The firm’s business requires good amount of funds for machineries/equipments and working capital, souring its fund requirements from own funds as well as borrowing from banks. Since infrastructure projects are given national priority, borrowings on such projects are possible at better interest/commission rates.
The firm has an adequate system of internal control to achieve efficiency in operations, protection of its assets and a system to provide MIS (Modern Information Technology System) to the management. It is using MIS to support its business processes. The system is regularly evaluated for further improvement. The firm is managing its operations at optimum level and has process control to manage the procurement and mobilization of its material.
The Government’s thrust on Infrastructure has attracted huge investments by both public and private sectors. This has improved the turnover and profitability of most of the engineering and construction companies. The order book position of these companies has shot up their turnover multiple times. Ridding on this boom, Firm has also received contracts / likely to be received contracts worth Rs. 200.00 Lacks.