📌 Key Takeaway: Master the Credit Monitoring Arrangement (CMA) report format: Past 2 years audited figures, operating statement, MPBF working capital, and DSCR for loan approval.
What is a CMA Data Report?
Credit Monitoring Arrangement (CMA) data is a standardized financial model mandated by commercial banks and financial institutions in India to evaluate the financial health, debt capacity, and working capital requirements of businesses applying for credit facilities (Cash Credit, Overdraft, Term Loans) exceeding ₹50 Lakhs.
The 7 Essential Schedules of a Bank CMA Report
- Statement 1: Summary of Existing and Proposed Credit Limits (Fund-based & Non-fund based).
- Statement 2: Comparative Operating Statement analyzing Sales, Cost of Goods Sold (COGS), Gross Profit, Operating Expenses, and Net Profit across 2 Past Audited Years, Current Estimates, and 3-5 Projected Years.
- Statement 3: Comparative Balance Sheet showing Net Worth, Current Assets, and Liabilities.
- Statement 4: Analysis of Working Capital Changes.
- Statement 5: Maximum Permissible Bank Finance (MPBF) calculation under Tandon & Chore Committee guidelines.
- Statement 6: Fund Flow Statement showing sources and application of long-term funds.
- Statement 7: Ratio Analysis: Current Ratio (target 1.33+), Debt Service Coverage Ratio (DSCR target 1.5+), and Interest Coverage Ratio.