Loan Appraisal Format
Loan Appraisal Format
(` in lacs)
1. Note for (Sanctioning Authority)
2. Name of the Account
3. Branch
4. IRAC Status
5. Business activity
(Detailed activity be given)
:
:
:
:
:
7. Activity Code
6. Category
7. Request For
Nature of facility
Cash Credit
Term Loan
( Rs.Nil)
Total
` in lakhs
Increase/decrease
:
Existing
Proposed
8. Group
* Exposure on
Non
Funded
Funded
Total
Applicant borrower/borrower
Other group concerns
Total to group
11. Date of last sanction
Limit
Security
:
(If existing A/c)
MV
DP
New Applicant
Balance as on
Over dues
if any
1. Borrower Profile
1.1. Date of Incorporation / Inception:
1.2. Banking with us since
:
1.3. Office Address
:
1.4. KYC Compliance status
1.5. Constitution
Sr.
No.
:
:
1.6. Names of the guarantors (If proposed or owners of third party property)
Sr.
No.
1.7.
2. Financial analysis
2.1. Balance sheet Spread- (As per Annexure)
2.2. Key financial indicators
Particulars
31.03.11
Audited
31.03.12
Audited
31.03.13
Estimated
31.3.14
Projected
Net Sales
% Increase / Decrease
Net Profit after Tax
% to Net Sales
Tangible Net Worth
2.3. Comments in brief on key financial Indicators:
Sales
Net Profit
NIL
1
2
3
4
5
NIL
13.50% under priority sector
4. Security
1160.00
386.67
350.00
210.00
210.00
Primary Security:
Description of security
Market Value
` 350.00 lakh
Nil
` 350.00 lakh
Nil
`350.00 lakh
`210.00 lakh
167%
Valuation Report dt. 29/12/2012 from panel Valuer _______________ obtained and held on
record.
Legal opinion dated 14/02/2013 is obtained from panel advocate ________________
certifying the clear title of the above property. Latest EC is obtained and held on record.
Branch Head has visited the business unit / property on 23/01/2013 and there is no adverse
observations and confirmed the market value as mentioned above. Copy of report is enclose
/ held on record.
4.3 Personal Guarantees:
1.
2.
5. Control & Monitoring Aspects. New Borrower and Not Applicable
6.1. Compliance to Regulatory Requirements
6.2. Deviation from policy guidelines if any: Nil
a. Entry Level norms
Complied
Not Applicable
e. Interest rate
(BR +3.25% for priority sector & BR +4.00% for non priority)
f.
40% of Properities
Not Applicable
Margin
g. Tenor of loan
TOL/TNW
1.23 : 1.00
Whether exposure in the account existing as well as proposed to the borrowing entity
as well as of the group is within the prudential exposure ceilings as laid down in the
lending policy.
Confirmation that an undertaking from guarantors is obtained stating that no
consideration is proposed/received from the borrower/borrowing entity for offering
personal guarantees to the credit facilities.
Confirmation that an undertaking is obtained from the borrower/borrowing entity stating
that they have no objection for disclosure of the names of the
directors/partners/proprietor of the borrowing entity to RBI/CIBIL as per requirements.
Study of balance sheets of sister concerns, as far as possible on a common date else
balance sheet as of not older than nine months shall be obtained to analyse
interlocking of funds, diversion of funds etc. shall be done. Specific conclusions drawn
on the same .
Declaration as to Statutory certificates:
The audited balance sheet and the auditors report for the year 2011 / 2012 is perused.
The report other than what is stated elsewhere in this note and the annexures, does not
contain any qualifying statement / remarks of the Auditors having financial implications.
The proposal does not violate any guidelines of the Bank / RBI / Govt.
6.4. Delegation:
6.5. Recommendation:
In view of the above we recommend for sanction of the credit facility given below:
Facility
Limit
Purpose
Rate of Interest
Security
Margin
Review
Cash Credit
`210.00 lakhs
Working Capital
13.50%
As given below in details
Minimum 40%
Annual
Nature
of Market
Value
`350.00
lakhs
All the above facilities are to be guaranteed by Shri _____________, the proprietor and Smt.
____________, wife of the proprietor.
Other terms and conditions:
1. Branch should convey the sanction in duplicate and obtain a copy duly signed by the
borrower as token of acceptance of terms of sanction and keep it on record.
2. The branch should comply with all norms of the Scheme for financing for Trades,
services and MSE as prevailing from time to time.
3. The branch should comply with the requirements as stipulated by panel advocate
and get a fresh certificate certifying the full compliance of his requirements.
4. The Borrower should obtain all necessary regulatory / mandatory approvals / licenses
for the proposed business from the competent authorities and submit copies of the
same to the Bank.
5. Processing fees and documentation charges and other charges as per HO guidelines
should be recovered upfront.
(At present 0.25% for CC Min Rs.1000 & Max 25000 &
1.50% for term loan on one time basis Max Rs.1.50 lacs
No processing fee for facility against our FDRs)
6. Following declarations should be obtained from the partners / guarantors to the effect
that
i.
The Borrower is not borrowers/defaulters in any bank / financial
institutions and the same should be verified.
ii.
The Directors /partners are not a specified near relation of any senior
officer of the financing bank.
iii.
No litigation by any third party is pending against the Borrower or
Directors / partners.
iv.
Branch Manager,
Branch
Date: