Manufacturing & Automotive
Precision Engineering for Your Finances.
The Landscape
Manufacturing is no longer just about production; it is about thin margins, complex supply chains, and rigid compliance. With the introduction of MSME payment rules (Section 43B(h)), PLI Schemes, and GST audits, the shop floor is directly linked to the balance sheet.
Key Challenges
Invisible Leakage
Inventory Blockage
GST Traps
What We Offer
Cost Audit & Optimisation
Inventory Governance
PLI Advisory
MSME Compliance
Who this is for
Manufacturing and automotive businesses come to us when the gap between the shop floor and the balance sheet starts to matter. That usually means a growing plant with several product lines, an MSME supplier base, a lender asking for stock statements, or a promoter preparing for a bank limit or an investor conversation.
Because the work crosses cost accounting, inventory and direct tax, we keep one team on the account rather than hand you between departments. That matters when a lender, a customer or the tax department asks a question that sits between two of them.
We work with the finance head, the plant controller and the promoter together, because the numbers that matter sit across all three roles: material yield, inventory ageing, payment cycles and the cost of a compliance slip.
How we work with Manufacturing & Automotive businesses
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Diagnostic
We review the cost sheet, stock ledger, vendor ageing and GST position, then list the three issues with the largest financial impact.
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Cost and inventory review
Material consumption, wastage, overhead absorption and slow-moving stock are tested against the production plan, not just the ledger.
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Compliance calendar
GST, TDS, MSME payment timelines, cost audit and ROC dates are mapped to owners, with a reviewer on our side.
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Board reporting
A short monthly pack shows margin by product, inventory days, vendor ageing and the compliance status in one page.
The SCORE Advantage
What you can expect
You get a cost and compliance position that a lender, auditor or investor can follow, and a short list of operational fixes ranked by the money they release. Most clients see the first change in working capital within one quarter. We also prepare the stock statement and the cost workings that the lender or the auditor asks for, so the same numbers can be used without a fresh exercise.
Frequently asked questions
Is cost audit mandatory for every manufacturer?
Cost audit applies to specified industries and turnover thresholds under the Companies (Cost Records and Audit) Rules. Even where it is not mandatory, a cost review is often the quickest way to find leakage in material yield, overhead absorption and wastage.
What is the 45-day MSME payment rule?
Section 43B(h) of the Income Tax Act disallows a deduction for payments to micro and small enterprises unless paid within the agreed period, capped at 45 days. We map vendor ageing to the MSME status so the disallowance does not appear at year end.
Can you help with a PLI scheme application?
Yes. We help with eligibility, the investment and sales projections, the application file and the periodic claims. We also review the accounting treatment and the records the authority will ask for during verification. The claim file is built alongside the accounts so the investment and sales figures agree with the financial statements.
How do you handle an inverted duty structure?
We map input and output rates by product, identify where input tax exceeds output tax, and review refund eligibility. The reconciliation is documented so it can be produced during a GST audit or refund scrutiny. We also check the refund of accumulated credit and the documents needed to support it.
How often should inventory be verified?
At least annually, and quarterly or monthly for high-value or fast-moving stock. Many manufacturers move to cycle counts after a full audit, with a full count before the year-end audit and the lender statement. The lender stock statement cycle should drive the calendar as much as the audit date.
How does an engagement start?
With a short call and a scoping note covering the work, the team, the timeline and the fee. If the first priority is a specific audit, refund or lender deadline, we start there and build the rest of the calendar around it.
Do you help with a bank stock statement?
Yes. We verify the stock position, reconcile it to the books and prepare the statement in the format the lender requires. The same working supports the quarterly information and the statutory audit, so the numbers do not change between them.
Do you handle cost records for a new plant?
Yes. We set up the cost centres, the bill of materials and the cost sheet before production begins, so the first year of records is usable. Setting it up later usually means reconstructing consumption from purchase and production data. It is easier than it sounds when the setup is done early.