Business Management Case - G.E. Capital
| January 30th 2012 | | Kyla Keast
COMM1006
|
[Case 3.4 GE Capital Canada] | Case Hand-in |
Executive Summary For the case of GE Capital Canada, Clark Carriers submitted a request for a loan amounting to $270000. It was first confirmed that Clark Carriers met the minimal requirements set out by the commercial equipment financing division of GE for loans. Cash flow was then analyzed to ensure that Clark Carriers has sufficient cash flow from operations to make payments on current loans. Next the financial ratios were analyzed to ensure that Clark Carriers was efficient in its profitability, liquidity, stability, efficiency and growth in which they proved to achieve positive outcomes in all areas, especially profitability. Preceding that, the projected financial statements of 2003 were created and analyzed to include the new potential loan to display how the new equipment and contract will benefit Clark Carriers financial position. After thorough analyzing of all of these aspects of Clark Carriers, my decision on the matter was that Clark Carriers should be granted the loan from GE Capital Canada and this report should now be submitted to the senior account manager.
Problem Statement
An existing client of GE Capital Canada, Clark Carriers Ltd. submitted a request to the Commercial Equipment Financing Division of GE for an additional loan amounting to $270000 to finance the purchase of two new freightliner transport trucks, four new 53-foot trailers and four new mobile satellite systems. Assistant account manager Steve Rendl at GE must review Clark Carriers financial situation and have a report ready to be submitted to the senior account manager with his decision to approve or deny the loan and the reasons for doing so.
Sub-Problems
1. The commercial Equipment Financing Department at GE Capital Canada does not deal with companies who have been in business for less than 3 years. It needs to be ensured that Clark Carriers has more than 3 years
COMM1006
|
[Case 3.4 GE Capital Canada] | Case Hand-in |
Executive Summary For the case of GE Capital Canada, Clark Carriers submitted a request for a loan amounting to $270000. It was first confirmed that Clark Carriers met the minimal requirements set out by the commercial equipment financing division of GE for loans. Cash flow was then analyzed to ensure that Clark Carriers has sufficient cash flow from operations to make payments on current loans. Next the financial ratios were analyzed to ensure that Clark Carriers was efficient in its profitability, liquidity, stability, efficiency and growth in which they proved to achieve positive outcomes in all areas, especially profitability. Preceding that, the projected financial statements of 2003 were created and analyzed to include the new potential loan to display how the new equipment and contract will benefit Clark Carriers financial position. After thorough analyzing of all of these aspects of Clark Carriers, my decision on the matter was that Clark Carriers should be granted the loan from GE Capital Canada and this report should now be submitted to the senior account manager.
Problem Statement
An existing client of GE Capital Canada, Clark Carriers Ltd. submitted a request to the Commercial Equipment Financing Division of GE for an additional loan amounting to $270000 to finance the purchase of two new freightliner transport trucks, four new 53-foot trailers and four new mobile satellite systems. Assistant account manager Steve Rendl at GE must review Clark Carriers financial situation and have a report ready to be submitted to the senior account manager with his decision to approve or deny the loan and the reasons for doing so.
Sub-Problems
1. The commercial Equipment Financing Department at GE Capital Canada does not deal with companies who have been in business for less than 3 years. It needs to be ensured that Clark Carriers has more than 3 years