Business Health Check

Does the promoter maintain regular structured review meetings on business performance and key risks?

Is there a documented business plan with clear goals, timelines, and accountability?

Does management proactively monitor early warning indicators across finance, operations, and market?

Is decision-making timely and based on reliable data rather than intuition alone?

Are roles, responsibilities, and reporting lines clearly defined across the organization?

Does the promoter demonstrate willingness to implement expert recommendations for business improvement?

Is there effective coordination between family members or partners involved in business ownership?

Does management maintain transparent communication with key lenders and stakeholders during stress?

Are strategic priorities reviewed and adjusted at least annually based on market conditions?

Is there a culture of continuous improvement and learning at the management level?

Does the promoter or founder articulate a clear, consistent, and credible long-term business vision?

Is leadership actively engaged in operations rather than disengaged, distant, or excessively delegating?

Does leadership inspire confidence among employees, lenders, customers, and key external stakeholders?

Is there strong alignment between what leadership commits publicly and what the company actually delivers?

Does the leadership team collectively cover complementary skills in operations, finance, and strategy?

Is the promoter or MD actively seeking guidance from external advisors, mentors, or industry boards?

Does leadership openly acknowledge business challenges rather than minimising, hiding, or denying them?

Are the promoter's personal finances clearly separated from business finances and obligations?

Does the leadership team have a verifiable and consistent track record of successful business execution?

Is there a genuine culture of accountability at the leadership level, without deflecting blame to teams?

Are financial accounts and management statements prepared and reviewed monthly or quarterly?

Is there a qualified professional (CA / CFO or equivalent) actively overseeing the company's finances?

Are all statutory obligations (GST, TDS, PF, ESI, advance tax) being met consistently without default?

Are bank accounts operated within sanctioned limits without frequent overdrafts or excess drawings?

Are supplier and vendor dues being honoured within agreed credit periods on a consistent basis?

Is employee salary disbursed on time every month without delays, shortfalls, or partial payments?

Does management have clear visibility of cash positions and funding requirements for the next 6–12 months?

Is working capital (inventory + receivables − payables) managed within sustainable limits?

Are budgets prepared annually and variance analysis conducted monthly?

Is debt structure appropriate with manageable repayment obligations?

Is the company current on all statutory filings — ROC annual returns, GST returns, and income tax?

Are there no active legal proceedings, arbitrations, or NCLT / court cases pending against the company?

Are all operating licences, registrations, and regulatory permissions valid and currently in force?

Are intellectual property assets (trademarks, patents, copyrights) properly registered and protected?

Are all employee-related statutory compliances (PF, ESI, gratuity, bonus) fully up to date?

Are material contracts with key customers and vendors properly documented and legally executed?

Are related-party transactions documented and conducted at arm's length?

Is there adequate insurance coverage for key business risks?

Are board or governance meetings held as required with proper minutes?

Has the company avoided material regulatory penalties or enforcement actions in the past 24 months?

Are standard operating procedures (SOPs) documented and consistently followed for all key processes?

Is there a quality management system, certification, or structured quality assurance process in place?

Are production schedules or service delivery timelines consistently met as committed to customers?

Is inventory or work-in-progress managed efficiently with minimal wastage, pilferage, or obsolescence?

Is there a formal vendor selection, qualification, and periodic performance monitoring process in use?

Are IT systems, critical business data, and intellectual assets adequately secured and routinely backed up?

Is there a structured and timely customer complaint resolution mechanism operational in the business?

Are cost controls in place with periodic review of major expense categories?

Is capacity utilisation monitored and optimised?

Are key operational metrics measured, reported regularly, and reviewed in management meetings?

Does the company's core product or service offer a clear and differentiated value proposition?

Is the company sustaining or growing its market share in its primary business segments?

Has the company successfully introduced new products, services, or variants in the past two years?

Is customer feedback systematically collected, analysed, and incorporated into business decisions?

Is the customer base diversified, with no single client contributing more than 30% of revenue?

Does the company have a defined, budgeted, and actively executed sales and marketing strategy?

Is the company well-informed about its top competitors' strategies, pricing, and product positioning?

Is the product or service priced competitively without experiencing significant ongoing margin erosion?

Are customer retention rates healthy, with annual customer churn below 20%?

Does the company maintain a strong pipeline of confirmed and prospective new business opportunities?

Is there a documented succession plan for key leadership roles?

Has the next generation or successor been identified and prepared for leadership?

Does the successor have relevant experience and stakeholder acceptance?

Are ownership and control structures clearly documented and understood?

Is there a plan to transition customer and lender relationships to successors?

Are critical business knowledge and relationships documented for transfer?

Does the promoter actively mentor potential successors?

Is there clarity on timelines for leadership transition?

Are legal and tax implications of succession planned with professional advice?

Would the business continue effectively if the primary promoter were unavailable for 90 days?

Are key positions staffed with qualified and experienced personnel?

Is employee turnover within acceptable limits for the industry?

Are compensation and incentive structures aligned with performance and retention?

Is there a formal performance appraisal system in place?

Are workplace safety and statutory labour law requirements consistently met?

Is employee training and skill development prioritised?

Are grievance mechanisms accessible and effectively used?

Is succession planning in place for critical operational roles?

Does the organization maintain positive employee morale and engagement?

Are HR policies documented and consistently applied?

Is the sales pipeline actively tracked and reviewed regularly?

Are key customer relationships managed by capable and stable account owners?

Is customer credit risk assessed before extending significant credit terms?

Are sales targets realistic and monitored against actual performance?

Is after-sales service effective in maintaining customer satisfaction?

Are customer complaints resolved within acceptable timeframes?

Does the company have visibility on receivables aging and collection effectiveness?

Is pricing discipline maintained across sales teams?

Are channel partners or distributors effectively managed and monitored?

Does revenue concentration risk remain within acceptable limits?

Are critical raw materials or inputs sourced from reliable and diversified suppliers?

Is supplier performance monitored through defined quality and delivery metrics?

Are alternate suppliers identified for critical inputs?

Is inventory planning aligned with production and sales forecasts?

Are logistics and distribution costs controlled and benchmarked?

Is supply chain disruption risk assessed and mitigated?

Are vendor payments managed without chronic delays that damage relationships?

Are import/export or regulatory requirements for supply chain met?

Is there contractual clarity on SLAs with key vendors?

Does the supply chain support scalability without proportional cost increases?