This document discusses credit appraisal systems for small and medium enterprises (SMEs) in India. It outlines the banking industry landscape and classifications. The research methodology involves analyzing case studies of loan applications using various financial tools and ratios to evaluate capital budgeting, risk, and overall financial position. The findings show the case studies were positively assessed based on financials. Suggestions include improving rating mechanisms, personnel skills, and customizing products while revising credit policies periodically. The conclusion is credit appraisal considers multiple factors beyond just financials, including business viability, industry, management quality and loan conduct.
India being a developing country has been progressing since independence with the great sup-port of banking system in the country. The role of commercial bank in the progress of the country is considered as a benchmark. For the high rate of capital formation the role of commercial bank has no any other alternative. But yet India needs a great amount of development and growth for the time to come where again the banking system will become a milestone but the banking system has only one big issue that is of Non Performing Assets.
In general, the non performing assets are found more comparatively in the public sector banks in comparisons to private bank because of liberal rules for the debt recovery. Now a days the RBI has is-sued strict guidelines to reduce NPA,s in the banks and due to that the proportion of NPA,s has re-duced up to the extent but not all together. In the present paper a study is conducted to check the NPA,s of State Bank Of India during 2012-13 to 2016-17 and suggestion to reduce the NPA,s has also been drawn.
And much more
Yes Bank detailed presentation (2008 to 2019)ShubhamChugh9
The presentation is all about yes bank and describing its in depth details from year 2008 to 2019 and also its future prospects with all the major frauds and their NPAs details, along with this a questioner is also presented when we visited yes bank ltd.
also its balance sheet of year 2008 to 2019 is being discussed.
One of the major concerns is the quality of bank lending. Maintaining rigorous credit standards is a significant challenge particularly in an environment for new competition and clients. There is a need for evaluating the borrower behavior rather than the cash flow analysis. The banking sector is facing a big burden with the increase in NPA’s. Therefore it is imperative that the banks conduct a strict credit appraisal. The term credit appraisal basically refers to the judging the credit worthiness of a borrower.
The main purpose of the report is to understand the different techniques applied while conducting a credit appraisal. For the purpose of credit appraisal Jai Prakash Power Venture Ltd a power generation and distribution company will be appraised based on various parameters like company background, background of the promoters, business of the company, financial statement analysis of the company the company valuation and other such factors.
India being a developing country has been progressing since independence with the great sup-port of banking system in the country. The role of commercial bank in the progress of the country is considered as a benchmark. For the high rate of capital formation the role of commercial bank has no any other alternative. But yet India needs a great amount of development and growth for the time to come where again the banking system will become a milestone but the banking system has only one big issue that is of Non Performing Assets.
In general, the non performing assets are found more comparatively in the public sector banks in comparisons to private bank because of liberal rules for the debt recovery. Now a days the RBI has is-sued strict guidelines to reduce NPA,s in the banks and due to that the proportion of NPA,s has re-duced up to the extent but not all together. In the present paper a study is conducted to check the NPA,s of State Bank Of India during 2012-13 to 2016-17 and suggestion to reduce the NPA,s has also been drawn.
And much more
Yes Bank detailed presentation (2008 to 2019)ShubhamChugh9
The presentation is all about yes bank and describing its in depth details from year 2008 to 2019 and also its future prospects with all the major frauds and their NPAs details, along with this a questioner is also presented when we visited yes bank ltd.
also its balance sheet of year 2008 to 2019 is being discussed.
One of the major concerns is the quality of bank lending. Maintaining rigorous credit standards is a significant challenge particularly in an environment for new competition and clients. There is a need for evaluating the borrower behavior rather than the cash flow analysis. The banking sector is facing a big burden with the increase in NPA’s. Therefore it is imperative that the banks conduct a strict credit appraisal. The term credit appraisal basically refers to the judging the credit worthiness of a borrower.
The main purpose of the report is to understand the different techniques applied while conducting a credit appraisal. For the purpose of credit appraisal Jai Prakash Power Venture Ltd a power generation and distribution company will be appraised based on various parameters like company background, background of the promoters, business of the company, financial statement analysis of the company the company valuation and other such factors.
Equity funding process for a technocrat businessman
This is the second of the three-part learning program for a business to understand the importance of equity funding for business growth and financial turnaround. The three parts of the program are:
1. Strategic financial concepts for a promoter of technical background
2. Process of equity funding
3. Factors for success of equity funding deal
This presentation file is on the second part. The presentation narrates what are the long-term activities in terms of business strategy, financial strategy, corporate management and credit rating to enhance the investment worthiness of a company. Further, it deals with types of mergers and acquisitions, types of investors, basic concepts of equity funding, time frame of equity funding, cost of equity funding, process of equity funding, role of various professionals, etc. After that, it deals with the aspects such as confidentiality, financial intermediaries, economics of equity market, investor perspective and the reasons for success or failure of a deal.
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Equity Funding for Business Growth & Financial Turnaround – Day 3Shailesh Waghmare
Apohan provides end-to-end and tailor-made equity funding advisory and implementation services to high-potential, eligible SMEs with a emphasis on mergers & acquisitions (M&A) tools. Apohan helps the SME companies right from identification of the problem (or detailing of the growth aspiration) of the businessman to analysis of all available options of solutions, selection of the most suitable option, formulation of M&A strategy, preparation of fund requirement schedule, identification and approaching the equity funding person or organization, preparation of all necessary M&A documentation and communications, business valuation, contract drafting and negotiations, due diligence, closure of of the financing deal to handholding for around six months after disbursement of funds.
Financial Analysis of Axis Bank Services (MBA Finance)Avinash Labade
If any have Need Project Report please call +919011888598 and i will provide only Word File.
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0601060 equity analysis of telecom sectorSupa Buoy
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Embracing GenAI - A Strategic ImperativePeter Windle
Artificial Intelligence (AI) technologies such as Generative AI, Image Generators and Large Language Models have had a dramatic impact on teaching, learning and assessment over the past 18 months. The most immediate threat AI posed was to Academic Integrity with Higher Education Institutes (HEIs) focusing their efforts on combating the use of GenAI in assessment. Guidelines were developed for staff and students, policies put in place too. Innovative educators have forged paths in the use of Generative AI for teaching, learning and assessments leading to pockets of transformation springing up across HEIs, often with little or no top-down guidance, support or direction.
This Gasta posits a strategic approach to integrating AI into HEIs to prepare staff, students and the curriculum for an evolving world and workplace. We will highlight the advantages of working with these technologies beyond the realm of teaching, learning and assessment by considering prompt engineering skills, industry impact, curriculum changes, and the need for staff upskilling. In contrast, not engaging strategically with Generative AI poses risks, including falling behind peers, missed opportunities and failing to ensure our graduates remain employable. The rapid evolution of AI technologies necessitates a proactive and strategic approach if we are to remain relevant.
June 3, 2024 Anti-Semitism Letter Sent to MIT President Kornbluth and MIT Cor...Levi Shapiro
Letter from the Congress of the United States regarding Anti-Semitism sent June 3rd to MIT President Sally Kornbluth, MIT Corp Chair, Mark Gorenberg
Dear Dr. Kornbluth and Mr. Gorenberg,
The US House of Representatives is deeply concerned by ongoing and pervasive acts of antisemitic
harassment and intimidation at the Massachusetts Institute of Technology (MIT). Failing to act decisively to ensure a safe learning environment for all students would be a grave dereliction of your responsibilities as President of MIT and Chair of the MIT Corporation.
This Congress will not stand idly by and allow an environment hostile to Jewish students to persist. The House believes that your institution is in violation of Title VI of the Civil Rights Act, and the inability or
unwillingness to rectify this violation through action requires accountability.
Postsecondary education is a unique opportunity for students to learn and have their ideas and beliefs challenged. However, universities receiving hundreds of millions of federal funds annually have denied
students that opportunity and have been hijacked to become venues for the promotion of terrorism, antisemitic harassment and intimidation, unlawful encampments, and in some cases, assaults and riots.
The House of Representatives will not countenance the use of federal funds to indoctrinate students into hateful, antisemitic, anti-American supporters of terrorism. Investigations into campus antisemitism by the Committee on Education and the Workforce and the Committee on Ways and Means have been expanded into a Congress-wide probe across all relevant jurisdictions to address this national crisis. The undersigned Committees will conduct oversight into the use of federal funds at MIT and its learning environment under authorities granted to each Committee.
• The Committee on Education and the Workforce has been investigating your institution since December 7, 2023. The Committee has broad jurisdiction over postsecondary education, including its compliance with Title VI of the Civil Rights Act, campus safety concerns over disruptions to the learning environment, and the awarding of federal student aid under the Higher Education Act.
• The Committee on Oversight and Accountability is investigating the sources of funding and other support flowing to groups espousing pro-Hamas propaganda and engaged in antisemitic harassment and intimidation of students. The Committee on Oversight and Accountability is the principal oversight committee of the US House of Representatives and has broad authority to investigate “any matter” at “any time” under House Rule X.
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Read| The latest issue of The Challenger is here! We are thrilled to announce that our school paper has qualified for the NATIONAL SCHOOLS PRESS CONFERENCE (NSPC) 2024. Thank you for your unwavering support and trust. Dive into the stories that made us stand out!
2. Banking
Industry in India
a) STRENGTHS
1. Greater securities of
Funds
2. Banking network
3. Large Customer Base
4. Low Cost of Capital
b) WEAKNESS
1.Basel Committee
2. Powerful Unions
3. Priority Sector Lending
4. High Non-Performing
Assets
c) OPPORTUNITIES
1. Universal Banking
2. Differential Interest
Rates
3. High Household Savings
4. Untapped Foreign
Markets
5. Internet Banking
d) THREATS
1. NBFCs, Capital Markets
and Mutual funds
2. Changes in the
Government Policy
3. Inflation
4. Recession
Facts :
Regulatory Board – RBI
Largest market share –
State Bank of India
Booming Sector – Retail
Banking
3. RBI
Development
Financial
institutions
IFCI SIDBI NABARD IRBI NHB EXIM Bank ICICI IDBI
Banks
Commercial
Banks
private Sector
Banks
Nationalized
Banks
SBI Groups
Public Sector
Banks
Foreign BanksIndian Banks
Land
Development
Banks
Cooperative
Banks
Rural Banks
CLASSIFICATION OF BANKING INDUSTRY IN INDIA
5. Receipt of application from applicant
Receipt of documents
(Balance sheet, KYC papers, Different govt. registration no.)
Pre-sanction visit by bank officers
Check for RBI defaulters list, willful defaulters list, CIBIL
data, ECGC,
Title clearance reports of the properties to be obtained
Valuation reports of properties to be obtained from
empanelled valuer
Preparation of financial data
Proposal preparation
Assessment of proposal
Sanction/approval of proposal by appropriate sanctioning
authority
Documentations, agreements, mortgages
Disbursement of Loan
Post sanction activities such as receiving stock statements, review of
accounts, renew of accounts, etc. (On regular basis)
CREDIT
APPRAISAL
PROCESS
6. Company Profile
Industry Banking, Financial services
Founded 6 January 1943
Headquarters Kolkata, West Bengal, India
Area served Worldwide
Key people Arun Kaul(Chairman and Managing Director)
Products Consumer banking, corporate banking, finance and
insurance, investment banking, mortgage loans, private banking,
wealth management
7. SME PRODUCTS OFFERED BY UCO
Laghu
Udyami
Credit Card
Artisan
Credit Card
Prime
Minister
Employment
Generation
Programme
(PMEGP)
Swarozgar
Credit Card
Scheme
UCO Mahila
Pragati
Dhara
Scheme for
financing
Handloom
Weavers
Group
(HWG)
Scheme for
providing
finance to
the Rice
Shellers
UCO
Commercial
Vehicle
UCO Trader
UCO Udyog
Mitra
UCO Doctor
8. OBJECTIVE OF
THE STUDY
To study the basic fundamentals of banking industry.
To study entire loan system for SME sector in India
To study credit appraisal methods.
To understand the commercial, financial and technical
viability of the proposed proposal and its funding pattern.
To know on what criteria the bank appraise the loan to the
business.
To understand the different financial tools required for
credit appraisal
“statements
describing what the
project is trying to
achieve & the effect
or change that the
project is supposed
to cause.”
9. RESEARCH
METHODOLOGY
PROBLEM
STATEMENT
• To study the
Credit
Appraisal
System in
SME sector
at UCO Bank.
• To
understand
on what
criteria, the
bank
approves a
loan
RESEARCH
DESIGN
• The research
is analytical
in nature
DATA
COLLECTION
• Secondary
Data
SAMPLE
• Case study
SAMPLING
METHOD
• Convenient
Sampling
SAMPLE SIZE
• Case Studies
(2)
“procedure for
collecting data
to be analyzed”
10. FINANCIAL TOOLS
ON WHICH DATA
ANALYSIS IS
CONDUCTED
CAPITAL
BUDGETING
TECHNIQUES
Internal
rate of
return.
Profitability
index
Net
present
value
Average
rate of
return
Payback
period
method
RATIO
ANALYSIS
Net profit
ratio
Operating
profit ratio
Gross
profit ratio
Debt
equity
ratio
Proprietary
ratio
Quick ratio Current
ratio
WORKING
CAPITAL
ANALYSIS.
Working
Capital
Assessment.
RISK
ANALYSIS
Promoters
risk
Operational
risk
Market risk
OTHER
PARAMETERS
Sales
Net
Operating
Cash Flow
TOL / TNW
Net Profit
margin
“techniques
used to
decipher
information”
11. FINDINGS
CASE STUDY – 1
The financial tools shows a positive sign on
the financial position of the company and the
company is expected to continue the same in
the future. Hence it is suggested to accept the
Proposal
CASE STUDY – 2
The overall projected performance and
financial position of the unit are satisfactory
and the project can be accepted
12. SUGGESTIONS AND
RECOMMENDATIONS
ADOPTING 4C APPROACH
IMPROVING RATING MECHANISMS
IMPROVING PERSONNEL SKILLS
DEVELOPING RELATIONSHIPS
DATA AUTHENTICATION
CUSTOMIZING PRODUCTS INNOVATING DELIVERY PLATFORMS
REVISING CREDIT POLICY PERIODICALLY
MODERATE RATE OF INTEREST
SPECIAL MEASURES FOR AGRICULTURAL SECTOR
13. CONCLUSIONS
Usually, it is seen that credit appraisal is basically
done on the basis of fundamental soundness. But,
after different types of case studies, it can be
concluded that credit appraisal system is not only
looking for financial wealth. Other strong parameters
also play an important role in analyzing credit
worthiness of the firm/company.
In all, the viability of the project from every aspect is
analyzed, as well as type of business, industry,
promoters, past records, experience, projected data
and estimates, goals, long term plans also plays
crucial role in increasing chances of getting project
approved for loan.
Credit Appraisal should be
based upon
Financial performance
Business performance
Industry outlook
Quality of management
Conduct of account
