Profitability
30.8% margin · Healthy
Money flows: cash collected at school → deposited to SBI bank · UPI received via GPay merchant → settles to HDFC bank. The table below reconciles each month: Daily Reports (Roshan) vs SBI cash deposits vs HDFC online credits.
All expenses sourced from Simption ledger · 859 individual entries totaling ₹1.27 Cr · Salaries dominate (45%). Red tag = "Banking/Transfers (unmarked)" or "Uncategorised" — needs ledger fixes.
6 cheques cleared from HDFC A/c 50200045020913. Recipients are not on the school's known payee list. ₹24.5L of these in March 2026 alone.
| Date | Payee | Branch | Cheque # | Amount |
|---|---|---|---|---|
| 15-May-25 | Roshan Prajapati | Sahatwar | 60 | ₹4,00,000 |
| 21-Aug-25 | Ram Sagar Rai | Ballia | 64 | ₹7,00,000 |
| 21-Aug-25 | Ram Kumar Singh | Ballia | 65 | ₹7,00,000 |
| 24-Mar-26 | Ram Kumar Singh | Ballia | 66 | ₹8,00,000 |
| 25-Mar-26 | Ram Kumar Singh | Ballia | 68 | ₹8,50,000 |
| 30-Mar-26 | Deepak Kumar Srivastava | Ballia | 67 | ₹8,00,000 |
Action: Get formal classification — vendor invoice, loan agreement, or settlement document. Owner: Ayush + Roshan. Deadline: 12 May 2026.
17 transactions from school HDFC account flagged as UPI-AYUSH — 11 of them ₹1L each.
Action: Classify with Rajkumar — drawing / salary / reimbursement. Add Simption entries. Deadline: 15 May 2026.
Of ₹1.16Cr cash collected, only ₹77L deposited to SBI. Rest stayed at school as informal cash for expenses.
| Cash flow component | Amount | % of cash |
|---|---|---|
| Total cash collected | ₹1,15,56,836 | 100% |
| → Deposited to SBI | ₹77,06,370 | 66.7% |
| → Bhatta (informal labour) | ₹3,69,500 | 3.2% |
| → Reserve (un-banked) | ₹34,91,724 | 30.2% |
Action: Cap monthly reserve at ₹2L. Mandate vendor receipt + Simption entry within 48 hours. Deadline: 15 May 2026.
Simption shows ₹57.5L salary, SBI bank shows ₹78.6L salary cheques. ₹21L gap likely sits in 6 unmarked banking entries (₹26.6L total).
Action: Tag every salary cheque in Simption with month. Re-classify the 6 unmarked banking entries. Deadline: 15 May 2026.
HDFC bank received ₹61.07L (1,135 GooglePay txns). Daily reports captured only ₹25.24L as HDFC. Apr-Aug logged everything as SBI online.
Worse: Nov-Dec daily reports OVER-stated HDFC by ~₹3.8L each month — likely double-counting with SBI.
Action: Daily report template to have separate SBI online + HDFC online. Train Roshan to check both bank apps daily. Deadline: May 2026.
Out of ~669 fee-paying students in 25-26, 451 still have outstanding dues. Two-caller system active with 3% commission.
If recovered, operating margin pushes from 30.8% to ~38%. Penalty fee enforcement is currently zero — ₹2-5L/year opportunity.
Action: Q1 target: recover 60% of outstanding (₹24-30L). Enforce ₹50/day late fee. Deadline: 30 Jun 2026.
Parents prefer PhonePe (₹33.5L = 64% of UPI). School only has Google Pay. PhonePe payments route via inter-app rail (~25 min lag).
Action: Open PhonePe Business merchant with same HDFC settlement. Settlement instant, MDR comparable. Deadline: 20 May 2026.
387 unique UPI payers vs 722 students = 53% UPI penetration. ~335 families still cash-only.
Action: Print laminated QR at fee counter. Per-student unique QR for auto-tagging. Deadline: 15 May 2026.
Single ₹6L credit from sister institution Mahavidyalaya. Could be loan, advance, fee transfer, or aid.
Action: Confirm purpose with Rajkumar. Document in Simption. Deadline: 10 May 2026.
March 2025 salary cleared 11-Apr-25 was booked under FY 25-26. Inflates current expense, understates prior. Same issue applies to ₹18.30L "previous year fee" recovered in 25-26.
Action: Set Simption policy — book by accrual date, not clearance date. Deadline: 1 Jun 2026.