All you need to know
CMA Report stands for Credit Monitoring Arrangement report. In this, past, present and projected figures are put in a defined format (prescribed by RBI) with all the required financial analysis and ratios. This helps Bankers and Financial Analysts to ascertain the financial health of a business. All Bankers request all loan applicants to prepare and present a realistic CMA report to understand the flow and application of funds in a business. Since CMA report is prepared based on various assumptions, it is very imperative that the assumptions used are realistic and viable.
CMA Report is essentially an assessment of Working Capital Needs of a business. Bankers take into account various factors while funding the working capital needs. There are certain industry standard Ratios which need to be in place for a bank to be comfortable to grant working capital (Cash Credit) against Stock and / or Debtors balance.
In case you need to present this to investors, you may get business plan prepared by us as well. Finance experts team at caagrawalkanhere.com will undertake preparation of your CMA report considering all RBI/Banking norms and normal Industry Standards. This will ensure that your business gets required working capital funds at the right time and without much hassles.
caagrawalkanhere.com is an eminent business platform and a progressive concept, which helps end-to-end incorporation, compliance, advisory, and management consultancy services to clients in India and abroad. Get in touch with caagrawalkanhere experts to Know how to prepare / create CMA data report online & avail free consultation on Company Registration, LLP Registration, OPC Registration, Annual Filings, GST Filings , GST return and Accounting & Audit Services.
Points to make your decision easy
For each and every loan that you apply for with the banks, you will require a CMA report that has been expertly written. It is a format that the Reserve Bank of India has prescribed. All nationalised, cooperative, and private sector banks in India use it. Loans for working capital cannot be approved without a properly written CMA report.
A typical CMA report contains a thorough Ratio analysis of your company in addition to other things. Financial ratios are simple measures of the health of your company. The current ratio, sales turnover ratio, stock turnover ratio, debtor and supplier working cycles, among others, are major ratios mentioned.
For determining a business's need for working capital, the RBI has established a set of standards. Also, several banks take into account a set of industry standards. To create an accurate CMA report, CA Agrawal Kanhere Compliance Manager takes care of all RBI directives and customary Industry Standards.
5 Easy Steps
Get in touch with us
Explain us your business
Your Draft CMA report is prepared
Your CMA report is discussed with you
Your Final CMA report is ready for submission to bank
Understanding your organisation is crucial for creating an online CMA data report that is practical and realistic. For the same, our Compliance Manager will contact you. It will take into account all of your company's unique characteristics.
Our Compliance Manager will analyse alternative assumptions for your sales growth, expenses estimates, cash inflow and outflow, and your assets and liabilities estimations based on their understanding of your organisation.
Compliance Manager CA Agrawal Kanhere will talk to you about the Draft CMA. The CMA report will be given to you in its final form, suitable for submission to your bank. If the bankers have any questions, we make up to two revisions to your CMA report.
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