IKHLAS AL DAIN SDN BHD
(201001018379/902085 X)
Lot 4.1, Level 4, Menara Lien Hoe, No.8 Persiaran Tropicana, Tropicana Golf & Country Resort,
47410 Petaling Jaya
Tel: +603-7688 1014
Website: www.ikhlasaldain.com
1 | Page
EXECUTIVE SUMMARY
Document A
Applicant:
CIA Protection Sdn Bhd
Originator:
Razif Mohar
Lead:
None
Part A: Current and Proposed Facilities
Term Advance Pre-Factoring
Factoring
Maximum
Current
Proposed
Total
Current
Proposed
Total
Exposure
RM
RM
RM
RM
RM
RM
RM
216,672
100,000
316,672
989,204
633,283
1,622,487
1,536,782
Part B: Contract Details
Title
Awarder
Amount
Tenure
Mode
RM
Month
3,166,414
24
eP
Armed and static guarding services at JPJ
complex, branch, and enforcement station,
Kelantan state.
Road Transport Department
(JPJ)
Part C: Forecast Advance and Collection Timeline
Month
0
1
2
3
Subsequent
1
2
3
4
1
2
3
4
1
2
3
4
1
2
3
4
1
2
3
4
Term Advance
Invoice Advance 1
Advance 2
Advance 3
RM100,000
Collection 1
Collection 2
Continue 21 months
Average Sixty-Day Collection Forecast
Part D: Projected Income
Term Advance Pre-Factoring
Factoring
Processing Fee
Profit
Processing Fee
Administration Fee
Profit
Total
RM
RM
RM
RM
RM
RM
800
31,500
800
63,328
49,969
146,397
Approver
Approved / Declined
Approved / Declined
Name:
Razif Mohar
Name:
Hui Kiat Bin
Position:
Chief Executive Officer
Position:
Group Chief Executive Officer
Date:
Sep 29, 2023
Date:
ROCE:
23.3%
Tenure:
24 months
Annualised ROCE:
11.7%
Collection Mode:
eP
IKHLAS AL DAIN SDN BHD
(201001018379/902085 X)
Lot 4.1, Level 4, Menara Lien Hoe, No.8 Persiaran Tropicana, Tropicana Golf & Country Resort,
47410 Petaling Jaya
Tel: +603-7688 1014
Website: www.ikhlasaldain.com
2 | Page
FACTORING APPLICATION
Document B
Part A: Facility Information
Pre-Factoring
Factoring
Amount
Amount
Type
RM
Type
RM
Supplier Advance
Invoice Advance
633,283
Cash Advance
Collection Agent
Term Advance
100,000
Letter of Support
Bond Advance
Letter of Undertaking
Part B: Applicant Information
Name of Entity:
CIA Protection Sdn Bhd
Date of Registration:
Apr 30, 2013
Business Registration Number:
201301014618 (1044457-A)
Type of Entity:
Private Limited
Partnership
Proprietorship
Business Address:
145-1, Jalan Lavender Heights 3, Pusat Perniagaan Lavender Heights, 70400 Seremban
Telephone Number:
06-676 0708
E-Mail Address:
ciaprotectionsb@gmail.com
Contact Person:
Abu Hasan Bin Mahadi
Position:
Operations Manager
Telephone Number:
012-234 3544
E-Mail Address:
abuhasan.cia@gmail.com
Part C: Bank Account Information
Bank
Account Number
Facility
Limit
RM
Affin Islamic, Senawang
10-678-000 226-4
Current Account-i
CIMB Islamic, Country Heights
86-0232 928-2
Current Account-i
Part D: Contract Information
Contract Title
Awarder
Amount
ePerolehan
RM
Yes
No
3,166,414
Armed and static guarding services at JPJ
complex, branch, and enforcement station,
Kelantan state.
Road Transport Dept. (JPJ)
IKHLAS AL DAIN SDN BHD
(201001018379/902085 X)
Lot 4.1, Level 4, Menara Lien Hoe, No.8 Persiaran Tropicana, Tropicana Golf & Country Resort,
47410 Petaling Jaya
Tel: +603-7688 1014
Website: www.ikhlasaldain.com
3 | Page
Part E: Pre-Factoring Payee
Payee Company
Location
Purpose
Amount
RM
CIA Protection Sdn Bhd
Pusat Perniagaan Lavender Heights, Seremban
Mobilisation cost
100,000
Part F: Required Documents Checklist
Yes
No
Remarks
1.
Letter of Award or Surat Setuju Terima (SST)
Appendix A
2.
Purchase Order (PO) or Local Order (LO) or Warrant or Indent
Not applicable
3.
Contract
Pending
4.
Profile of Company
Appendix D
5.
Profile of Directors or Partners or Proprietor
Appendix E
6.
Latest Six Months Bank Statements
Appendix F
7.
Latest One Year Financial Statements
Appendix G
8.
Latest Month EPF Contribution for Staff (Penyata Caruman KWSP)
9.
Identity Card of All Directors or Partners or Proprietor
Part G: Declaration
1.
All information furnished above and as contained in the attached documents requested are true and
accurate.
2.
I/We hereby authorise Ikhlas Al Dain Sdn Bhd to verify any information pertaining to our company, its
directors, and its shareholders, from any source deemed appropriate for the purpose of assessing this
application.
3.
I/We understand that Ikhlas Al Dain Sdn Bhd reserves the right at its sole absolute discretion to decline
this application and without providing the reason/s for it.
Authorised Signatory
Name:
Muhammad Afiq Bin Zainol Abdin
Date:
Sep 27, 2023
Affix Company Stamp
IKHLAS AL DAIN SDN BHD
(201001018379/902085 X)
Lot 4.1, Level 4, Menara Lien Hoe, No.8 Persiaran Tropicana, Tropicana Golf & Country Resort,
47410 Petaling Jaya
Tel: +603-7688 1014
Website: www.ikhlasaldain.com
4 | Page
FACILITY TERM SHEET
Document C
Facility:
Factoring
Applicant:
CIA Protection Sdn Bhd
Purpose:
Accounts receivable financing.
Limit:
RM633,283
Administration Fee:
2% of Gross Invoice Value, charged on a per invoice basis.
Profit Rate:
1% per month of Advanced amount, calculated on a per day basis.
Rollover Fee:
0.5% per month of Gross Invoice Value, calculated on a per day basis and
charged upon expiry of Credit Period.
Margin of Advance
Up to 80% of Gross Invoice Value.
Credit Period:
Ninety (90) days from date of invoice.
Recourse Period:
Ninety (90) days upon expiry of Credit Period.
Security and Credit Support:
1.
Factoring Letter of Offer and Acceptance denoting offer by Ikhlas Al
Dain Sdn Bhd and acceptance by the Applicant.
2.
Factoring Agreement between the Applicant and Ikhlas Al Dain Sdn Bhd.
3.
Letter of Undertaking issued by the Applicant to Ikhlas Al Dain Sdn Bhd.
4.
Guarantee and Indemnity by two directors of the Applicant.
5.
Assignment of all factored accounts receivable.
Processing Fees:
RM800
The fees do not include stamp duty to be charged under the Stamp Act, 1949.
Letter of Undertaking Fees:
Amount of Undertaking
Fee
RM
%
Up to 250,000
0.5% of Amount of Undertaking
Above 250,000 to 500,000
0.75% of Amount Undertaking
Above 500,000 to below 1.0 million
1% of Amount of Undertaking
1.0 million and above
1.25% of Amount of Undertaking
Support Letter Fees:
Amount Supported
Fee
RM
RM
Up to 500,000
50 per Letter
Above 500,000 to below 1.0 million
75 per Letter
1.0 million
100 per Letter
Above 1.0 million to below 2.0 million
200 per Letter
2.0 million and above
250 per Letter
IKHLAS AL DAIN SDN BHD
(201001018379/902085 X)
Lot 4.1, Level 4, Menara Lien Hoe, No.8 Persiaran Tropicana, Tropicana Golf & Country Resort,
47410 Petaling Jaya
Tel: +603-7688 1014
Website: www.ikhlasaldain.com
5 | Page
FACILITY TERM SHEET
Facility:
Pre-Factoring
Applicant:
CIA Protection Sdn Bhd
Purpose:
Term Advance for working capital.
Limit:
RM100,000
Profit Rate:
1.75% flat per month of Advanced amount
Rollover Fee:
0.5% per month of Advanced amount, charged upon expiry of each monthly
Instalment Due Date and calculated on a per day basis.
Margin of Advance:
Up to 100% of working capital requirement
Tenure:
Eighteen (18) months
Repayments:
Through eighteen (18) fixed and equal monthly instalments of RM7,306 each
either by setoffs against factored contract proceeds or repayments by the
Applicant.
Instalment Due Dates:
One (1) month from date of Advance.
Security and Credit Support:
1.
Pre-Factoring Letter of Offer and Acceptance denoting offer by Ikhlas Al
Dain Sdn Bhd and acceptance by the Applicant.
2.
Pre-Factoring Agreement between the Applicant and Ikhlas Al Dain Sdn
Bhd.
3.
Letter of Undertaking issued by the Applicant to Ikhlas Al Dain Sdn Bhd.
4.
Guarantee and Indemnity by two directors of the Applicant.
5.
Assignment of all factored accounts receivable.
Processing Fees:
RM800
The fees do not include stamp duty to be charged under the Stamp Act, 1949.
IKHLAS AL DAIN SDN BHD
(201001018379/902085 X)
Lot 4.1, Level 4, Menara Lien Hoe, No.8 Persiaran Tropicana, Tropicana Golf & Country Resort,
47410 Petaling Jaya
Tel: +603-7688 1014
Website: www.ikhlasaldain.com
6 | Page
RISK ANALYSIS REPORT
Document D
Identified Risks
Risk Mitigation
1.
Delivery Risk
Applicant has experience in delivering similar contracts in the past.
Applicant has the capability and expertise in executing the contract.
Contract is simple to perform and uncomplicated.
Finished goods are involved and not work-in-progress (WIP).
Established manufacturer/fabricator/distributor/supplier.
Favourable manufacturer/fabricator/distributor/supplier site visit findings.
Short gap between disbursement and delivery of goods/services.
Applicant is our existing/previous client with good track record.
Sales Factoring case where advance/s will only be made upon delivery confirmation.
No outflow of our funds as we are acting as a collection agent.
2.
Collection Risk
Federal government contract where proceeds will be collected via e-Perolehan (eP).
Obligor is a federal government ministry/department/unit.
Obligor is a federal government agency/state/local government.
Obligor is a financially strong government-linked company (GLC).
Obligor is an established multi-national (MNC) with local presence.
Applicant/directors/ partners are free from legal suits.
Legal suits against applicant/directors/partners have been put on hold.
Applicant’s/directors’/partners’ bad debts have been rescheduled.
Applicant’s/directors’/partners’ bad debts will be settled prior to our disbursement.
Applicant’s/directors’/partners’ bad debts will be set off against our disbursement.
3.
Exposure Risk
Our exposure will be relatively low and will not exceed RM0.5 M.
Our exposure will exceed RM0.5 M but delivery and collection risks are mitigated.
Applicant has no other borrowings or has a relatively low borrowing level.
IKHLAS AL DAIN SDN BHD
(201001018379/902085 X)
Lot 4.1, Level 4, Menara Lien Hoe, No.8 Persiaran Tropicana, Tropicana Golf & Country Resort,
47410 Petaling Jaya
Tel: +603-7688 1014
Website: www.ikhlasaldain.com
7 | Page
JUSTIFICATIONS AND RECOMMENDATIONS
Document E
Justifications
1.
Procurement contract to be funded falls within the Accepted category.
2.
We will have full access to information on the delivery and collection process.
3.
Risks to be assumed have been assessed to be normal and will be well mitigated.
4.
Standard terms and conditions are proposed that do not go beyond our credit guidelines.
5.
Pricing to be charged is acceptable and above our minimum rate.
6.
Waiver of one of the directors, Mohd Salleh Bin Yaakub to stand as a guarantor as he is a silent partner
and holds only 30% interest, which he is in the process of disposing.
7.
The two other directors who shall be standing as guarantors hold a 70% majority shareholding and are the
ones running the company.
8.
Recommendations
1.
Offer CIA Protection Sdn Bhd an additional Pre-Factoring of RM100,000 (Term Advance), increasing
the limit to RM316,672, as per the attached term sheet and our standard terms and conditions.
2.
Offer CIA Protection Sdn Bhd an additional Factoring of RM633,283, increasing the limit to
RM1,622,487, as per the attached term sheet and our standard terms and conditions.
3.
Waive our requirement for one for the directors, Mohd Salleh Bin Yaakub, to stand as a guarantor against
the facilities.
Due Diligence Sign-Off
Name:
Nurliyana Jamaluddin
Name:
Position:
Credit Analyst
Position:
Date:
Sep 29, 2023
Date:
Recommender
Name:
Hafidah Hanafi
Name:
Ahmad Zawir
Position:
Head of Operations
Position:
Chief Operating Officer
Date:
Sep 29, 2023
Date:
Sep 29, 2023
IKHLAS AL DAIN SDN BHD
(201001018379/902085 X)
Lot 4.1, Level 4, Menara Lien Hoe, No.8 Persiaran Tropicana, Tropicana Golf & Country Resort,
47410 Petaling Jaya
Tel: +603-7688 1014
Website: www.ikhlasaldain.com
8 | Page
APPENDICES
Document F
Appendix A:
Letter of Award of Contract
Appendix B:
Experian Credit Check Report on Applicant and Directors
Appendix C:
Request to Waive Requirement for One of the Directors to Stand as Guarantor
Appendix D:
Profile of Applicant
Appendix E:
Profile of Directors
Appendix F:
Bank Statements
Appendix G:
Financial Statements
