Professional Documents
Culture Documents
INDEX (CONTENTS)
SL. PARTICULARS
NO.
1. Introduction
2. Promoter’s Profile
3. Market Scenario
4. Procurement of Raw Materials
5. Cost of the Project
6. Means of Finance
7. Financial Statements:
a. Projected Balance Sheet
b. Projected Profitability Statement
c. Projected Cash Flow Statement
d. Statement Showing the Re-payments/
Interest on Term Loan
e. Calculation of Debt Service Coverage
ratio
f. Schedule of Fixed Assets
g. Schedule of Direct, Admin & Selling
Expenses
H. Computation of Working Capital
1. INTRODUCTION
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Nothing in this world is more powerful than an idea whose time has
come.
-- Victor Hugo
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d) To act as advisers and or consultants in Automation equipments,
control systems, data acquisition system, and Telecommunication
equipments and instruments including Computer Aided Designs
( CAD ), Computer Aided Engineering ( CAE ) and Computer
Aided Manufacturing ( CAM ) relating to Air craft servicing
activities and also manufacturing activities and make available
personnel and services of every kind in relation to any
engineering industry, computer software, information technology,
Computer hardware, data processing, computer engineering,
system and management analysis, IT products and Intranet and
Internet Services.
The field of aerospace has been investigated for centuries but it can be
said that modern aerospace began with the first powered flight at Kitty
Hawk on December 17, 1903, by the Wright brothers. From there,
aerospace has grown to be one of the most exciting, diverse, and fast
paced fields of today. From the hot-air balloons of 18th century to the
first wood-and-cloth plane of Wilbur and Orville Wright to the first trip to
the moon on Apollo 11 to the new and exciting aircraft being developed
by companies like Boeing, Airbus, and Bombardier, aerospace has
come a long way in a little over a century
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more than sufficient to establish MRO facility of XXXXX aviation
and other service activities , to setup plant & machinery , to
construct factory building and to take lease two or three small
aircrafts for training .. On account of this requirement, XXXXX
AEROSPACE PVT LTD approached bank for sanction of Term
Loan to the extent of Rs 122.5 crores and working capital
requirement to the extent of Rs 50 crores.
2. PROMOTER’S PROFILE
1. Sri. TRIPATHY
CHAIRMAN.
Age: 42 years
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Qualification: Advance Degree Aerospace Engineer (MSc)
CURRICULAM VITAE
Tripathy, A M Ae, S I., B.Tech, M. Sc-(ENG), Perusing Phd in Germany
MBB
Life Member of Aeronautical Society of INDIA,
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Chairman – XXXXX Core Engineering Technologies Pvt Ltd
Chairman – XXXXX AEROSPACE PVT LTD
Technical Advisor of XXXXX Global Solution, Bangalore.
Technical Advisor for DASK System Solutions Pvt Ltd, Bhubaneswar
Chief Advisor for Many Technical Universities and Engineering Colleges
Chief Advisor for many SME’s
Current Location: Bangalore
Vision to lead a organization where following target can be achieved:-
To look after the Marketing, Consultancy, Development and
Training applied to the field of, aerospace, automotive, railways,
heavy engineering, etc… using state of art technique on
CAE/CFD/PLM from MSC/CD/Dassult respectively.
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Duration : - May .2005 TO June 2007 -
XXXXX
(Worked with Nei and Ne –NASTRAN development team (USA &
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• Support pre and post sale activity ( Demo, bench mark of product,
installation and training on customer site)
• Pre-post services activity ( Technical liasioning with industry in
India and abroad to get sufficient amount of engineering work on
CAD,FEA,FEM are to support the services division).
• Internally support technical manager, business development
mangers to achieve the yearly target of individuals and manage
around technical 20 technical entry-level experts.
• Taking a target to support a business of Rs 20 corers.
• Responsible to recruit good technical/non technical people inside
the organization
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CONSULTANS), BANGALORE
( Worked with Dr.Manjuath, Mr.B.P. Rao, Mr.V.T. Nagraj, Dr.
Balasubhramanium and German Consultant )
Project details
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laid mile stone starting from land acquisition till hand over the
project to the customer with fullest satisfaction. The projects are
highly appreciated by customer and also govt. agencies and
financial agencies too.
5. Dr DASH
Chief Executive Officer
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Who I am?
NAL has retained a group of aircraft designers who have retired from
HAL and formed a design company (Aircraft Design and Engineering
Services) for the design of HANSA-3 and SARAS. Beyond the design,
the rest of the steps are done through NAL’s in-house strength
(Analysis, testing etc).
During my work on HANSA-3 and SARAS project I got to know each one
of the retired design engineers and worked closely with airframe
designers. I found, during my structural tests on airframes (HANSA-3
and SARAS) that their prediction of structural response was very close
to my test results unlike the predictions made by FEA specialists
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gradually prompted me to think of developing aircraft outside the ambit
of NAL or HAL.
In the year 2003 I was getting more and more convinced to come out of
NAL and develop a world class aircraft. But it has to be a team work. I
and my group have the capability of structural analysis and testing. I
needed support in all other areas to bring out an aircraft. I identified one
key person in each of the areas of aircraft development and talked to
them separately about the feasibility of my idea. The question of
investment was not in mind yet. I was more keen to understand the
technical feasibility. Each one of them were keenly interested to be a
part of developing a world class aircraft. Each one of them was excited
to join me if I started an aircraft company to build aircraft.
This was the time (2004-05), the aviation industry was booming in India.
All the airlines together had placed firm orders for aircraft for a whooping
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Rs 135,000 crores. Aircraft to be delivered by 2012. This struck me and
made me ask the question “can’t we develop our own aircraft to meet
our own requirements?” This gave birth to the mission statement of
my company XXXXX .
“To design and develop all the aircraft to meet the civil
requirements of the country by 2030”.
In the 2nd phase we need to look at general aviation aircraft and air-
transportation market in India. This market is practically non-existent in
India. Passenger and cargo services in Tier-II and -III cities, air-taxi,
aero-tourism, air-ambulance, business and executive jet transportation
fall into this category. The potential is huge. We have to make it
affordable: even much more than what Capt. Gopinath did with Air-
Deccan.
With a proper strategy I can develop this market in India which will
sustain my aircraft industry.
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is quite prepared and eagerly waiting to take charge of my air-
transportation business.
While I have the technically competent people to realize the two mission
requirements, financially it is a daunting task. In addition both these
require long lead time
There is a great deal of synergy between these three plans. With out
synergy we will not have sustainable competitive advantage.
Our training program, in the medium and long term, will provide the
technical manpower that we need for our aircraft development. It is a
filtering process through which we will select the people that we need for
our work. “Persons who can work as a team”. I do not plan to have
any direct recruitment. The training program will start with CAD, FEA,
fatigue and damage tolerance analysis. Boeing and AirBus are looking
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frantically for airframe designers and looking at India. Boeing is
requesting TCS to place 250 engineers at site. There is a great demand
for people with knowledge of fatigue and damage tolerance of airframes.
My Division at NAL is the only place where some samebalance of this
knowledge is available. Our training program targets this requirement.
Our training center will be different than any other centre due to the
hands-on experience they will receive in actually working on airframes.
Initially they will solve problems related to HANSA-3 and SARAS, the
two aircraft on which we worked while at NAL. As soon as we start our 2-
seater and 4-seater aircraft design for our pilot training school, these
training students will do the CAD and FEA work on our own aircraft.
When we carry out the structural test they will be present to experience
how their FEA correlates with test response. For fatigue and damage
tolerance training I plan to install 2 to 3 fatigue testing machines to
impart hands-on training. The CAD-FEA training will be for 3-months
with a fee structure of Rs.20,000 per student. We will add F&DT training
and the duration extends to six-months with a fee structure of 40,000 per
student.
Our aim is to see that 10 out of the first batch of 30 students get into
TCS/INFOSYS/SATYAM/CADES or any other reputed company by
their own merit enhanced by our training. These 10-employees will be
my brand ambassadors for my training program. Tripathy and I have
worked out the details of the training program in such a way that it will
generate the recurring expenses within the first six-months. Gradually
Tripathy will include all the other fields for training that are required for
running our business.
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our consultants and more importantly show them that my company
has enough investment to set up a fabrication facility and a full
airframe test facility. With this I can take up any outsourcing work
from HAL out of the $ 10 billion offset market.
The offset kitty for our civil aircraft already ordered is of the order of Rs
45000 crores. There are no takers for this in India in a significant way.
With my company’s capabilities in aircraft design, analysis, structural
testing and fabrication. We can be the most preferred vendor for this
outsourcing work.
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airframe fatigue testing costs about Rs 130 to 150 crores and takes
about 2-years to complete. I can complete this task in my test-facility in
less than Rs 20 crores (based on my experience at NAL) and I can
quote a price of Rs 65 to 75 crores to get such order from other aircraft
companies. With the information technology available they can monitor
and even control the test running in my facility. In-fact, in the recent past,
there have been many queries especially from Bombardier for fatigue
and damage tolerance test on major airframe components. NAL bid one
through SATYAM but lost to an UK company because of a higher
quotation.
In any case we need the fabrication and test facilities for our own aircraft
development plan. There is synergy in these two businesses (ESO and
aircraft development). Fabrication is labor intensive and we create these
job opportunities for people with ITI training and high School education.
With my strategy we can get sizable revenue from ESO before the
end of first year
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market share. We come back, build a few more to be used in our flying
training school.
Eventually these facilities will be used for our own airline operation as
outlined in my long-term plan. I will minimize my life-cycle cost by doing
my own maintenance.
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I have the man from Air India Express who will initiate this activity. It is of
course a very big budget plan
I consolidate the picture of the total number of aircraft required. Work out
a strategy to have maximum possible commonalities in these various
types of aircraft (the engine, the material used, the key structural
features, and equipments used, the fabrication methods etc). Then take
up the design and development work on these aircraft. Based on the
time required for aircraft development we can start the airline operation
with leased aircraft.
I strongly believe that I can develop this market for general aviation in
India. Capt. Gopinath’s dream died with Kingfisher swallowing the small
fish (Air-Deccan). I think I can build on his concept to make air-
transportation as common as mobile-use. In Russia air transportation is
cheaper than an overnight train journey.
Last but not the least is establishing the aircraft design and
development institute. It will be planned in such a way that the
students will pass through the design office, enter the fabrication
hangar come out at the entrance to the test hangar and then come
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out and walk through flying school airfield before they enter their
class room.
While they drink “rasam” and “sambar” everyday they will be inhaling the
aircraft everyday during their 4-year residence in our institute. In the 2nd
year they will actually design our aircraft under the guidance of design
engineers from our design office even though they won’t be
understanding the underlying principles. They will see their own
designed aircraft is being analysed, fabricated and tested before flying in
our flying school. They will spend the remaining two years in
understanding and appreciating their own aircraft design.
At the end of their 4-year term they should be able to claim that as a
team they can build any specified aircraft. My institute will not be
another aeronautical engineering department in a college. It will put its
own product in the world market.
I have never been able to express my inner feelings in a short write up.
This write up is already long. We scientist working R&D institutions have
developed the habit of talking more and doing less. I am afraid, I suffer
from this too.
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initiated with an initial investment of 20 to 30 crores but with a clear
understanding of availability of investment for at least the medium term
plans
If you plan to hold our hands to go thru our medium and long range
plans, here are the detains of our short term plans:
Fabrication and test facility are required to get outsourcing work from
HAL and NAL to start with. The details of the organizational set up,
manpower and infrastructure are provided in Annexure-1
I sincerely hope you will have the patience to go through this write up in
your leisure time. It may not be possible for you to do this before your
meeting with Tripathy on 12th of this month. However, you will be able to
get the essence of this write up from Tripathy. I hope to spend some
useful time with you soon when you think it is appropriate
3. Market scenario:
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We hope to maintain a good reputation in the market for supplying
quality service and hope to get standing orders. Our service product
/demand will be in global market.
4. PROCUREMENT OF RAW MATERIALS & Consumables.
Plenty of related materials are available in domestics as well
as international markets. The company is planning sourcing
aircraft material from the following companies.
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1. LAND 20.00
2. PLANT & MACHINERY 91.82
3. FACTORY BUILDING 31.58
4. OFFICE BILDING 21.92
5. FURNITURE & EQUIPMENT 9.68
6. CASH CREDIT 50.00
TOTAL 225.00
6. MEANS OF FINANCE:
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