Credit Monitoring Arrangement report is a vital document to secure finance from banks. Banks check CMA data to not only monitor existing financial assistance but also to sanction new credit facilities.
Credit Monitoring Arrangement report or CMA data is prepared to provide financial information to banks for securing financial assistance. Banks issue credit limit to business based on financial details.
Banks require CMA report every year to manage credit limit provided to business.
Credit Monitoring Arrangement (CMA data) report is prepared using past data and future expectations based on past performance of business.
To start with preparation of CMA report first you need to have last 2 years audited financial statements, existing credit limit sanction letter and application for renewal or enhance in credit limit.
You need to prepare following statements based on audited financials.
After preparing above statements, you need to present various ratio and analysis. Prepare statements with following ratios to analyse performance of business.
Credit Monitoring Arrangement report is required to be submitted every year by business to banks. This is requirement specified by Reserve Bank of India.
CMA report is required by banks to not only sanction new credit facility but also to maintain but also to enhance existing credit limit. You should keep in mind following points while submitting CMA data to bank.
You can use Banking91 project report generator tool to prepare CMA report and generate CMA report yourself in 5 minutes.
Generate Accurate and globally accepted project report for financing