Credit Appraisal of Medium and Large Industrial Units: a Study of Credit Appraisal Process

Finance was not considered so important for business organizations before the industrial revolution because methods of productions were very simple, labor was more important than capital and finance at that time. So these things didn?t create any problems. Nowadays finance is considered as the life blood of every business and achieved the most important place in today?s business. Any business whether large scale or small scale requires finance for its operations. So many businesses approach the lending institutions at some point or the other in order to get some finance in terms of loans. A lending institution appraises the proposal and then decides whether to lend the money or not. This process is generally termed as credit appraisal. Credit appraisal is a process of assessing the credit worthiness of a borrower. The process of credit appraisal has assumed increased significance, particularly during the time of economic downturn . The book is a comprehensive and a thorough examination of the components of a project. The area of study in Corporate Banking in Indian Overseas Bank would include- Working Capital Financing and Term loan financing.