It’s not a step but entire process

Last 50 decades saw the shift from the practice of a person being jack of all trades making way for specialists. Specialists brought in focus on the skills, accountability and final goods or service delivery. So a banker traditionally used to handled entire customer experience from first visit to disbursement to final repayment. Now, from cold calling to document collection to credit evaluation, documentation, disbursement, servicing and… Continue reading It’s not a step but entire process


CREDIT SERIES-6- MIS-match in numbers

Numbers if don’t match there is a story to be uncovered. Other key number to look at other than financials is the regular MIS in form of stock, book debt statement and creditors statement. Listing some common practises which helped understand the business better and identify signs which helped decision- Compare the difference between the… Continue reading CREDIT SERIES-6- MIS-match in numbers


Credit Series-5- Everything looking bad is not always bad.

Take a look at the below numbers. Good, Bad or ugly seeing years 1-3 ?  On face of it, will fall in last two categories on first glance. There were lot of factors playing at same time in it- Extraordinary income and expenses. Fluctuating sales. High borrowing vs sales. But also what this company continued… Continue reading Credit Series-5- Everything looking bad is not always bad.



Case –II – Stock Market Data Market movement of share prices and market cap is one of the most intelligent indexes especially if it’s a homogenous business and there is adequate free float. So there was this company which was into lending for a certain asset class. Key performance indicators of the lending business –… Continue reading CREDIT SERIES-4- MARKET INTELLIGENCE



If market intelligence points to something, explore that further We have all been caught with surprise on a number of occasions when an account always repaying on time suddenly starts delaying. So my experience is that it is something which starts showing signs in other areas as well before it starts in the delay mode.… Continue reading CREDIT SERIES-3- MARKET INTELLIGENCE


CREDIT SERIES-2- Numbers are numbers

Case II – Related party numbers and merger/de merger stories This company is into supplying capital goods to various industries. Their factory,  biggest in Asia on some parameters and being covered by a prominent international news channel on their documentary. This business had two parts – one pure material supply and another material supply+installation+other services.… Continue reading CREDIT SERIES-2- Numbers are numbers


CREDIT SERIES-1- Numbers are numbers

Case I- Compare peer profitability and understand  leverage This was one of the key auto ancillary player. Fantastic profitability and excellent rating. I was doing a research on the margins across the value chain in this industry few years back. Even the most niche and sophisticated product in auto ancillary chain was not making the… Continue reading CREDIT SERIES-1- Numbers are numbers