25 September 2018
In my point of view following points shall be considered: 1 - What is the purpose of unsecured loan? Is it working capital requirement or further expansion of business? When company decided to borrow money, it must have disclosed the reason for borrowings. 2 - Accounting ratios can be used to for analysis purpose like current ratio, liquidity ratio, stock turnover ratio etc. 3 - Eligibility can be worked out through analysis of lending norms.