Page 135 - DCOM208_BANKING_THEORY_AND_PRACTICE

Banking Theory and Practice

Notes 2. Undertaking appraisal of product lines, analyzing their growth and profitability and
forecasting future trends.
3. Rejuvenating old-line companies and ailing and sick units by appraising their technology
and process assessing their requirements and restructuring their capital structure.
4. Commissioning of diagnostic studies.
5. Assessment of the revival prospects and planning for rehabilitation through modernization
and diversification and revamping of the financial and organizational structure.
6. Arranging for the approval of the financial institutions/banks for schemes of rehabilitation
involves financial relief, etc.
7. Providing assistance in getting soft loans from financial institutions for capital expenditure,
and the requisite credit facilities from the bank.

8. Monitoring of rehabilitation schemes.
9. Exploring possibilities for takeover of sick units and providing assistance in making
consequential arrangements and negotiations with financial institutions/banks and other
interests/authorities involved.

Task Visit and organization which had recently had counselling and study various
activities and methods of corporate counselling done by the concerned bank.

Project Counselling

Project counselling is a part of corporate counselling. It includes the study and analysis of the
viability of a project and the steps required for its efficient and effective implementation are
broadly the subject matter of project counselling.
Following are the activities that form a part of the project counselling:

1. Undertaking the general review of the project ideas/project profile.
2. Providing advice on procedural aspects of project implementation.
3. Conducting review of technical feasibility of the project on the basis of the report prepared
by own experts or by outside consultants.
4. Assisting in the selection of a Technical Consultancy Organization (TCO) for preparing
project reports and market surveys, or review of the project report or market survey
reports prepared by TCO.
5. Assisting in the preparation of project report from a financial angle, and advising and
acting on various procedural steps including obtaining government consents for
implementation of the project.

6. Assisting in obtaining approvals/licenses/permissions/grants, etc. from government
agencies in the form of letter of intent, industrial license, DGTD registration, and
government approval for foreign collaboration.

7. Providing guidance to Indian entrepreneurs for making investment in Indian project in
India and in Indian joint ventures overseas.
8. Identification of potential investment avenues.

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