03-03-2009, 06:48 PM
Dear Kamran, Awais and Maani
I m new and glad to see your academic strength. Due to certian limitation I may not share my understanding in large but definitly will try to update my undertanking from intellectuals like yours. I bit dishearted when I did not receive any comment from any member on my query dt 25-02-09 read as follows.
A private ltd company took over the business on "as is and where is basis " of a Firm through an agreement. Firm owns immoveable assets which are equitabley mortgaged with bank against outstanding fund / non fund based facilities. Comapany approached the bank to change the title of borrower i.e Firm to Company. Bank is of the opinion that till the change of title deed of the property, it is impossible and It is not easy to release property documents in the presence of outstanding balance and firm has to clear its dues first. Then bank will release property documents and It take at least 15-20 days to get altered the title of property from "Patwari etc ".
My questions are
1- what are the ways company can proceed further to achieve its goal within shortest period and without clearing outstanding balance of the bank ?
2- Can company operate L/C using non fund based facilities enjoyed by the firm? If yes then how?
3- What is Cross counter Guarantee and how is it excercised?
4- What are the convincing arguements for bank?
Keeping in view that Directors of the company were the partners of the firm. pl quote and guide with practical approach.
I could not understand the reason why professionals like Mr. Kamran did not guided me. Till now, I m looking forward even to order me to delete.
As far as concept of sharing ideas is concerned. I think it is very good and would be better if we share knowledge on ISA'S one by one & Sections of CO, ITO etc.
As far as the querry Which Budget is prepared first.
a.Sales Budget b.Cost Budget c.Manufacturing Budget d.Production Budget
In my opinion simple answar is Sales Budget. becoz sales is independent rather that cost and secondly whenever we prepare budget of any item first we see it over all demand then capacity to be installed or installed to meet demand and so on.
Regards to you all.
Wasim Hanjra
I m new and glad to see your academic strength. Due to certian limitation I may not share my understanding in large but definitly will try to update my undertanking from intellectuals like yours. I bit dishearted when I did not receive any comment from any member on my query dt 25-02-09 read as follows.
A private ltd company took over the business on "as is and where is basis " of a Firm through an agreement. Firm owns immoveable assets which are equitabley mortgaged with bank against outstanding fund / non fund based facilities. Comapany approached the bank to change the title of borrower i.e Firm to Company. Bank is of the opinion that till the change of title deed of the property, it is impossible and It is not easy to release property documents in the presence of outstanding balance and firm has to clear its dues first. Then bank will release property documents and It take at least 15-20 days to get altered the title of property from "Patwari etc ".
My questions are
1- what are the ways company can proceed further to achieve its goal within shortest period and without clearing outstanding balance of the bank ?
2- Can company operate L/C using non fund based facilities enjoyed by the firm? If yes then how?
3- What is Cross counter Guarantee and how is it excercised?
4- What are the convincing arguements for bank?
Keeping in view that Directors of the company were the partners of the firm. pl quote and guide with practical approach.
I could not understand the reason why professionals like Mr. Kamran did not guided me. Till now, I m looking forward even to order me to delete.
As far as concept of sharing ideas is concerned. I think it is very good and would be better if we share knowledge on ISA'S one by one & Sections of CO, ITO etc.
As far as the querry Which Budget is prepared first.
a.Sales Budget b.Cost Budget c.Manufacturing Budget d.Production Budget
In my opinion simple answar is Sales Budget. becoz sales is independent rather that cost and secondly whenever we prepare budget of any item first we see it over all demand then capacity to be installed or installed to meet demand and so on.
Regards to you all.
Wasim Hanjra
