When You Need a Closer Look.
JCM Monitoring was established to assist Lenders with the ongoing monitoring and control of their collateral base.
Monthly Recalculation of Inventory for Collateral Base to include:
- Independent Aging
- Slow moving Analysis
- Recalculate ineligibles
- Obsolete calculation
- Net Liquidation Value
As part of the Monthly Monitoring Service, JCM performs an independent aging of the Company’s inventory in order to identify slow moving or potentially obsolete inventory. In order to perform this analysis, JCM obtains a current perpetual inventory report, a listing of all open orders currently pending shipment to the customer and a report listing the number of units sold for each SKU as well as the sales dollars associated with the units sold. From this information, the analyst can determine the historic and/or current demand for the product.
In addition, JCM requests that the borrower provide: a month end perpetual inventory reports by SKU; usage or sales by SKU for the trailing 6 and 12 months; gross sales price for each product; and open orders by SKU (if applicable). By doing so, JCM is able to replicate the analysis which was performed during the initial appraisal and determine any negative or positive changes in the collateral, as it relates to the loan.