What are the three main principles applied to corporate lending proposals?

Q2. The five Cs is one method of structuring a loan approval process. What fundamental piece of information does it ignore or fail to highlight?

Q3. Discuss the three components of a corporate loan?

Q4. Do you think that an understanding of the three components noted in question 3 would allow for a correct segmentation of loan duties and functions within a financial institution?

Q5. In recommending approval of a loan, how does a loan officer reconcile the needs of the borrower with the bank's objective of making a profit?

Q6. Small businesses are generally operated by the owner/operator concept. There is also a tendency that finances and cash flows are mixed between personal and that of the business. This has often led to cash flow mismanagement and sometimes loan default. Explain how a credit officer should proceed in the evaluation of credits to small businesses?

Q7. An evaluation of the worth of the three ways out of a loan may lead to a modification of the loan approval process. What changes may occur? What additional information may be needed?

Q8. What is a syndicated loan facility? What are the features of this loan?

Q9. Given the list of lending products offered by the industry to meet the needs of corporates, are any of them practical to offer as a replacement for a large corporate's interaction in the direct market?

Q10. Should a loan officer be involved in the cross-selling of various institutional products or should this be the function of other parties employed by the financial institution? In your discussion, define and develop what is meant by a 'full relationship with the client'