Date post: | 10-Dec-2014 |
Category: |
Presentations & Public Speaking |
Upload: | cta |
View: | 52 times |
Download: | 1 times |
CGS COLLATERAL CONTROL COMPANY LIMITED
is a Collateral Management company registered and
operating in Tanzania with a view of operating in
various countries in Africa.
Discovering CGS Collateral
Full Collateral Management Services
Monitoring Services
Stock Inspection Services
General Inspection Services
• Discharge Survey
• Load Survey
• Quality Control Services
Loan Facilities Arrangements and
Placement
Training on Structured Trade and
Commodity Finance
Consultancy Services
WE SECURE THE ENTIRE TRANSACTION FROM END TO END THROUGH
INTRODUCTION
WHY COLLATERAL MANAGEMENT
STRUCTURES AND SYSTEMS
AVAILABILITY OF RESOURCES
IMPLEMENTATION
CONCLUSION
DEVELOPMENT OF
PAN AFRICAN
COLLATERAL
MANAGEMENT
COMPANY
DEVELOPMENT OF PAN AFRICAN
COLLATERAL MANAGEMENT COMPANY
A collateral management company’s primary business is to secure physical collateral for
lenders.
they act as agent for banks and other providers of trade credit
in securing the physical collateral for such credit,
by ensuring that the value of collateral is secured and comply with the
lender’s requirements.
DEVELOPMENT OF PAN AFRICAN
COLLATERAL MANAGEMENT COMPANY
Collateral management allows input providers to position fertilizers near to farming areas,
so that it can be supplied promptly when needed
Collateral management gives rooms to
such commodity traders to access bank
financing using the same commodities
as security
Collateral management allows
importers to extend low-interest-rate
international loans deep into the
country, to finance goods awaiting
distribution
DEVELOPMENT OF PAN AFRICAN
COLLATERAL MANAGEMENT COMPANY
Improved profitability by the banks and traders due to reduced risk as a result of monitoring
and controls instituted by collateral management
Improved monitoring on the part of the trader due to involvement of a third party in their
operations
A tool that gives banks opportunity to finance transactions that they would normally shy
away from
Gives the banks opportunity to monitor their loan portfolio through regular reports and
updates
Collateral Management forms a backbone of a successful commodity exchange
DEVELOPMENT OF PAN AFRICAN
COLLATERAL MANAGEMENT COMPANY
Collateral management has been used by banks to lend money to clients they would have
shied away from. This is due to the fact that collateral management gives the bank the
highly needed close monitoring and control of their clients’ operation.
Increased size of loans per clients as
limits are dependent on the size of the
business handled by the client.
Reduce Capital required by the
commercial banks as commodity can
be considered a tangible security when
it is under the control of a third party.
DEVELOPMENT OF PAN AFRICAN
COLLATERAL MANAGEMENT COMPANY
The only and the most efficient tool used by banks for transactional lending
Collateral management enables
processors to buy sufficient crop after
the harvest to keep their processing
equipment operating at full capacity
during the whole year
Collateral management permits farmers
to store their crop and get a loan to
meet immediate cash needs, rather
than being forced by cash needs to sell
even when prices are unfavorable
DEVELOPMENT OF PAN AFRICAN
COLLATERAL MANAGEMENT COMPANY
VARIOUS DEPRTMENTS SEPARATED BY FIREWALLS
! PROPOSED COMPANY
STRUCTURE
Marketing
Department
Credit Support
Department
Operations
Department
Internal Audit
Department
Front Office Back Office Technical Board
DEVELOPMENT OF PAN AFRICAN
COLLATERAL MANAGEMENT COMPANY
Marketing Department
Front Office
►NEGOTIATE WITH THE CLIENTS I.E
TRADERS
►ANALYSE THE REQUIREMENTS
►RECOMMEND THE CLIENT TO THE
CREDIT OFFICE
DEVELOPMENT OF PAN AFRICAN
COLLATERAL MANAGEMENT COMPANY
Credit Support
Back Office
►RECEIVES RECOMMENDED CLIENTS FROM
THE FRONT OFFICE
►ANALYSE THE CLIENT’S TRANSACTIONS
FOCUSING ON RISK ASSESSMENT AND
CONTROL PROCEDURES
►APPROVE THE TRANSACTION AS A
COMMITTEE
►PREPARE MANUALS AND OPERATIONAL TO
THE OPERATIONS DEPARTMENT
►REPORT TO THE FINANCING BANK AND THE
BORROWER REGURLARLY
DEVELOPMENT OF PAN AFRICAN
COLLATERAL MANAGEMENT COMPANY
Operations Department
Technical
►RECEIVES INSTRUCTIONS FROM THE
CREDIT SUPPORT DEPARTMENT
►EXECUTE AS PER INSTRUCTIONS AND
REPORT TO THE CSM
DEVELOPMENT OF PAN AFRICAN
COLLATERAL MANAGEMENT COMPANY
Internal Audit Department
Board
►CONDUCT PERIODIC AUDITS
Execution of instructions
Implementation of policies and
procedures
Accuracy and correctness of the
reporting
►REPORT TO THE MANAGEMENT AND
THE BOARD
DEVELOPMENT OF PAN AFRICAN
COLLATERAL MANAGEMENT COMPANY
AVAILABLE
►HUMAN RESOURCES
Existing Collateral Management Companies
Training through existing institution
►TECHNOLOGY
Existing technology through the existing
collateral management companies
Opportunity to develop tailor made solution
for the proposed company exist
DEVELOPMENT OF PAN AFRICAN
COLLATERAL MANAGEMENT COMPANY
AVAILABLE
►EQUIPMENT
Few labouratories
NEEDED
DEVELOPMENT OF PAN AFRICAN
COLLATERAL MANAGEMENT COMPANY
Commercial banks as natural users of the service
Development organisation- playing their key role of developing trade across the continent
Investment banks – in line with their core business of investing for community development
Microfinance Banks – opportunity to save SME’s and ME under one roof
Social security organisations – as an investments opportunity
Traders and Venture Capital Organisations
TARGETED STRATEGIC INVESTORS
DEVELOPMENT OF PAN AFRICAN
COLLATERAL MANAGEMENT COMPANY
Commercial banks as natural users of the service
Development organisation- playing their key role of developing trade across the continent
Investment banks – in line with their core business of investing for community development
Microfinance Banks – opportunity to save SME’s and ME under one roof
Social security organisations – as an investments opportunity
Traders and Venture Capital Organisations
TARGETED STRATEGIC INVESTORS
IMPLEMENTATION
PROPOSED PROCESS FLOW…
• Design the organisation Structure
• Negotiate with prospect investors
• Registration of the company
• Recommend members of the Board of Directors
• Recommend top management team to the board of directors
• Oversee execution of the first transactions to ensure smooth hand over to the management team.
FORMATION OF STEETING COMMITTEE WHICH WILL :-
DEVELOPMENT OF PAN AFRICAN
COLLATERAL MANAGEMENT COMPANY
While warehouse receipts have been used since Mesopotamian civilization, in 1830 and 1850’s CHICAGO emerged as commodity trading floor using tradable warehouse receipts.
IT IS NOT A NEW
CONCEPT…..
Collateral Management act as a reliable delivery
system for a commodity exchange.
ADDED
ADVANTAGE….
FORMATION OF THE PAN AFRICAN COLLATERAL MANAGEMENT IS
ESSENTIAL FOR THE GROWTH OF ECONOMIES IN AFRICA.
LET US DO IT NOW!
Today the largest collateral managers throughout Latin America and in Turkey are owned by banks.
Email: [email protected] P O Box 19771, Dar es Salaam
Tel: +255 22 2400533 +255 22 2400823 Fax: +255 22 2400528
www.cgscollateral.co.tz
www.cgscollateral.co.tz
CGS COLLATERAL
Email: [email protected] P O Box 19771, Dar es Salaam
Tel: +255 22 2400533 +255 22 2400823 Fax: +255 22 2400528