Business Credit Analysis Report
[BCAR]
01
Scoring
02
Commitments & Eligibility
Analysis
03
Ratio & Risk
Analysis
04
Review & Projection
01
Scoring
Bank Scoring will be based on following criteria to do scoring:
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Business nature.
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Business age.
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Type of business entity, i.e: Sole Proprietorship, Partnership, Sdn Bhd.
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Keyman's experience in the said industry.
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Keyma's age.
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Existing loans servicing behavior.
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Utilization rate of existing facilities, i.e: OD / Tradeline / Corporate Credit Card.
02
Commitments & Eligibility Analysis
The company existing loans commitments included company business term loan, company property loan, company car loan, machinery loan, OD, tradeline: LC/TR/BA/IVF/BG & etc.
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Via company credit checking from latest CCRIS, we will then include all the latest commitments into the BCAR to analyse and calculate the room to have additional business working.
Eligibility entitlement is based on your business exact required working capital amount to calculate. It's required to fulfill the CAPEX / working capital needs with a series of calculation involved.
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Bank Credit would look at your business work in progress (WIP), stock turnover timeline to determine the gap of capital your business needed to approve the business financing.
03
Ratio & Risk Analysis
Ratio Analysis mainly to determine your cash flow is sufficient to cover the loan commitments.
Risk Analysis will be zoom into several fields:
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The industry.
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Debtors' payment turnover timeline.
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Creditors' collection turnover timeline.
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Any concentration risk.
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Successor Risk
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Bank Credit usually do ratio analyse based on figures reported in:
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Business / company latest 3 years audited report: P&L, CashFlow Statement, Balance Sheet etc;
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Business latest 6 months active Bank Statements;
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Business latest Debtors & Creditors Ageing Listing.
04
Review & Projection
Review back the years of the company financial in term of Sales, COGS, margin of Gross Profit, Profit Before Tax, expenses etc to have a fair view of the business either in stagnant, deterioration or in growing term, is there any need of acquisition new financing from Bank.
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Projection the next 3 years company financial can be reached certain growth level, while term loan commitments are gradually reduced year-to-year, financial position is improving, where business would required to inject a new capitalization for business expansion.
BCAR
is a report as an added points prove to Bank about your company
current financial position standing in term of borrowing. Proceed BCAR to know your company loan eligibility entitlement first, this could avoid your company to have bad CCRIS record if simply insert loan application to Bank without BCAR as it's risky to be rejected by Bank.
Who should process for BCAR?
Bosses,
Plans to expand business
needs additional working capital or funding from Bank, however, not sure how much loan amount would be entitled from Bank approve level...?
Plans to purchase new property as business purpose
needs more space to cater bigger quantity of stocks or raw materials, huge size machine required to move in etc, acquire bigger space to cater the business operation purpose, seeking commercial / industrial property loan or land financing + self-construct factory loan or renovation loan + working capital line can finance up to 150% to have extra funding to grow your business.
To cover up the gap
Seeking extra business working capital to cover the gap which required your business to issue the payment to supplier within 30 days while your customer is paying you after they captured your invoice relevant details in their system after 90 days, a gap of 60 days is required to cover up... And YES, Bank is here assist you to cover up the gap of 60 days or earlier to settle your payments with lower interest rate applied, so, you have more cash-flow to turnaround for your business operation expenses.