Reference no: EM133772756
Question
- Management: Mr. Bollard has a robust career in real estate, demonstrating a deep understanding of property markets, valuation, and investment strategies. His expertise significantly reduces the risk of default.
- Cash Flow: Is there demonstrated cash flow from historical operations or supported cash flow data that demonstrates repayment capacity and is working capital adequate.
- Security: Is the security on offer diverse and readily saleable or is it specialised.
- Interest Rate: Has risk management been considered, fixed vs variable. - FX: Is the business exposed to FX fluctuations.
- Competition: Has this been assessed and how is the risk being managed. What are the barriers to competitor entry.
- Industry Changes: Are there any know issues that may need to be considered eg. phase out of government subsidies
- Supply: Is there any risk to supply that could create production issues.
- Markets: Is there a diverse client base that limits impact of losing a client.
- Stock Control: Is there any Dead Stock
- Product Obsolescence: Are there any changes in customers' buying habits that may impact on future demand.
- Economic and Political Changes: Are there any known issues that need addressing eg. abolition of the carbon and mining tax. Changes to subsidies. Where exporting, are there any issues in the importing country.
- Environmental: For example, fuel stations, asbestos in security property, emissions.
- Insurances: In the credit process salient issues would be, key-person