Executive Summary
- Three years of audited financials are the non-negotiable foundation
- Operating cycle data — inventory days, receivable days, creditor days — drives the projections
- Knowing your exact loan ask and tenure before starting anchors the projection period correctly
- Missing one source document typically adds days to the preparation timeline
Financial Records You Need
- 3 years of audited financial statements — P&L, Balance Sheet, and Notes to Accounts for each year; these form the source data for Forms 1 and 2
- ITR acknowledgements for the same 3 years — to verify declared income aligns with audited figures
- 12 months of bank statements — for all operating accounts, confirming actual transactions match reported financials
- GST returns — GSTR-1 and GSTR-3B for the past 12 months, as an independent verification of turnover figures
- Existing loan statements — sanctioned limits, outstanding balances, and repayment history for all current facilities
Operating Cycle Data
- Inventory holding norms — actual days of raw material, WIP, and finished goods typically held
- Receivable collection period — average days outstanding on customer invoices, supported by debtor ageing if available
- Creditor payment terms — average days your business takes to pay suppliers
"The operating cycle data is what most applicants don't have organised when they sit down to prepare CMA. Getting these three numbers right — inventory days, receivable days, creditor days — is worth significant time."
Loan Parameters You Must Know Upfront
- Loan type — term loan, cash credit, or composite
- Proposed loan amount — the specific rupee figure being requested
- Proposed tenure — determines how many projection years are needed
- Proposed interest rate — needed for accurate DSCR and repayment schedule computation
Business-Specific Data Points
- Capacity utilisation history — for manufacturing units, actual utilisation percentage for the past 3 years
- Projected revenue growth rationale — the specific basis for projected sales growth, whether from new orders, capacity expansion, or market growth
- Major cost structure changes — any anticipated input cost changes, new employees, or overhead additions that will affect projections