Due to manual processes, banks and financial institutions face several challenges such as scattered and unstructured data, time-consuming processes that are prone to mistakes, and difficulty in meeting stringent compliance requirements. These issues in particular pose a hindrance to the credit underwriting process in the case of small and medium enterprises (SMEs).
Further, there is need for macro-level business insights into the SME segment given that publicly available data is rather scarce. These insights can help banks and FIs seamlessly carry out a variety of internal processes such as sanction computation, compliance checks, and so on.
This is where Karza Technologies’ K:GST and K:ITR solutions can help organizations improve their processes in terms of accuracy, speed, and costs.
How K:GST Can Help
K:GST allows automated collection of data from authentic sources which reduces turnaround time and fraud possibilities for the BFSI fraternity. It can also be used for periodic reviews.
K:GST has the following uses:
- Identifying GST Numbers: All you need to do is enter the PAN of the concerned entity, and K:GST will automatically relay the linked GSTIN of the entity.
- Information based on GSTIN: Once you have the GSTIN, you can use it to find out the precise HSN, authorized signatories of the entity, the broad turnover bands, along with other decisive information. You can view this information on a consolidated report that combines all GSTINs linked to a single PAN.
- Compliance Checks: K:GST can use the GSTIN to accurately identify the filing history of the entity along with any defaults in their filing history. Further, this information comes with comprehensive negative alerts screening by combing through 80+ negative sanction lists.
- E-way Bill Verification: Companies can verify the authenticity of any e-way bill, without even providing an OTP.
- GST Return PDF Parsing: One can upload any set of GSTR 1/3B returns to the platform, and K:GST will automatically start verifying, analysing, and compiling the data. You can also perform a tamper check on the document to ensure that it is completely authentic.
- GST Return Extraction: You can extract and archive all the critical GST information of the counterparty for your underwriting process. This information is available through white-labelled portals and can be accessed with the counterparty’s consent.
Overall, the K:GST solution provides hard-to-obtain data about non-corporate GST entities. This can considerably smoothen the due diligence process and advert frauds. One can analyse the entity based on hundreds of financial metrics, which will be available in a single comprehensive report.
How K:ITR Can Help
K:ITR allows complete evaluation of a company’s financial health. It provides details such as a business summary, key personnel involved, taxes paid, and so on.
Here are the ways in which K:ITR can be used:
- Financial Health Evaluation: Even if the concerned entity is not part of the GSTN, you can still get verified financial data of that entity through their ITR filings. All the information is presented through clear segments and classification.
- Tax Footprint: K:ITR allows assessing the tax footprint of salaried individuals. The data is well-classified as contact information, financial information, employment history, tax details, etc.
- Financial Statement Analysis: Clients can get a comprehensive analysis of the financial statements of concerned entities. This information allows banks and FIs to determine future profitability and growth of the entity based on historical data. This includes analysis of ratios such as payables turnover rate, days of sales outstanding, and receivables turnover ratio.
- Comparative Analysis: Banks and FIs can gain perspective relating to the financial health of concerned entities. K:ITR can summarize the performance metrics of the entity through a yearly comparative analysis. It enables assessment of the entity’s growth over the last three years based on KPIs such as revenue, profit, total assets, and more.
Karza’s K:GST and K:ITR are revolutionizing the way banks and FIs assess counter-party information, enabling smooth credit underwriting and due diligence of SMEs. With these solutions, clients can do away with manual processes that are cost- and time-intensive and lack the required accuracy and reliability.
Reach out to us to know how Karza’s K:GST and K:ITR suites can be tailored to your due diligence requirements.
Company Overview: Karza Technologies is a part of Perfios Software Solutions and together they are the largest B2B SaaS provider for the BFSI fraternity. Perfios has established a strong presence in the realms of account aggregation, bank statement analysis, underwriting solutions, and more. Whereas Karza is a recognized leader in KYC checks, business intelligence, RCU automation, skip tracing, litigation automation, and more. The combined entity has 800+ customers and will continue to offer state-of-the-art solutions to banking and financial institutions across the globe.
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