WORKING CAPITAL LOAN
PROJECT REPORT IS SUBMITTED TO
FACULTY OF MARKETING RESEARCH- ISB
PROF. JAYANTO GHOSH
PROJECT REPORT IS SUBMITTED BY
Roll No. : 30
MBA- 1st Year - ISB
Specialization: Marketing & Finance.
This project has been done on the topic “WORKING CAPITAL LOAN”. In the survey a questionnaire had been developed on the basis of which the survey had been conducted on the above said topic. While conducting the survey, the questions were asked on the basis of the survey sheet. In the survey lots of data had been collected and the analysis has been made according to that.
The survey was conducted with various banks (total 20 banks) and it includes both the public sector and private sector banks. The survey was conducted in such a fashion that banks of all kinds are taken into consideration. Thus to conduct a survey like this the locations and time of the survey was also chosen very carefully.
The survey sheet was typed in one single page so that the people took minimum time to fill it up. Most of the questions were close-ended questions so that people can answer them more accurately with minimum effort. In the following pages, it has been mentioned about the reasons of the questions asked in the survey sheet.
Lots of problem had to be faced while conducting the survey. Sometimes managers couldn’t spend time; sometimes they felt insecure to give the actual data etc.
The survey had been conducted to find out the nature of WC loan given by the banks, range of WC loan given by the banks (Max/min), what type of Company/firm can get WC loan, and behavior of the Pvt. and Public bank regarding WC loan.
Every question of the questionnaire is put in this report and each question is graphically presented and analyzed. And the findings from the analysis are as follows:
❑ We found out from the survey that banks naturally give loan on the basis of the sales and performance of the company.
❑ For the private banks relationship is an important factor regarding WC loan.
❑ Loan amount varies from Rs. 100 lacs
5. How many companies did your bank give loan in the year 2004-2005?
1-5 companies 6-10 companies 11-15 companies 16-20 companies 20+
6. How much is WC loan as a percentage of total loans given by your bank in 2004-2005?
0 – 5 lacs 6 – 20 lacs 21 – 50 lacs 51 – 80 lacs 80 +
7. Give an indicative breakup of loans given Under the following heads ( % breakup ):
CC/OD___ Loans ____ Bills Purchased/Discounted ____ LC____ Term Loan ______
Hypothecation____ Lien _______ Mortgage ______ Factoring _____ Pledge_________
8. What is the %age of loans given under WC remains bad loan?
1 – 5 6 – 10 11 – 15 16 – 20 21 – 25 25+
9. What is the maximum amount of loan given by your bank in the year 2005? (open end)
Analysis of the questions asked
1. Survey was conducted in 20 Banks. These Banks included private, public, nationalized, and foreign banks. To ease the study, these banks had been broadly categorized in two parts i.e., Private bank and Public Sector bank. Here we can see from the chart that 60% of the banks surveyed were Public banks and the rest of the banks were Private sector bank. Each question of the questionnaire is represented here in the graphical format.
2. What type of WC loan does your bank provide?
Cash Credit/OD Loans Bills Purchased/Discounted LC Term Loan
Hypothecation Pledge Lien Mortgage Factoring Others________
3. What type of companies does your bank provide loan to?
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