Naveen Panchal

Neha Jain

Malay Srivastava

Vishal Patil

PGDM-Business Design (2011-13)

Welingkar Institute of Management Development & Research, Mumbai

SME Frontend and Backend

 FRONT END DISTRIBUTION CHANNELS

• Relationship managers• Websites• Existing customers Database. • Branches

In-house

• Direct Sales Agent ( 1% of lending amount)

• Charted Accountants (1-2% of lending amount)

• Rating Agencies.

External

agencies

3

WORKFLOW FOR SME SALES TEAM

Lead genera-tion

Proposal

genera-tion

Activities performed Contacting customer for preliminary information In-principle check on viability of lending Compilation of proposal

Proposal generated

Given to local Credit Hub

Industry association tie-

ups

Branch walk-in

Outbound tele-calling

Sales referrals

Events

Sales Coordinator

Head Sales

Advertising (SMS,

Internet, Inbound

Call Centre)

. . .

Relationship Manager (RM)

Relationship Officer (RO)

Sales team

Parameters for Loan consideration

Ind

ivid

ual • Integrity

• Intentions• Educational

Background• Past Experience in

the Sector• Owners Capital• Capability to Pay

backO

rgan

izati on• Credit Rating

• Debt Equity ratio• Balance Sheet• Feasibility of the

Product• Lenders

experience with the organization

• Asset and Mortgages offered

Value parameters from Borrowers Perspective

Interest Rate. Turn around Time. Collateral. Pre sanction amount facility. Documentation. Products/Schemes available. Relationship with Bank.

bank

processingdisbursement

Sme applicant

repayment

WORKFLOW FOR SANCTION AND DISBURSEMENT PROCESS (1/2)

7

File with appraisal note

In-principle decision to go-ahead with proposal or not, together with Credit Officer

5

File with inspection report

Receipt of proposal

1

Credit Suppor

t Officer

Credit Officer

Sanc-tioning Authorit

y

Check on complete-ness of proposal

2

Proposal

Data entry for credit rating and financial analysis

3

Complete proposal

Study of file, pre-sanction visit, customer meeting and raising customer queries

4

File with ratios and credit rating

Request for advocate, valuer and TEV reports (where required)

6

Returned to RM/RO for completion

Incomplete proposal

Satisfactory response to customer queries, preparation of appraisal note

7

2 day

4 day

6 day

8 day

10 day

12 day

14 day

Time meter for cases where TEV is not required

WORKFLOW FOR SANCTION AND DISBURSEMENT PROCESS (2/2)

8

Credit Suppor

t Officer

Credit Officer

Sanc-tioning Authorit

y

Issue of final sanction letter with signature from Credit Officer

11

Decided files

Check on advocate, valuers and TEV reports

9

File with reports

Preparation and stamping of documents

12Execution of documents in presence of Branch Officer/ Manager

13

Vetting of documents by advocate

14

Disburse-ment by Branch

Sanctioned and vetted documents released for disbursement

Receipt of advocate, valuers and TEV reports (where required)

8

Final sanction by Sanc-tioning Authority

10

File with reports

2 day

4 day

6 day

8 day

10 day

12 day

14 day

Time meter for cases where TEV is not required

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