What we do, and what we do not do
Business owners in Gurugram often approach a bank with a good business but a weak file: accounts not finalised, ITRs that do not match the GST returns, and projections that nobody can explain. The bank then asks for clarifications, and the application stalls.
We prepare the financial documentation for your loan so that the lender can assess it properly. KSV does not sanction, arrange or promise loans, and does not collect any fee linked to loan disbursement. The bank or NBFC alone decides whether you are eligible, how much it will lend, at what rate and against what security.
Documents we prepare
| Document | Used for |
|---|---|
| CMA data | Working capital limits (cash credit, overdraft) and term loans at most banks |
| Project report | New units, expansion, machinery and equipment loans, Mudra and MSME loans |
| Projected financials | Projected profit and loss, balance sheet and cash flow for the loan tenure |
| DSCR and ratio analysis | Showing repayment capacity and financial strength |
| Financial statements | Balance sheet, profit and loss account and schedules for past years, prepared from the books |
| Working capital assessment | Drawing power, stock and debtor levels, margin calculation |
| Stock and book debt statements | Monthly or quarterly statements for existing cash credit limits |
| Net worth statement | Personal net worth of promoters and guarantors where asked |
Types of loans we prepare files for
- Working capital loans. Cash credit and overdraft limits against stock and debtors, for traders, distributors and manufacturers.
- Term loans. For buying premises, setting up a unit or expanding capacity, repaid over several years.
- Machinery and equipment loans. Project report built around the machine’s output, running costs and the extra profit it brings.
- MSME and Mudra loans. Smaller loans for micro and small businesses under bank MSME schemes and the Pradhan Mantri MUDRA Yojana. Cover under the CGTMSE scheme is applied for by the bank under its own process; the bank decides eligibility.
- Loans from NBFCs. Unsecured business loans and loans against property, where the lender’s format is different but the same numbers are needed.
What banks look at, in plain words
| Measure | What it means | Why the bank cares |
|---|---|---|
| DSCR (Debt Service Coverage Ratio) | Cash profit available divided by the loan instalments and interest due | Shows whether the business can repay from its own earnings |
| Current ratio | Current assets (stock, debtors, cash) divided by current liabilities (creditors, short-term loans) | Shows whether short-term dues can be met; banks usually want a margin above 1 |
| TOL/TNW | Total outside liabilities divided by tangible net worth (owners’ capital and reserves, minus intangibles) | Shows how much of the business is funded by others compared with the owners |
| Turnover and growth | Sales trend across years, compared with GST returns | Supports the limit and checks that the figures are genuine |
| Profitability | Net profit and cash profit before and after tax | Low declared profit limits the eligible loan |
| Banking conduct | Bank statement inflows, cheque returns, overdrawn days, EMI track record | Shows how the existing accounts are run |
| Credit score | Credit bureau history of the business and promoters | Defaults or frequent enquiries can stop a file early |
Each lender sets its own benchmarks for these ratios. We calculate them before you apply and tell you where the file looks weak, so that you can address it or adjust the loan request.
Document checklist
| Category | Documents |
|---|---|
| KYC | PAN and Aadhaar of owners, partners or directors; business PAN; GST, Udyam and other registrations; partnership deed, LLP agreement or MOA/AOA |
| Financial | Last two or three years’ financial statements and ITRs with computation; provisional accounts for the current year |
| GST | GSTR-1 and GSTR-3B for the last twelve months, and annual returns where filed |
| Banking | Statements of all business bank accounts for the last twelve months; sanction letters and repayment schedules of existing loans |
| Working capital | Current stock statement, debtor and creditor ageing |
| Project | Quotations for machinery, rent agreement or property papers, approvals and licences needed for the project |
| Collateral | Title documents of property offered as security, where applicable |
Common reasons loan applications stall
- Accounts not finalised. Provisional figures that change between drafts make the bank lose confidence.
- Mismatch between ITR, GST and bank statements. Turnover declared in GST returns that does not match the ITR or the bank inflows invites questions.
- Very low declared profit. The bank can only lend against the income shown in your returns.
- Unrealistic projections. Sales growth or margins far above past performance, without a clear reason, are usually cut by the bank.
- Missing registrations or licences. For example, no Udyam, Factory or FSSAI licence where the activity needs one.
- Existing overdues or a weak credit score. These need to be addressed before a new application.
Most of these can be fixed before applying. Our bookkeeping and income tax filing teams help put the past years in order.
How we work
- Discussion. You tell us the loan type, amount and lender, if already chosen.
- Review. We check your books, ITRs, GST returns and bank statements and point out gaps.
- Preparation. CMA data or the project report is prepared with assumptions agreed with you.
- Handover. You receive the file in the format the bank asks for, and we answer the bank’s financial queries on it.
For businesses with existing limits, our stock audit and inventory team can also prepare periodic stock statements. We work with businesses across Gurgaon and the NCR. Contact us to discuss your file.
Frequently asked questions
Does KSV arrange or sanction loans?
No. KSV does not lend money, sanction loans or act as a loan agent, and no one can promise that a loan will be approved. We prepare the documentation and financial analysis that a bank or NBFC needs. The lender alone decides eligibility, amount, interest rate and security.
What is CMA data?
CMA stands for Credit Monitoring Arrangement. It is a standard set of statements banks use to assess working capital and term loans, showing past, current and projected operating figures, balance sheet, working capital assessment, fund flow and key ratios. Most banks ask for it for limits above small amounts.
What is a project report?
A project report describes the business or expansion you want to fund, its cost, how it will be financed, expected sales and costs, projected profit and cash flow, and the repayment capacity. It is used for term loans, machinery loans and new units.
What is DSCR and what does the bank expect?
Debt Service Coverage Ratio compares the cash your business generates with the loan instalments and interest due in the same period. A ratio above 1 means profits can cover repayments; banks usually look for a comfortable margin above that. The level each bank wants is set by its own policy.
Can I get a business loan if I file ITR under presumptive taxation?
Some lenders accept presumptive returns for smaller loans, but many ask for a full balance sheet and profit and loss account, and some prefer audited accounts. Where the returns show very low income, the eligible amount can be limited. We review your past returns before projections are made.
Are Mudra loans available for my business?
Mudra loans under the Pradhan Mantri MUDRA Yojana are given by banks and other lenders to eligible non-farm micro and small enterprises in categories called Shishu, Kishore, Tarun and Tarun Plus, with Tarun Plus going up to Rs 20 lakh for borrowers who have repaid an earlier Tarun loan. The bank decides eligibility and the amount. We help with the project report and financials.
How long does it take to prepare CMA data or a project report?
Once books and documents are available, a standard CMA or project report usually takes a few working days. If the past books are not finalised, they have to be completed first, which takes longer.
Loan ke liye kaun se documents chahiye?
Usually KYC of the business and owners, last two or three years' ITRs and financial statements, GST returns, bank statements of the last twelve months, current stock and debtor details, existing loan sanction letters, and quotations for any machinery. The full checklist is given below.
Do I need Udyam registration for an MSME loan?
Many lenders ask for an Udyam certificate to classify the loan as MSME lending and to consider it under MSME schemes. If you do not have one, we can help with [Udyam registration](/udyam-registration/) first.
Can you sign the financial statements or certify projections?
KSV prepares the statements and projections. Where a lender requires audited financial statements or a certificate from a Chartered Accountant, it is issued by an associated firm of practising Chartered Accountants after their own review.