Bank loans
This query is : Resolved
26 September 2012
What are the important ratios banks will look into the analysis of balance sheet and P & L while sanctioning the Term loan/working capital loan? What is the minimum acceptable level in each ratio?
28 September 2012
There are many ratios bankers look into while sanctioning loans.
However for Working Capital the most important is Current Ratio to know whether the party is having sufficient current assets to meet the current liabilities.
For Term Loans the most important ratio is DSCR. Debt-Service Coverage Ratio - to assess whether the party would be in a position to service the debt.
However for Working Capital the most important is Current Ratio to know whether the party is having sufficient current assets to meet the current liabilities.
For Term Loans the most important ratio is DSCR. Debt-Service Coverage Ratio - to assess whether the party would be in a position to service the debt.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- STCG....................................................
- Section 54F - Exemption on LTCG in 2026 for HP purchased in 2023
- TAN for Partnership
- Sales return eway bill
- AMOUNT RECEIVED UNDER COMPULOSRY ACQUISITION OF AGRICULTURAL LAND
- Is E Way Bill Valid If Transport ID Not Mentioned in PART A But Vehicle details mentioned in PART B
- GST Registration Horse racing
- Small dealers gst returns filing
- Section 43B(h) – MSME Invoice Paid Before Year End but After 45 Days
- CA IPCC Registeration in 2012, Is my registration Active or Expired
- Free lancer income
- Long Term Service award taxability in hands of company
- Standard Deduction claim for EPFO Pension and ICICI Prudential Life Annuity
- Sales amount in Gstr1
- CG after sale of flat
- E Commerce GSTR1 & 3B how to file
- Nomination of Bank for refund in itr 2
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
