F/Y 2008 - RM 13 mil.
F/Y 2007 - RM 10 mil.
F/Y 2006 - RM 9 mil.
In my experience, it shouldn't be too much of problem if this client wants to apply for additional facility based on the F/Y 2008 increased turnover.
However, after examining the last 12 months bank statements, I noticed that the average monthly deposit is only RM800k+, meaning the turnover for F/Y 2009 is anticipated to come down to its previous years' average of RM10 mil. On further questioning on the F/Y 2008 result, the client admitted that there was 2 ad-hoc transactions during the financial year which had pushed up the turnover and such transactions are not foreseen to be recurring in future, meaning these were just one-time transactions.
In this scenario, bank will only evaluate the working capital requirement of the company base on the projected turnover of F/Y 2009 and not F/Y 2008.
