IFIT VENTURES

CHENNAI

Details of Sources of finance and project cost

SOURCES OF FINANCE

Amount
Particulars (INR)
Promoter Contribution 7,533,270
Bank Term Loan 14,700,000
Total 22,233,270

PROJECT COST

Amount Amount
Particulars (INR) (INR)
Gym Equipment 8,340,270
Air Conditioners 1,500,000
Functional training equipment 1,118,000
In Body machine 200,000
Misc Assets( Door mats, loose furniture, water dispenser 250,000
Genset 430,000
Signage and Internet branding 350,000
Interiors (6600 sq ft @ 1200/sq feet) 7,920,000
Electronic items (TV, Music systems, computers,printer,
biometric and CCTV 400,000 20,508,270

Rental deposit 675,000

Franchise fees 350,000
Marketing and Pre launch expenses 700,000 1,725,000

Total Project Cost 22,233,270

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IFIT VENTURES
CHENNAI

Projected Balance Sheet

Year Note Y1 Y2 Y3 Y4 Y5 Y6 Y7
Liabilites

Proprietor's capital 7,533,270 7,533,270 7,533,270 7,533,270 7,533,270 7,533,270 7,533,270

Loan funds 1 12,600,000 10,500,000 8,400,000 6,300,000 4,200,000 2,100,000 -

Reserves & surplus 76,397 320,285 955,702 2,007,762 3,158,373 4,460,448 5,999,083

Total Liabilities 20,209,667 18,353,555 16,888,972 15,841,032 14,891,643 14,093,718 13,532,353

Assets

Fixed assets(As per sch) 2 20,508,270 17,974,530 15,766,600 13,841,035 12,160,362 14,692,242 12,858,747
Less: Depreciation (2,533,741) (2,207,929) (1,925,565) (1,680,673) (1,468,120) (1,833,496) (1,595,505)
Net fixed assets 17,974,530 15,766,600 13,841,035 12,160,362 10,692,242 12,858,747 11,263,241

Current assets
Rent deposit 675,000 675,000 675,000 675,000 675,000 675,000 675,000
Cash & Bank balances 610,138 1,061,955 1,622,937 2,355,669 2,974,400 109,971 1,244,112
Total current assets 1,285,138 1,736,955 2,297,937 3,030,669 3,649,400 784,971 1,919,112

Deferred expenses
Franchisee fees 350,000 350,000 350,000 350,000 350,000 350,000 350,000
Pre launch expenses 3 600,000 500,000 400,000 300,000 200,000 100,000 -
Total deferred revenue exps 950,000 850,000 750,000 650,000 550,000 450,000 350,000

Total Assets 20,209,667 18,353,555 16,888,972 15,841,032 14,891,643 14,093,718 13,532,353

Debt Equity ratio 1.66 1.34 0.99 0.66 0.39 0.18 -
 IFIT VENTURES
CHENNAI

Projected Profit & Loss A/c

Profit & Loss account Note Y1 Y2 Y3 Y4 Y5

Revenue

Services 4 14,700,000 15,600,000 16,125,000 17,050,000 17,600,000

Less: GST (2,242,373) (2,379,661) (2,459,746) (2,600,847) (2,684,746)
Total receipts 12,457,627 13,220,339 13,665,254 14,449,153 14,915,254

Expenses
- - -
Rent 2,700,000 2,835,000 2,835,000 2,976,750 2,976,750
Royalty 600,000 600,000 600,000 600,000 600,000
Salaries 2,526,000 2,652,300 2,864,484 3,007,708 3,158,094
Incentives 294,000 312,000 322,500 511,500 528,000
Conveyance 576,000 587,520 599,270 611,256 623,481
Staff welfare 115,200 117,504 119,854 123,450 127,153
Swiping charges 88,200 93,600 96,750 102,300 105,600
Electricity 600,000 650,000 700,000 750,000 800,000
Gym Maintenance 217,992 261,590 313,908 376,690 452,028
AMC for Gym equipment 60,000 60,000 60,000 75,000
Interest 1,140,213 965,913 791,613 617,313 443,013
Business Promotion & Campaign - - - - 100,000

Total Cash expenses 8,857,605 9,135,427 9,303,379 9,736,966 9,989,118

Depreciation 2,533,741 2,207,929 1,925,565 1,680,673 1,468,120

Write off of preoperative exps 100,000 100,000 100,000 100,000 100,000
Total non cash expenses 2,633,741 2,307,929 2,025,565 1,780,673 1,568,120

Total expenses 11,491,345 11,443,356 11,328,944 11,517,639 11,557,239

Profit/(loss) 966,282 1,776,983 2,336,310 2,931,513 3,358,016

Taxation 289,885 533,095 700,893 879,454 1,007,405
Profit after taxes 676,397 1,243,888 1,635,417 2,052,059 2,350,611
Net profit % (PAT/Turnover) 5.43% 9.41% 11.97% 14.20% 13.36%
 IFIT VENTURES
CHENNAI
Projected Cash flow statement

YEAR Y1 Y2 Y3 Y4 Y5 Y6 Y7

Profit after taxes 676,397 1,243,888 1,635,417 2,052,059 2,350,611 2,502,075 2,738,636

Add:
Depreciation 2,533,741 2,207,929 1,925,565 1,680,673 1,468,120 1,833,496 1,595,505
Deferred exps w/off 100,000 100,000 100,000 100,000 100,000 100,000 100,000

Cash flow generated 3,310,138 3,551,817 3,660,982 3,832,732 3,918,731 4,435,571 4,434,141

Less: Loan repayment 2,100,000 2,100,000 2,100,000 2,100,000 2,100,000 2,100,000 2,100,000
Less: Proprietor's drawings 600,000 1,000,000 1,000,000 1,000,000 1,200,000 1,200,000 1,200,000
Less: Purchase of Fixed Assets 4,000,000

Surplus cash 610,138 451,817 560,982 732,732 618,731 (2,864,429) 1,134,141

Opening cash balance 610,138 1,061,955 1,622,937 2,355,669 2,974,400 109,971

Closing cash balance 610,138 1,061,955 1,622,937 2,355,669 2,974,400 109,971 1,244,112

DSCR 1.58 1.69 1.74 1.83 1.87 2.11 2.11

Average DSCR 1.85

 IFIT VENTURES
CHENNAI
Notes to Accounts

Note 1

Loan account

Particulars Y1 Y2 Y3 Y4
Opening balance 12,600,000 10,500,000 8,400,000
Loan disbursed 14,700,000
Loan repaid 2,100,000 2,100,000 2,100,000 2,100,000
Closing balance 12,600,000 10,500,000 8,400,000 6,300,000
Interest payble @ 10.35% 1,140,213 965,913 791,613 617,313

Note 2

Depreciation schedule

Y1
Additions during the year
More Than 180 Less Than 180
Particulars Rate Opening
Days Days
Gym Equipment 15% - 9,658,270
Airconnditioners 10% - 1,500,000
Genset 10% - 430,000
Signage Board with LED 10% - 350,000
Interiors 10% - 7,920,000
Electronic items (TV, Music systems,
10% - 400,000
computers,printer, biometric and CCTV
Misc Assets( Door mats, loose furniture, water
10% - 250,000
dispenser
Total - 20,508,270 -

Y2
Additions during the year

More Than 180 Less Than 180

Particulars Rate Opening
Days Days

Gym Equipment 15% 8,209,530

Airconnditioners 10% 1,350,000
Genset 10% 387,000 -
Signage Board with LED 10% 315,000 -
Interiors 10% 7,128,000 -
Electronic items (TV, Music systems,
10% 360,000 -
computers,printer, biometric and CCTV
Misc Assets( Door mats, loose furniture, water
10% 225,000 -
dispenser
Total 17,974,530 - -

Y3
Additions during the year
 More Than 180 Less Than 180
Particulars Rate Opening
Days Days
Gym Equipment 15% 6,978,100
Airconnditioners 10% 1,215,000
Genset 10% 348,300 -
Signage Board with LED 10% 283,500 -
Interiors 10% 6,415,200 -
Electronic items (TV, Music systems,
10% 324,000 -
computers,printer, biometric and CCTV
Misc Assets( Door mats, loose furniture, water
10% 202,500 -
dispenser
Total 15,766,600 - -
Y4
Additions during the year
More Than 180 Less Than 180
Particulars Rate Opening
Days Days
Gym Equipment 15% 5,931,385
Airconnditioners 10% 1,093,500
Genset 10% 313,470 -
Signage Board with LED 10% 255,150 -
Interiors 10% 5,773,680 -
Electronic items (TV, Music systems,
10% 291,600 -
computers,printer, biometric and CCTV
Misc Assets( Door mats, loose furniture, water
10% 182,250 -
dispenser
Total 13,841,035 - -

Y5
Additions during the year
More Than 180 Less Than 180
Particulars Rate Opening
Days Days
Gym Equipment 15% 5,041,677
Airconnditioners 10% 984,150
Genset 10% 282,123 -
Signage Board with LED 10% 229,635 -
Interiors 10% 5,196,312 -
Electronic items (TV, Music systems,
10% 262,440 -
computers,printer, biometric and CCTV
Misc Assets( Door mats, loose furniture, water
10% 164,025 -
dispenser
Total 12,160,362 - -

Y6
Additions during the year
More Than 180 Less Than 180
Particulars Rate Opening
Days Days
Gym Equipment 15% 4,285,426 3,000,000
Airconnditioners 10% 885,735
Genset 10% 253,911 -
Signage Board with LED 10% 206,672 -
Interiors 10% 4,676,681 1,000,000
Electronic items (TV, Music systems,
10% 236,196 -
computers,printer, biometric and CCTV
Misc Assets( Door mats, loose furniture, water
10% 147,623 -
dispenser
Total 10,692,242 4,000,000 -

Note: During Y6, interiors works is expected to be undertaken and Gym equipments are to be replaced.

Y7
Additions during the year
More Than 180 Less Than 180
Particulars Rate Opening
Days Days
Gym Equipment 15% 6,192,612 -
Airconnditioners 10% 797,162
Genset 10% 228,520 -
Signage Board with LED 10% 186,004 -
Interiors 10% 5,109,013 -
Electronic items (TV, Music systems,
10% 212,576 -
computers,printer, biometric and CCTV
Misc Assets( Door mats, loose furniture, water
10% 132,860 -
dispenser
Total 12,858,747 - -

Note 3

Amortisation of Preliminary expenses

Particulars Y1 Y2 Y3 Y4
Opening Pre launch expenses 700,000 600,000 500,000 400,000
1/10 written off 100,000 100,000 100,000 100,000
Closing Pre launch expenses 600,000 500,000 400,000 300,000

Note 4

Projected Revenue

Year Y1 Y2 Y3 Y4
(A) Ordinary Package

Annual Memberships/Customer 1000 1050 1050 1100

Revenue per customer 12,000 12,000 12,500 12500
Revenue per annum 12,000,000 12,600,000 13,125,000 13,750,000

(B) Special Package

Annual Memberships/ subscriptions 180 200 200 220

Revenue per customer 15,000 15,000 15,000 15,000
Revenue per annum 2,700,000 3,000,000 3,000,000 3,300,000

Total Revenue 14,700,000 15,600,000 16,125,000 17,050,000

Revenue per month 1,225,000 1,300,000 1,343,750 1,420,833

Note 5
URES
AI

Y5 Y6 Y7
6,300,000 4,200,000 2,100,000

2,100,000 2,100,000 2,100,000

4,200,000 2,100,000 -
443,013 268,713 94,413

Sales More than Sales Less

Total Depreciation WDV Closing
180days Than 180 days
9,658,270 - - 1,448,741 8,209,530
1,500,000 - - 150,000 1,350,000
430,000 - - 43,000 387,000
350,000 - - 35,000 315,000
7,920,000 - - 792,000 7,128,000

400,000 40,000 360,000

250,000 25,000 225,000

20,508,270 - - 2,533,741 17,974,530

Sales More than Sales Less

Total Depreciation WDV Closing
180days Than 180 days

8,209,530 - - 1,231,429 6,978,100

1,350,000 - - 135,000 1,215,000
387,000 - - 38,700 348,300
315,000 - - 31,500 283,500
7,128,000 - - 712,800 6,415,200

360,000 36,000 324,000

225,000 22,500 202,500

17,974,530 - - 2,207,929 15,766,600

 Sales More than Sales Less
Total Depreciation WDV Closing
180days Than 180 days
6,978,100 - - 1,046,715 5,931,385
1,215,000 - - 121,500 1,093,500
348,300 - - 34,830 313,470
283,500 - - 28,350 255,150
6,415,200 - - 641,520 5,773,680

324,000 32,400 291,600

202,500 20,250 182,250

15,766,600 - - 1,925,565 13,841,035

 Sales More than Sales Less
Total Depreciation WDV Closing
180days Than 180 days
5,931,385 - - 889,708 5,041,677
1,093,500 - - 109,350 984,150
313,470 - - 31,347 282,123
255,150 - - 25,515 229,635
5,773,680 - - 577,368 5,196,312

291,600 29,160 262,440

182,250 18,225 164,025

13,841,035 - - 1,680,673 12,160,362

Sales More than Sales Less

Total Depreciation WDV Closing
180days Than 180 days
5,041,677 - - 756,252 4,285,426
984,150 - - 98,415 885,735
282,123 - - 28,212 253,911
229,635 - - 22,964 206,672
5,196,312 - - 519,631 4,676,681

262,440 26,244 236,196

164,025 16,403 147,623

12,160,362 - - 1,468,120 10,692,242

Sales More than Sales Less

Total Depreciation WDV Closing
180days Than 180 days
7,285,426 - - 1,092,814 6,192,612
885,735 - - 88,574 797,162
253,911 - - 25,391 228,520
206,672 - - 20,667 186,004
5,676,681 - - 567,668 5,109,013

236,196 23,620 212,576

147,623 14,762 132,860

14,692,242 - - 1,833,496 12,858,747

d.

Sales More than Sales Less

Total Depreciation WDV Closing
180days Than 180 days
6,192,612 - - 928,892 5,263,720
797,162 - - 79,716 717,445
228,520 - - 22,852 205,668
186,004 - - 18,600 167,404
 5,109,013 - - 510,901 4,598,111

212,576 21,258 191,319

132,860 13,286 119,574

12,858,747 - - 1,595,505 11,263,241

Y5 Y6 Y7
300,000 200,000 100,000
100,000 100,000 100,000
200,000 100,000 -

Y5 Y6 Y7

1100 1150 1150

13000 13000 13500
14,300,000 14,950,000 15,525,000

220 240 240

15,000 15,000 15,000
3,300,000 3,600,000 3,600,000

17,600,000 18,550,000 19,125,000

1,466,667 1,545,833 1,593,750

 IFIT VENTURES
CHENNAI

Loan Amount 14,700,000

Tenure 7 yrs
Interest 8.30%

Inst No Opening Balance Principal Interest Closing balance

1 14,700,000 175,000 101,675 14,525,000
2 14,525,000 175,000 100,465 14,350,000
3 14,350,000 175,000 99,254 14,175,000
4 14,175,000 175,000 98,044 14,000,000
5 14,000,000 175,000 96,833 13,825,000
6 13,825,000 175,000 95,623 13,650,000
7 13,650,000 175,000 94,413 13,475,000
8 13,475,000 175,000 93,202 13,300,000
9 13,300,000 175,000 91,992 13,125,000
10 13,125,000 175,000 90,781 12,950,000
11 12,950,000 175,000 89,571 12,775,000
12 12,775,000 175,000 88,360 12,600,000
13 12,600,000 175,000 87,150 12,425,000
14 12,425,000 175,000 85,940 12,250,000
15 12,250,000 175,000 84,729 12,075,000
16 12,075,000 175,000 83,519 11,900,000
17 11,900,000 175,000 82,308 11,725,000
18 11,725,000 175,000 81,098 11,550,000
19 11,550,000 175,000 79,888 11,375,000
20 11,375,000 175,000 78,677 11,200,000
21 11,200,000 175,000 77,467 11,025,000
22 11,025,000 175,000 76,256 10,850,000
23 10,850,000 175,000 75,046 10,675,000
24 10,675,000 175,000 73,835 10,500,000
25 10,500,000 175,000 72,625 10,325,000
26 10,325,000 175,000 71,415 10,150,000
27 10,150,000 175,000 70,204 9,975,000
28 9,975,000 175,000 68,994 9,800,000
29 9,800,000 175,000 67,783 9,625,000
30 9,625,000 175,000 66,573 9,450,000
31 9,450,000 175,000 65,363 9,275,000
32 9,275,000 175,000 64,152 9,100,000
33 9,100,000 175,000 62,942 8,925,000
34 8,925,000 175,000 61,731 8,750,000
35 8,750,000 175,000 60,521 8,575,000
36 8,575,000 175,000 59,310 8,400,000
37 8,400,000 175,000 58,100 8,225,000
38 8,225,000 175,000 56,890 8,050,000
39 8,050,000 175,000 55,679 7,875,000
40 7,875,000 175,000 54,469 7,700,000
41 7,700,000 175,000 53,258 7,525,000
42 7,525,000 175,000 52,048 7,350,000
43 7,350,000 175,000 50,838 7,175,000
44 7,175,000 175,000 49,627 7,000,000
45 7,000,000 175,000 48,417 6,825,000
46 6,825,000 175,000 47,206 6,650,000
47 6,650,000 175,000 45,996 6,475,000
48 6,475,000 175,000 44,785 6,300,000
49 6,300,000 175,000 43,575 6,125,000
50 6,125,000 175,000 42,365 5,950,000
51 5,950,000 175,000 41,154 5,775,000
52 5,775,000 175,000 39,944 5,600,000
53 5,600,000 175,000 38,733 5,425,000
54 5,425,000 175,000 37,523 5,250,000
55 5,250,000 175,000 36,313 5,075,000
56 5,075,000 175,000 35,102 4,900,000
57 4,900,000 175,000 33,892 4,725,000
58 4,725,000 175,000 32,681 4,550,000
59 4,550,000 175,000 31,471 4,375,000
60 4,375,000 175,000 30,260 4,200,000
61 4,200,000 175,000 29,050 4,025,000
62 4,025,000 175,000 27,840 3,850,000
63 3,850,000 175,000 26,629 3,675,000
64 3,675,000 175,000 25,419 3,500,000
65 3,500,000 175,000 24,208 3,325,000
66 3,325,000 175,000 22,998 3,150,000
67 3,150,000 175,000 21,788 2,975,000
68 2,975,000 175,000 20,577 2,800,000
69 2,800,000 175,000 19,367 2,625,000
70 2,625,000 175,000 18,156 2,450,000
71 2,450,000 175,000 16,946 2,275,000
72 2,275,000 175,000 15,735 2,100,000
73 2,100,000 175,000 14,525 1,925,000
74 1,925,000 175,000 13,315 1,750,000
75 1,750,000 175,000 12,104 1,575,000
76 1,575,000 175,000 10,894 1,400,000
77 1,400,000 175,000 9,683 1,225,000
78 1,225,000 175,000 8,473 1,050,000
79 1,050,000 175,000 7,263 875,000
80 875,000 175,000 6,052 700,000
81 700,000 175,000 4,842 525,000
82 525,000 175,000 3,631 350,000
83 350,000 175,000 2,421 175,000
84 175,000 175,000 1,210 -
Total 14,700,000 4,321,188