Definition of Financing. Concept of Financing
b. Capacity
namely subjectively assessment of the recipients
ability to make payments financing. The ability is measured
by the track record of financing in the past recipients are supported by observations in the field on its business
facilities such as shops, employees, equipment, plant and methods of activity.
c. Capital
that is an assessment of the ability of capital owned by the prospective recipient of financing as measured by the
companys position as a whole are addressed by financial
ratios and an emphasis on the composition of capital.
d. Collateral
is
candidate receiving
the financing.
The assessment aims to be assured that if a risk of failure of
payment is reached the case then guarantees can be used in lieu of liability.
e. Condition,
Islamic banks should see economic conditions that occurred in the community specifically
looked at the relationship with the type of work done by the candidate
receiving financing. This is because the external conditions
play a major role in the running of business financing candidates.