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Requirements
for preparing feasibility of the project:
1.
Technical aspects |
A Hospital financed by BSB |
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Cost of the project.
- Annual production capacity & manufacturing
process.
- Location, infrastructural facilities feature
and estimated cost of the land.
- Civil drawing(s) and cost of civil works.
- Estimated cost of machinery with installation.
- Annual requirement of raw material(s) with
source of availability.
- All input output data of the project. |
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Utility services required.
- Implementation schedule. |
Note: Relevant things to comply with the machinery
procurement policy of the Bank.
2. Market aspects
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Use and users of the product.
- Estimation of demand.
- Market price of the proposed product(s).
- Analysis/opinions on existing market competition.
- Marketing strategy
- Existing capacity and capacity under development,
if any.
3. Financial aspects
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Cost of the project & Means of finance.
- Debt-Equity Ratio.
- Fixed Assets Coverage Ratio (FACR) to be considered
as 1.50.
- Capital Structure.
- Assumptions of Financial Evaluation.
- Profit Estimation.
- Sensitivity analysis.
- Debt-Service Coverage Ratio (DSCR).
- Break Even Analysis.
- Cash flow statement.
- Projected Balance sheet.
- Internal Rate of Return (IRR).
4. Management aspects
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Structure & Shares.
- Memorandum of Articles and relevant (Joint Stock
Company’s) registration certificates.
- Introduction to members of the proposed management,
relevant experience, net worth (asset declaration).
- Comparison of equity proposed and net worth
declared.
- Source of working capital or working capital
loan.
Note:
Lending Risk Analysis (LRA) with estimate of Z-score
and Y-score estimation required for proposed loan
amount more than Bangladesh taka 5.00 million.
Recent
simplifications:
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No documents of assets declared as net worth need
to be submitted to BSB.
- Loan proposal be processed within 60 days after
submission of application with full documents
required.
- Apart from limited company Partnership and Proprietorship
concern too will be financed
against FACR-Fixed Asset Coverage Ratio
2 times.
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