Reconciliation checks
- Does the balance sheet balance in every projected year, not just year one?
- Does depreciation in the P&L equal the depreciation chart total for that year?
- Does the net block in the balance sheet equal opening block plus additions less accumulated depreciation?
- Does the closing loan balance match the repayment schedule for that year?
- Does interest in the P&L match the interest column of the repayment schedule?
- Does the movement in reserves equal profit after tax less drawings?
- Does closing cash in the balance sheet match the cash flow statement?
Ratio checks
- Is average DSCR between 1.5 and 2.0, with no year below roughly 1.25?
- Is the current ratio at least 1.33 in each projected year?
- Is debt–equity within 2:1?
- Does the break-even point sit comfortably below projected capacity utilisation?
Document matching
- Does every fixed-asset line have a quotation, and does the amount match exactly?
- Do the promoter's name and address read identically across the report, KYC and application?
- Does the scheme named in the report match the scheme applied for?
- Is the loan amount in the means of finance the same as the amount requested?
- Are category claims backed by a certificate?
Plausibility checks
- Can the stated capacity physically produce the projected sales?
- Is the utilisation ramp across years realistic for a new unit?
- Do salary and rent figures match local rates rather than round-number placeholders?
- Do the working capital holding periods match the trade the unit is actually in?
- Are all assumptions stated on the assumptions page?
The one that catches everyone
After any late change — a revised quotation, a different loan amount, an extra year of tenure — re-run every reconciliation check above. A single edit to the asset schedule touches depreciation, the P&L, the net block, the cash flow and the DSCR. Spreadsheets do not warn you when one of those links quietly stops holding.