ROC or REGISTRAR OF COMPANIES Compliance is another important element of the advisory role that the consulting firms provide to its clients.
ARK also provides extensive services to its clients under this head. ARK provides the advisory services for the Company Law Compliances like-
• Incorporation of Companies/LLP's.
• Maintenance of Secretarial records, Statutory books as per the requirements of the Company Law.
• Preparation of ROC Search Report for Companies, Banks & Financial Institutions.
• Appearing as Authorized Representatives before Company Law Board & Registrar of Companies in regard to any objections /notices /appeals /summons etc.
• Annual filing of Company's Balance Sheet & P&L Account along with the Audit Report.
• Advising Companies or clients on legal & procedural matters falling under FEMA.
• Providing Due Diligence service through which the potential acquirer evaluates a target company or its assets for Acquisition.
• Providing Due Diligence service through which the Company is able to evaluate itself and/or its assets for the purpose of taking management decisions like identifying potential acquirer, plan for de-merger and merger.
Mergers & Aquisitions
Mergers & Acquisitions can be defined as a type of restructuring or reorganizing the business entity with the aim of achieving positive growth in the organization. Mergers & Acquisitions are both aspects of Corporate Strategy, Corporate Finance and Corporate Management dealing with buying, selling, merging and demerging of different companies and similar business entities into one. This can lead to an extensive growth of the enterprise not only in its own sector or area of origin but also in a new field or a new location. And the best part is that the enterprise can achieve this without creating a subsidiary or getting into a Joint Venture. M & A is a part of the consolidation process the organization undertakes for future prospects in the industry it operates in.
There is a very thin line of distinction between Mergers & Acquisitions particularly with respect to the present economic scenario. From a legal point of view, a Merger is a legal consolidation of two companies into one entity, whereas an Acquisition occurs when one company takes over another and establishes itself as the new owner. Either of the two structures can be helpful in the financial and economic consolidation of the two entities.
ARK as a team of experienced professionals has achieved great expertise in conducting Mergers & Acquisitions for its clients even in the present extremely difficult business scenario. It has helped its clients manage the complexities of the process with great competence. The specialists at ARK conduct a thorough analysis and undertake extensive planning to prepare a M&A roadmap for its clients which assists them in the following ways-
•Guiding them in targeting the right company for either the Merger or Acquisition
•Due Diligence Audit of the targeted Entity.
•Guidance on Agreement Drafting once the company & the process is identified
•Outlining and drafting the specific steps to coordinate a well planned implementation of the M & A which includes hand holding till the completion of the process.
The professionals at ARK provide the following support services to its clients with regard to M&A-
•Conducting a thorough and fair valuation of the business
•Performing due diligence(Accounts, Financial Operations, Cash Flow and other important areas of operations with minutest details)
•Structuring the transactions to enhance company's growth, competitiveness & profitability
•Evaluating & addressing Operational and Financial Issues
•Evaluating and assisting with Tax structuring issues and providing valuable options
•Evaluating Risk Management with regard to M&A
•Post transaction planning and action
The M&A is an extensive process which includes a lot of post business activities which are needed to be performed for its success. These involve blending of the –
into cohesive business. Our professionals at ARK provide their valuable advice for the successful business integration helping companies to realize their dreams. Providing complete services to the clients even after the deal closure is the USP of ARK which helps to create a long lasting relationship between ARK and its clients.
Credit Rating & Analysis
Credit analysis is one of the statistical technique for calculating the creditworthiness of a business or an organization.
The Credit Analysis is done in two scenarios-
- When a large company has to issues the Bonds
- When an organization wants to renew its Commercial Loan
Techniques used for Credit Analysis/Financial Analysis-
•Ratio and trend analysis
•Creation of Projections
•Detailed analysis of cash flows
•An examination of Collateral & other sources of repayment
•Evaluation of Credit history and management ability.
•Analysation of the probability of a borrower's default on its debts and also the severity of losses in the event of default.
•Measurement of repayment ability or Debt Service Coverage Ratio
•Analysation of the cash generated by a business (before interest expense and excluding depreciation and any other non-cash or extraordinary expenses).
Objective of credit analysis-
•To look at both the borrower and the lending facility being proposed
•Estimating the probability of the default by the borrower at a given confidence level over the life of the facility
•Estimating the amount of loss that the lender would suffer in the event of default
•To assign a risk rating.
ARK offers extensive services in the area of Credit Analysis & Rating which includes-
•Detailed study of financial briefings like earnings, savings, payments and purchase of the company or individual and recommend other useful financial activity for further plans
•Assessment, analysis and interpretation of complicated Financial information
•Undertaking Risk Assessment Analysis to minimize bad debt risk and maximize accounts receivable collections.
•Keeping company credit exposures within set risk bearing limits
•Using credit-scoring systems for Small Credit amounts (such as small unsecured personal loans)
•Keeping abreast with all important issues like legal, market risk and compliance issues
•Guiding the client in the matter of enhancement of the quality of credit applications
•Making recommendations about procedural/policy changes.
•Compile reports regarding finance and credit data.
•Managing record, transaction and other office procedures
•Complete loan applications, including credit analyses and summaries of loan requests, and submit to loan committees for approval.
•Review individual or commercial customer files to identify and select delinquent accounts for collection.
•Reconcile customer statements/billings.
•Conduct collection calls and customer visits to collect Accounts Receivables.
•Market, train, counsel, advise, and communicate credit department policy and procedures to company personnel.
•Generate financial ratios, using computer programs, to evaluate customers' financial status.