FNS51520 Diploma of Credit Management (pdf)

Classification | Internal Use Only
DIPLOMA IN CREDIT
MANAGEMENTPROPOSAL APPRAISAL
Name
Registration number

ContentsExecutive Summary.................................................................................................................1
An Introduction of the proposal.............................................................................................2
Analysis of the Overall Industry.............................................................................................2
Analysis of the Project.............................................................................................................3
Promoters and their background...........................................................................................5
Financial stability of the company..........................................................................................6
Internal and external environment analysis..........................................................................9
SWOT analysis of the proposed project.............................................................................9
PESTEL Analysis of the project.......................................................................................10
Conclusions and recommendations based on the analysis.................................................11
References and Bibliography................................................................................................13
Classification | Internal Use Only

Executive Summary
Yakao company is a Japanese company wishes to expand its operations in SRi Lanka. Mr
Yukio Kawano made a proposal to Mr Shelton Senevirathna the Managing Director of Tokyo
Lanka Youth Institute, to start a Japanese State of art Bakery in Sri Lanka .Mr. Yukio wishes
to invest 40 Million Japanese Yen to this project. The proposed Bakery will be established
with the technical Assistance of YAOKO CO Ltd.
Report analyse the company background and promotors background who are upbringing
strength of the project. Furthermore proposal will include the external and internal
environment analysis with financial forecast and analysis.
In the last chapter include bank perspective of the proposal and proposed facility details as
per the forecasted performances and industry analysis.
Classification | Internal Use Only

An Introduction of the proposal
Yaoko Company PVT LTD is a Japanese company which engages in operation and
management of groceries and supermarkets in Japan wishes to expand its business in
overseas by establishing a bakery in Sri Lanka. Mr Yukio Kawano, chairman of Yaoko
Company agreed to provide both financial and technical assistance required to establish the
bakery.
Yaoko company recruiting staff for bakery and fish processing units mainly from Sri Lanka
through Tokyo Lanka youth institute. Mr. Shelton Seneviratne who is the managing director
of the Tokyo Lanka youth institute also the owner of vehicle exporting business get a
proposal from Mr. Yukio on establishing a bakery and restaurant in Sri Lanka.
The proposed project include establishing of bakery, restaurant and training centre in a same
building place.
The main objective of the project:
Bakery To produce quality organic bakery products in Japanese style using natural and
organic ingredients.
Restaurant Serving the customers with Japanese atmosphere and culture.
Mr Yukio agreed to invest 40 million Japanese Yen to the project and Mr. Shelton
Seneviratne plans to borrow remaining capital requirement through a bank borrowing.
Financial analysis and the capital requirement calculations will be further discussed in
coming chapters with additional justifications.
Classification | Internal Use Only