2.275	2.275	2.275	2.275	2.275
Total Term Liabilities [B]	7.890	6.359	4.827	3.296	2.275	2.275
Installment due within one year	1.276	1.531	1.531	1.531	1.021	--
Cash Credit	3.000	3.000	3.000	3.000	3.000	3.000
Provision for Expenses	0.169	0.168	0.172	0.176	0.180	0.185
Creditors	0.416	0.505	0.517	0.528	0.540	0.551
Total Current Liabilities [C]	4.861	5.205	5.220	5.236	4.741	3.736
TOTAL [A + B + C]	19.886	20.118	20.357	20.922	21.788	23.750
ASSETS
Fixed Assets [Gross Cost]	14.053	14.053	14.053	14.053	14.053	14.053
Depreciation to date	0.803	2.519	3.978	5.218	6.272	6.720
Net Fixed Assets [D]	13.250	11.534	10.075	8.835	7.781	7.333
Capital work in process	--	--	--	--	--	--
Long term Investments	--	1.600	3.000	4.500	6.200	8.300
Long term Investments [E]	--	1.600	3.000	4.500	6.200	8.300
Receivables	4.136	4.193	4.289	4.385	4.482	4.578
Inventories	1.468	1.525	1.560	1.595	1.630	1.665
Other Current Assets	0.433	0.592	0.683	0.781	0.795	0.899
Cash and Bank Balances	0.600	0.675	0.750	0.825	0.900	0.975
Total Current Assets [F]	6.636	6.984	7.282	7.586	7.807	8.117
TOTAL [D + E + F]	19.886	20.118	20.357	20.921	21.788	23.750

------------------------------------------------------------------------------------------------------------------------------

CASH FLOW STATEMENT

(RS. IN MILLIONS)

PARTICULARS	2014-15	2015-16	2016-17	2017-18	2018-19	2019-20
	PROJECTION
SOURCES
CASH FROM OPERATIONAL ACTIVITIES
Net Profit after tax	0.720	1.620	2.005	2.380	2.732	3.368
Interest [Treated Separately]	0.411	1.271	1.068	0.862	0.655	0.457
Depreciation	0.803	1.716	1.459	1.240	1.054	0.448
Increase/ (Decrease) in Current Assets other than cash	(6.036)	(0.273)	(0.222)	(0.229)	(0.145)	(0.235)
Increase/ (Decrease) in Current Liabilities	0.585	0.088	0.016	0.016	0.016	0.016
TOTAL [A]	(3.517)	4.422	4.325	4.268	4.311	4.052
CASH FROM FINANCIAL ACTIVITIES
Capital Introduced	6.415	--	--	--	--	--
Term Loan acquired	6.891	--	--	--	--	--
Unsecured Loan acquired	2.275	--	--	--	--	--
Cash Credit	3.000	--	--	--	--	--
Capital Subsidy – MMS@ 15% received [Existing]	--	--	--	--	--	--
TOTAL [B]	18.581	--	--	--	--	--
CASH FROM INVESTMENT ACTIVITIES
Fixed asset disposed off	--	--	--	--	--	--
Long term Investment disposed off	--	--	--	--	--	--
TOTAL [C]	--	--	--	--	--	--
TOTAL CASH INFLOW [A + B + C]	15.064	4.422	4.325	4.268	4.311	4.052
APPLICATION
OUTFLOW FROM OPERATIONAL ACTIVITIES
Loss from Operation	--	--	--	--	--	--
TOTAL [D]	--	--	--	--	--	--
OUTFLOW FROM FINANCIAL ACTIVITIES
Withdrawals	--	0.200	0.250	0.300	0.350	0.400
Term Loan repaid	--	1.276	1.531	1.531	1.531	1.021
Interest paid on Term Loan	0.411	1.271	1.068	0.862	0.655	0.457
TOTAL [E]	0.411	2.747	2.850	2.693	2.536	1.878
OUTFLOW FROM INVESTMENT ACTIVITIES
Fixed assets purchased	14.053	--	--	--	--	--
Investment in Long term sources	--	1.600	1.400	1.500	1.700	2.100
TOTAL [F]	14.053	1.600	1.400	1.500	1.700	2.100
TOTAL CASH OUTFLOW [D + E + F]	14.464	4.347	4.250	4.193	4.236	3.978
NET EFFECT
Cash Surplus/ (Deficit) [Inflow minus Outflow]	0.600	0.075	0.075	0.075	0.075	0.075
Add: Opening Cash and Bank	--	0.600	0.675	0.750	0.825	0.900
CLOSING CASH AND BANK	0.600	0.675	0.750	0.825	0.900	0.975

------------------------------------------------------------------------------------------------------------------------------

STATEMENT SHOWING IMPORTANT FINANCIAL RATIOS

(RS. IN MILLIONS)

PARTICULARS	2014-15	2015-16	2016-17	2017-18	2018-19	2019-20
	PROJECTION
LIQUIDITY RATIOS
Current Assets	6.636	6.984	7.282	7.586	7.807	8.117
Current Liabilities	4.861	5.205	5.220	5.236	4.741	3.736
Net Current Assets	1.775	1.779	2.061	2.350	3.065	4.381
Current Ratio	1.37	1.34	1.39	1.45	1.65	2.17
SOLVENCY RATIOS
Tangible worth i.e. Equity	7.135	8.555	10.310	12.390	14.772	17.739
Unsecured Loans	2.275	2.275	2.275	2.275	2.275	2.275
Other Term Liabilities	5.615	4.084	2.552	1.021	--	--
Total Outside Liabilities	12.751	11.563	10.048	8.532	7.016	6.011
TOL/ Networth [No. of Days]	1.79	1.35	0.97	0.69	0.47	0.34
Debt Equity Ratio [No. of Days]	--	--	--	--	--	--
Unsecured Loans as Debt	1.11	0.74	0.47	0.27	0.15	0.13
Unsecured Loans as Equity	0.60	0.38	0.20	0.07	--	--
PROFITABILITY RATIOS
Sales / Revenue	9.417	21.662	22.160	22.658	23.156	23.654
Gross Profit	2.656	5.931	6.053	6.196	6.338	6.478
Net Profit after tax	0.720	1.620	2.005	2.380	2.732	3.368
Gross Profit Ratio	28.21	27.38	27.32	27.35	27.37	27.39
Net Profit Ratio	7.65	7.48	9.05	10.50	11.80	14.24
RETURN ON FUND EMPLOYED
Equity Fund	7.135	8.555	10.310	12.390	14.772	17.739
Capital Employed [Equity Fund + Term Liabilities]	15.025	14.913	15.137	15.686	17.047	20.014
Profit after tax [PAT]	0.720	1.620	2.005	2.380	2.732	3.368
PAT + Interest on Term Liabilities	1.131	2.891	3.073	3.242	3.387	3.824
Return on Equity [ROE]	10.09	18.94	19.44	19.21	18.50	18.98
Return on Capital Employed [ROCE]	7.53	19.38	20.30	20.67	19.87	19.11
TURNOVER RATIOS
Sales / Revenue	9.417	21.662	22.160	22.658	23.156	23.654
Purchases	5.769	12.289	12.572	12.854	13.137	13.419
Debtors	4.136	4.193	4.289	4.385	4.482	4.578
Creditors	0.416	0.505	0.517	0.528	0.540	0.551
Material Consumption [in Qty.]	--	--	--	--	--	--
Raw Material [in Qty.]	--	--	--	--	--	--
WIP [in Qty.]	--	--	--	--	--	--
Projected Production	56044	229451	234725	240000	245275	250549
Finished Goods [in Qty.]	--	--	--	--	--	--
Debtors Credit Period [In days]	71	71	71	71	71	71
Creditors Payment Period [In days]	15	15	15	15	15	15
Inventory holding period [In days]	48	48	48	48	48	48

------------------------------------------------------------------------------------------------------------------------------

ASSESSMENT OF WORKING CAPITAL REQUIREMENTS

OPERATING STATEMENT

(RS. IN MILLIONS)

SR. NO.	PARTICULARS	2014-15 ESTIMATED	2015-16 PROJECTED	2016-17 PROJECTED
	Operating Statement
	1. Domestic Sale	9.417	21.662	22.160
	2. Export Sale	--	--	--
1	Total Gross Sales	9.417	21.662	22.160
2	Less: Excise duty	--	--	--
3	Net Sales [1 - 2]	9.417	21.662	22.160
4	Growth in sales	38%	130%	2%
	Cost of sales
5	a. Raw material [Imported]	--	--	--
	b. Raw material [Indigenous]	5.442	11.593	11.860
	c. Packing Material	--	--	--
	Job Work	--	--	--
6	Power and Fuel	0.352	0.721	0.737
7	Wages and Salary [Outside Manufacturing Expenses]	1.671	2.778	2.834
8	Other Manufacturing Expenses	0.327	0.696	0.712
9	Office Expenses	--	--	--
10	Depreciation	0.803	1.716	1.459
	SUB-TOTAL	8.594	17.504	17.601
11	Add: Opening stock	0.437	1.468	1.525
	SUB-TOTAL	9.031	18.972	19.126
12	Deduct: Closing Stock	1.468	1.525	1.560
	Cost of Production	7.564	17.447	17.566
13	Add: Opening stock of goods	--	--	--
	SUB-TOTAL	7.564	17.447	17.566
14	Less: Closing stock of goods	--	--	--
	SUB-TOTAL [TOTAL COST OF SALES]	7.564	17.447	17.566
15	Gross Profit	2.656	5.931	6.053
	Gross Profit / Sales	28%	27%	27%
16	Selling and Administrative Expenses [Intt. Remuneration to partner]	--	--	--
17	Administrative Expenses	0.400	0.600	0.625
	SUB-TOTAL	7.964	18.047	18.191
18	Operating profit before interest	1.453	3.615	3.969
	a. Interest on CC	0.101	0.405	0.405
	b. Interest on TL	0.310	0.866	0.663
	c. Other Interests	--	--	--
19	Total Interest	0.411	1.271	1.068
20	Operating profit after interest	1.042	2.344	2.901
21	Add: Other Non-operating Income
	a. Interest/ Dividend/ Royalties etc.	--	--	--
	b. Other Income	--	--	--
	SUB-TOTAL	--	--	--
22	Deduct: Other Non-operating Expenses
	a. Interest/ Dividend/ Royalties etc.	--	--	--
	b. Other Expenses	--	--	--
	c. Intangibles written off	--	--	--
	SUB-TOTAL	--	--	--
23	Net of other non-operating Income/ Expenses	--	--	--
24	Profit / [Loss] before tax [PBT]	1.042	2.344	2.901
25	Provision for taxes	0.322	0.724	0.896
26	Profit / [Loss] after tax [PAT]	0.720	1.620	2.005
27	Cash Accruals	1.523	3.336	3.463
28	Drawing/ Dividend	--	--	--
29	Retained Profit	0.720	1.620	2.005
30	Retained Cash Profits	1.523	3.336	3.463
31	RM content in sales	52%	53%	53%
32	PBDIT / Sales	23.96%	24.61%	24.49%
33	Operating Profit / Sales	11.06%	10.82%	13.0%
34	PBT / Sales	11.06%	10.82%	13.0%
35	PAT / Sales	7.65%	7.48%	9.0%
36	Cash Accruals / Sales	16.17%	15.40%	15.63%

------------------------------------------------------------------------------------------------------------------------------

ANALYSIS OF BALANCE SHEET

(RS. IN MILLIONS)

SR. NO.	PARTICULARS	2014-15 ESTIMATED	2015-16 PROJECTED	2016-17 PROJECTED
	CURRENT LIABILITIES
1	Short term loans from applicant bank including BP and BD	3.000	3.000	3.000
	Short term loans from other banks including BP and BD	--	--	--
	SUB-TOTAL (A)	3.000	3.000	3.000
2	Short term borrowings from others	--	--	--
3	Sundry creditors [trade]	0.416	0.505	0.517
4	Advance payment from customers	--	--	--
5	Provision for Expenses	0.169	0.168	0.172
6	Dividend payable	--	--	--
7	Other statutory liabilities [due within one year]	--	--	--
8	Overdue term liabilities	--	--	--
9	Installments of term loan/ DPGs/ Deposits/ Debentures due within next year	1.276	1.531	1.531
10	Other current liabilities and provisions [due within one year]	--	--	--
11	SUB-TOTAL (B)	1.861	2.205	2.220
12	TOTAL CURRENT LIABILITIES	4.861	5.205	5.220
	TERM LIABILITIES
13	Debentures [not maturing within one year]	--	--	--
14	Term loan from bank [less next year installments]	5.615	4.084	2.552
15	Term loan from other banks / installment [exceeding installment due next year]	--	--	--
16	Deferred payments credits [excluding installment due next year]	--	--	--
17	Term deposits [excluding installment due next year]	--	--	--
18	Other term liabilities	2.275	2.275	2.275
19	TOTAL TERM LIABILITIES	7.890	6.359	4.827
20	TOTAL OF OUTSIDE LIABILITIES	12.751	11.563	10.048
	NETWORTH
21	Capital	2.915	7.135	8.555
22	General reserve	--	--	--
23	Revaluation reserve	--	--	--
24	Net Surplus	0.720	1.620	2.005
25	Drawing / Addition	3.500	(0.200)	(0.250)
26	NETWORTH	7.135	8.555	10.310
26	TOTAL LIABILITIES	19.886	20.118	20.357
	ASSETS
	CURRENT ASSETS
27	Cash and Bank balances	0.600	0.675	0.750
28	Government and other trustee securities	--	--	--
29	Fixed deposits with banks and Investment	--	--	--
30	Domestic receivables including BP/BD	4.136	4.193	4.289
31	Export receivables including BP/BD	--	--	--
32	Deferred receivables [due within one year]	--	--	--
33	Imported raw material	--	--	--
34	Indigenous raw material	--	--	--
35	Stock in process	1.468	1.525	1.560
36	Finished Goods	--	--	--
37	Imported consumables	--	--	--
38	Indigenous consumables	--	--	--
39	Advances to suppliers	--	--	--
40	Net advance payment of taxes [if positive]	--	--	--
41	Other current assets	0.433	0.592	0.683
42	TOTAL CURRENT ASSETS	6.636	6.984	7.282
	FIXED ASSETS
43	Gross block [land and building, machinery]	14.053	14.053	14.053
44	Add: Capital expenditure in work-in-process	--	--	--
45	Depreciation to date	0.803	2.519	3.978
46	NET BLOCK	13.250	11.534	10.075
	OTHER NON-CURRENT ASSETS
47	Investments in sub. Cos./ affiliates	--	--	--
48	Investment in others	--	1.600	3.000
49	Advance to suppliers of capital goods and contractors	--	--	--
50	Deferred receivables [maturing after a year]	--	--	--
51	Other non-current investments	--	--	--
52	Non-consumable stores and spares	--	--	--
53	TOTAL OTHER NON-CURRENT ASSETS	--	1.600	3.000
	INTANGIBLES ASSETS
54	Preliminary expenses	--	--	--
55	Deferred revenue expenditure	--	--	--
56	Other intangibles [patents, goodwill, etc.]	--	--	--
57	TOTAL INTANGIBLES ASSETS	--	--	--
58	TOTAL ASSETS	19.886	20.118	20.357
59	Tangible Networth [TNW]	7.135	8.555	10.310
60	Net Working Capital [NWC]	1.775	1.779	2.061
	Movement of TNW
61	Opening TNW	2.915	7.135	8.555
62	Plough back of profit	0.720	1.620	2.005
63	Increase in capital / reserves	3.500	(0.200)	(0.250)
64	Intangibles written off	--	--	--
65	Less: Increase in Revaluation Reserve	--	--	--
66	Closing TNW	7.135	8.555	10.310
67	Current Ratio	1.37	1.34	1.39
68	Debt/ Equity	1.11	0.74	0.47
69	TOL/ Equity	1.79	1.35	0.97
70	Current Assets/ Tangible Assets	0.33	0.35	0.36
71	ROCE [PBDIT incl. other income / TTA]	0.11	0.26	0.27
72	Inventory + Receivables as days of net sales	104	96	96

------------------------------------------------------------------------------------------------------------------------------

WORKING CAPITAL / BANK BORROWING ASSESSMENTS

(RS. IN MILLIONS)

SR. NO.	PARTICULARS	2014-15 ESTIMATED	2015-16 PROJECTED	2016-17 PROJECTED
	WORKING CAPITAL ASSESSMENT
1	Stock of Imported RM – Days Consumption	--	--	--
2	Stock of Indigenous RM – Days Consumption	--	--	--
3	Imported Consumables - Days Consumption	--	--	--
4	Indigenous Consumables - Days Consumption	--	--	--
5	Stock in process – [Days of Cost of Production]	71.00	32.00	32.00
6	Finished Goods – [Days Cost of Sales]	--	--	--
7	Total Inventory	1.468	1.525	1.560
8	Total Inventory / Sales [Days]	28	26	26
9	Domestic Receivables [Days Gross domestic sales]	76	71	71
10	Export Receivables [Days Export]	--	--	--
11	Total Receivables	4.136	4.193	4.289
12	Total Receivables/ Gross Sales [Days]	76	71	71
13	Creditors – [Days Consumption]	15	16	16
14	Total Current Assets	6.636	6.984	7.282
	Financed by
1	Sundry Creditors % of Current Assets	6.27%	7.23%	7.09%
2	Other Current Liabilities % of Current Assets	21.78%	24.34%	23.40%
3	Bank Finance % of Current Assets	45.21%	42.95%	41.20%
4	NWC % of Current Assets	26.75%	25.48%	28.31%
	By MPBS Method
1	Total Current Assets	6.636	6.984	7.282
2	Other Current Liabilities	1.861	2.205	2.220
3	Working Capital Gap	4.775	4.779	5.061
4	Net Working Capital	1.775	1.779	2.061
5	25% margin over Current Assets	1.700	1.700	1.800
6	Item 3 – 5	3.100	3.000	3.200
7	Bank finance	3.000	3.000	3.000

------------------------------------------------------------------------------------------------------------------------------

FUND FLOW STATEMENT

(RS. IN MILLIONS)

SR. NO.	PARTICULARS	2014-15 ESTIMATED	2015-16 PROJECTED	2016-17 PROJECTED
1	LONG TERM SOURCES
	Profit after tax	0.720	1.620	2.005
	Depreciation	0.264	1.716	1.459
	Intangibles written off	--	--	--
	Increase in capital and reserves	3.500	--	--
	Increase in term liability	9.394	--	0.000
	Decrease in fixed assets	--	--	--
	Decrease in other non-current assets	--	--	--
	TOTAL	13.878	3.336	3.463
2	LONG TERM USES
	Net Loss	--	--	--
	Increase in Intangibles	--	--	--
	Decrease in Capital and reserves / Share Buyback	--	0.200	0.250
	Term loan repayments	1.882	1.276	1.531
	Unsecured loan repayment	--	--	--
	Increase in fixed assets	10.399	--	--
	Increase in non-current assets	--	1.600	1.400
	Increase in intangibles	--	--	--
	Dividend paid/ drawing	--	--	--
	Surplus / Deficit	12.281	3.076	3.181
3	SHORT TERM SOURCES
	Increase in Bank Borrowings	2.494	--	--
	Increase in Other Current Liability	0.465	0.088	0.016
	Decrease in Inventory	--	--	--
	Decrease in receivables	--	--	--
	Decrease in Cash / Deposits/ Government Securities	--	--	--
	Decrease in other current assets	--	--	--
	TOTAL	2.959	0.088	0.016
4	SHORT TERM USES
	Increase in Inventory	1.031	0.057	0.035
	Increase in receivables	3.183	0.057	0.096
	Increase in Cash / Deposits / Government Securities	0.341	0.075	0.075
	Increase in other current assets	0.002	0.159	0.091
	Decrease in other current liability	--	--	--
	Decrease in bank borrowings	--	--	--
	TOTAL	4.556	0.348	0.297
	SUMMARY OF FUND FLOW ANALYSIS
	Long term sources	13.878	3.336	3.463
	Long term uses	12.281	3.076	3.181
	Surplus / Deficit	1.597	0.260	0.282
	Short term sources	2.959	0.088	0.016
	Short term uses	4.556	0.348	0.297
	Surplus / Deficit	(1.597)	(0.260)	(0.282)

------------------------------------------------------------------------------------------------------------------------------

RATIO ANALYSIS

(RS. IN MILLIONS)

SR. NO.	PARTICULARS	2014-15 ESTIMATED	2015-16 PROJECTED	2016-17 PROJECTED
	RATIOS
1	Growth in sales	38%	130%	2%
2	Gross Profit Ratio	28%	27%	27%
3	PBDIT / Sales	11.06%	10.82%	13.09%
4	Operating Profit/ Sales	11.06%	10.82%	13.09%
5	PBT/ Sales	11.06%	10.82%	13.09%
6	PAT/ Sales	7.65%	7.48%	9.05%
7	Cash Accruals / Sales	16.17%	15.40%	15.63%
8	Sales / Equity	1.32	2.53	2.15
9	Sales / TTA	0.47	1.08	1.09
10	Interest Coverage [Interest/ PBDIT]	18.23%	23.84%	19.68%
11	PBDIT / Interest [Times]	5.48	4.20	5.08
12	Deferred debt / Equity	1.11	0.74	0.47
13	TOL / Equity	1.79	1.35	0.97
14	Current Ratio [CA/ CL]	1.37	1.34	1.39
15	Current Ratio excluding TL installments	1.85	1.90	1.97
16	CA / TTA [%]	33.37%	34.72%	35.77%
17	Inventory + Receivables as days of net sales	217	96	96
18	Bank borrowings / Current assets	45.21%	42.95%	41.20%
19	RM content in sales	52.09%	53.38%	53.43%
20	ROCE [PBDIT including Other Income / TTA]	0.11	0.26	0.27
21	Debt Service Coverage Ratio Calculations
	Cash Accruals	1.523	3.336	3.463
	Interest on TL/ deferred loans	0.411	1.271	1.068
	Repayment obligations of TL	1.579	1.276	1.531
	Repayment of other deferred loans	--	--	--
	Total Repayment	1.990	2.547	2.600
	Net Debt Service Coverage Ratio [DSCR]	0.96	2.61	2.26
	Gross Debt Service Coverage Ratio [DSCR]	0.97	1.81	1.74
22	Security Coverage Ratio
	Net Block	13.250	11.534	10.074
	Term Loan outstanding [including installment]	6.891	5.615	4.084
	Security Cover available [NB – TL / NB]	48%	51%	59%
23	Security cover including Collateral Security
	Security cover available [NB + Collateral - TL] / NB	48%	51%	59%

------------------------------------------------------------------------------------------------------------------------------

KEY INDICATORS

(RS. IN MILLIONS)

SR. NO.	PARTICULARS	2014-15 ESTIMATED	2015-16 PROJECTED	2016-17 PROJECTED
1	Net Sales	9.417	21.662	22.160
2	Operating Profit	1.042	2.344	2.901
3	(Net) Other Income	--	--	--
4	PBDIT / Sales	11.06%	10.82%	13.09%
5	PBT / Sales	11.06%	10.82%	13.09%
6	PAT	0.720	1.620	2.005
7	PAT / Net Sales	15.23	33.36	34.63
8	Cash Accruals	1.523	3.336	3.463
9	Cash Accruals / Sales	16.17%	15.40%	15.63%
10	Paid up Capital	2.915	7.135	8.555
11	TNW	7.135	8.555	10.310
12	TOL / TNW	1.79	1.35	0.97
13	C/R	1.37	1.34	1.39
14	C/R excluding T/L installments due in 1 year	1.85	1.90	1.97
15	Net Sales / TTA [Times]	0.47	1.08	1.09
16	PBT/ TTA [%]	5.24%	11.65%	14.25%
17	Operating Costs / Sales [%]	88.94%	89.18%	86.91%
18	Bank Finance / Current Assets [%]	45.21%	42.95%	41.20%
19	Inventory + Receivables / NS [Days]	217	96	96
20	NWC / CA [%]	25.75%	25.48%	28.31%

------------------------------------------------------------------------------------------------------------------------------

PROJECT REPORT

Subject is a proprietorship firm of Mrs. Chandrika Shivlal Rajani. She is ding Textile business since more than 3 years with the support of his husband Mr. Shivlal U. Rajani and their relatives are also engaged in textile business. Promoters are having good financial background as well as good contact in the textile market. Hence promoter is having environment and experience to expansion own unit. And now she is interested to expansion her business with installation of eight china made imported Rapier Loom machines.

Surat is a hub of textile industries. The textile industries have developed in Surat since last 100 years. The stepwise development in textile industries earns lots of profit to Surat based textile industrialist. Surat having a typical characteristic for the development of textile industries. 24 hours continuous production for all the years is a main and prime factor for the development of the Surat textile industries. The industries having a base with more than 100 years. Hence Surat textile sector have been shown various ups and down in this industries in a crucial time. Surat textile sector having characteristic is to change/ modify/ upgrade their technical skill time to time and as per the requirements. They added step-by-step value addition in this sector and developed themselves for long run. Initially manually operated looms were installed at Surat. Nowadays power looms, automatic rapier looms, Air Jet, Water Jet Looms have taken the place of manually operated looms. At the same time Two-for-One [TFO] machines, Texturing Machines, Crimping Machines have also take the place of old designed Twisting Machines, from the raw yam, Surat based textile sector producing high quality silk sarees and dress material in Surat.

Surat’s textile sector always thinks for innovation and creativity and adopted various new production techniques/installing new machines for value addition.

Nowadays Surat based textile sector is preparing for a technical up gradation to meet with challenges after opening of GATE karar. The GATE will open for entire global market from 31.03.2005. Hence the export quota system will be denied. On the opening of entire global gate after the effect of GATE karar. There are huge chances for weaving value added product in the international market.

To meet with the challenges of international market the promoters of the project have decided to produce some weaving value added product in textile sector this will be possible after installation of imported Rapier Loom machines for this project. This rapier looms machine added the quality weaving of the product by more than 100%, hence there is a good scope of weaving-based project in Surat.

Proponent is having adequate experience of the textile business. Looking to the rich experience and contacts of the promoters it is presume that unit will run very smoothly.

------------------------------------------------------------------------------------------------------------------------------

NETWORTH STATEMENT

MRS. CHANDRIKA SHIVLAL RAJANI

(RS. IN MILLIONS)

[AS ON 03.11.2014]

TOTAL VALUE OF IMMOVABLE PROPERTY

NATURE OF PROPERTY	BOOK VALUE	MARKET VALUE
Plant and Machinery	2.996	2.996
TOTAL [A]		2.996

TOTAL VALUE OF OTHER ASSETS

NATURE OF PROPERTY	BOOK VALUE	MARKET VALUE
Gold Ornaments	0.059	0.059
FD with Bank of Baroda	0.032	0.032
TOTAL [B]		0.091

TOTAL LIABILITIES

BORROWED FROM	AMOUNT IN MILLIONS	SECURITIES OFFERED	PURPOSE	OUTSTANDING AS ON DATE
Bank of Baroda	3.100	Machinery as Primary	Machinery	0.000
Bank of Baroda	1.000	Stock and Book Debt	Working Capital	0.000
TOTAL [C]				0.000

NETWORTH [A + B + C]

RS. 3.087 MILLIONS

------------------------------------------------------------------------------------------------------------------------------

VALUATION REPORT

(GENERAL DETAILS)

Purpose for which valuation is made

To Assess Fair Market Value for Bank of India, Gopipura Branch, Surat

Date as on which valuation is made

05.11.2014

Name of the Allote

Star Fabrics

Mrs. Chandrika Shivlal Rajani, Proprietor

If the property is under ownership/ co-owners, share of each such owner are the undivided?

Individual

Brief description of the property

Industrial land with shade type property

Location, Street, Ward No.

Plot No. P/38, Sayan Textile Park, Nera RJD Park, Surat Hazira Road, Ichchapore, Surat.

Survey/ Plot No. of land

R.S. No. 55 paikee, 56, 60/1, 60/2, 59, 61, 62, 63, 64, 65 paikee, 66, 67, 69 paikee, 70 paikee, 71 + 69, 71 + 69/4, 72 + 73 + 74 + 75 paikee, 96 paikee, 97 paikee, 98 paikee, 99 + 100 + 101 + 102, 103, 106, 104 + 105 paikee, 170 paikee, 112 paikee, 113 paikee, 114, 115/1, 115/2, 116, 117 + 118 + 119 paikee, 127 paikee, 128 paikee, 126 paikee, 149 + 150/1, 147 + 148 + 146/1/ paikee, 151 paikee, Moje-Ichchapore, Hazira-Adajan Road, Tal-Choryasi, Surat.

Is the property situated in the Residential/ Commercial/ Mixed Area/ Industrial area?

Industrial Area

Classification of Locality – High class/ Middle class/ Poor class

Industrial Class

Proximity to civic amenities like School, Hospital, offices, markets, cinema etc.

All amenities are available at distance

Means and proximity to surface communication by which the locality is served

By Road Transportation

LAND

Area of land supported by documentary proof, dimensions and physical features

Land Area; 189.04 Sq. mt. or 226 Sq. Yds.

Roads, streets of lanes on which the land is abutting

Plot No. P/38, Sayan Textile Park, Nera RJD Park, Surat Hazira Road, Ichchapore, Surat.

It is freehold or leasehold land?

Leasehold Land

If leasehold, the surname of lessor/ lessee, nature of lease, dates of commencement and termination of lease and terms of renewal of lease

(i) Initial Premium

(ii) Ground rent payable per annum

(iii) Unearned increase payable to the lessor in the event of sale of transfer

As per lease deed

Is there any restrictive covenant in regard to use of land?

As per lease deed

Are there any agreements of easements?

As per lease deed

Does the land fall in an area included in any town planning plan of govt. or any statutory body?

As per lease deed

Has any contribution been made towards development or is any demand for such contributions still outstanding

As per lease deed

Has the whole or part of the land been notified for acquisition by government? or any statutory? Give the date of the notification.

As per lease deed

IMPROVEMENTS

Furnish technical details of the building on a separate sheet

As per Technical details

(a) Is the building owner – occupied / tenanted/ both?

(b) If party owner-occupied, specify portion and extent of area under owner occupation

Occupied by Allote

NA

What is the Floor Space Index permissible and percentage actually utilized?

NA

RENTS

(i) Names of tenant/ lessees/ licensees, etc.

(ii) Portion in their occupation

(iii) Monthly or annual rent/ compensation/ licence fee, etc. paid by each

(iv) Gross amount received for the whole property

Not Applicable

Are any of the occupants related to, or close business associates, of the owner?

NA

Is separate amount being recovered for the use of fixtures, like fans, geysers, refrigeration’s, cooking ranges, built-in wardrobes, etc. or for service charges? If so, give details

NA

Give details of water and electricity charges, if any, to be borne by the owner

NA

Has the tenant to bear the whole or part of the cost of repairs and maintenance? Give Particulars

NA

If a lift is installed, who has to bear the cost of maintenance and operation owner or tenant?

NA

If a pump is installed, who has to bear the cost of maintenance and operation - owner or tenant?

NA

Who has to bear the cost of electricity charges for lighting of common space like entrance hall, stairs, passages, compound, etc. – owner or tenant?

NA

What is the amount of property tax? Who is to bear it? Give details with documentary proof

NA

Is the building insured? If so, give the policy no., amount for which it is insured and the annual premium

NA

Is there any dispute between landlord and tenant regarding rent pending in a court of law

NA

Has any standard rent been fixed for the permission under any law relating to the control or rent

NA

SALES

Give instances of sales of immovable property in the locality on a separate sheet, indicating the name and address of the property, registration No., sale price and area of land sold

Considering the location of the property its Industrial utility, Potential demand factors affecting the value and current prevailing Market rates, Rates as Rs. 20000/- per Sq. Yds. After local enquiry.

Land rate adopted in this valuation

Considering the location of the property its Industrial utility, Potential demand factors affecting the value and current prevailing Market rates, Rates as Rs. 20000/- per Sq. Yds. After local enquiry.

If sale instances are not relied upon the basis of arriving at the land rate

Considering the location of the property its Industrial utility, Potential demand factors affecting the value and current prevailing Market rates, Rates as Rs. 20000/- per Sq. Yds. After local enquiry.

COST OF CONSTRUCTION

Year of commencement of construction and year of completion

2014

What was the method of construction - by contract/ by employing labour directly/ both?

By employing labours directly

For items of work done on contract, produce copies of agreements

NA

For items of work done by engaging labour directly, give basic rates of materials and labour supported by documentary proof

Labour directly

PART II – VALUATION

The property under consideration for valuation is an Industrial land with shed type property bearing Plot No. P/38, Sayan Textile Park, Nera RJD Park, Surat Hazira Road, Ichchapore, Surat. It is having CC flooring, steel shutter and aluminum section window with glass. Considering the location, locality factors affecting the Market value of the property.

They value the property as under:

LAND AREA AND ITS VALUE

226 Sq. Yds @ Rs. 20000/- Sq. Yds.

Rs. 4.520 Millions

BUILT UP AREA AND ITS VALUE

3276 Sq. ft. @ Rs. 800/- Sq. ft.

Rs. 2.621 Millions

Total value of the property	Rs. 7.141 Millions
Say	Rs. 7.141 Millions
Thus Fair Market Value	Rs. 7.141 Millions
Realizable Value	Rs. 6.427 Millions
Distress Sale Value	Rs. 5.712 Millions
Jantri Value [Land Area 189.04 Sq. Mt. x Rs. 3500/-] + [B.A.]	Rs. 3.282 Millions
Insurable Value	Rs. 2.621 Millions

TECHNICAL DETAILS

No of floors and height of floor

Ground + 1 Floor

Plinth area floor-wise [As per IS: 3861-1966]

As per Valuation

Year of Construction

2014

Estimated future life

50 Years approx. depending upon maintenance of the building in future.

Type of construction – load bearing walls/ RCC frame/ Steel Frame

RCC Structure

Type of foundations

RCC Footing

Walls :

(a) Ground Floor

(b) Basement and Plinth

(c) Super Structure above Ground Floor

Brick masonry in cement mortar

Partitions

Brick masonry in cement mortar

Door and Windows (Floor Wise)

Steel shutter and aluminum section windows with glass

Flooring

CC flooring

Finishing

Cement plaster with lapi

Roofing and Terracing

RCC Roofing

Special architectural or decorative features, if any

NA

(i) Internal Wiring – Surface or Concealed

(ii) Class of fitting – Superior/ Ordinary/ Poor

Open wiring

Ordinary

Compound Wall

(i) Height

(ii) Length

(iii) Type of Construction

Existing

No. of Lifts and Capacity

NA

Underground sump capacity and type of construction

NA

Overhead Tank

NA

Pumps No. and their horse power

NA

Roads and paving within the compound, approximate area and type of paving

CC Road

Sewage disposal where connected to public sewers. if septic tanks provided no. and capacity.

Drainage system available

------------------------------------------------------------------------------------------------------------------------------

TRADE REFERENCE

· B Dobariya and Company

Address: B-609, Diamond World, Mini Bazaar, Varachha Road, Surat – 395006, Gujarat, India

Contact Person: Mr. Bhavesh Dobariya [91-9825331103]

------------------------------------------------------------------------------------------------------------------------------

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs. 61.85
UK Pound	1	Rs. 97.01
Euro	1	Rs. 77.62

INFORMATION DETAILS

Information Gathered by :	SVA
Analysis Done by :	SUM
Report Prepared by :	BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	4
PAID-UP CAPITAL	1~10	3
OPERATING SCALE	1~10	4
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	4
--PROFITABILIRY	1~10	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	3
--CREDIT LINES	1~10	3
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTERS
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		30

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended
--	NB	New Business	--

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.