1. FUNDING METHOD

The financial funding is comes from the contribution of the share from the company

shareholders and also supported by the bank. The financial funding from the bank known as

loan, it is made with the MAYBANK Bhd. Financial manager are controlled the finance or

cash flow of the company and it is also leaded by the financial teams. The financial teams are

responsible to control the cash flow of the company and subsidiaries of the company owned.

Due to the development project, an investigation and feasibility study had been carried out.

This is to ensure of getting the most suitable procedure to be taken for the development. It is

to make sure the availability of the capital for development cash flow. The planning of the

financial for the development started from the buying of the selected land. The method of

selling and purchase procurement had been chosen in order to conduct the development

project. This is to ensure that the company will gain maximum profit without sharing any

percentage with others. The right method used gives advantage in the company financial cash

flow. The profit can be channel to the others subsidiaries company. For the development

project in house construction system is used. We will be using own money to construct the

development project to avoid the delay from date of completion while waiting for bridging

the bank loan. Thus we can proceed on selling the houses and getting money faster.

2. SOURCE OF FUND

2.2.1 Shareholders Capital Shareholder capital is the money that comes from the

contribution by the shareholders of the company. This is to form of the equity of the

financing.

Name of shareholder Amount (RM)

NAME OF SHAREHOLDERS AMOUNT (RM) IR HANIF MOHD ZAKI 450,000.00

MARYA SUFLIN MOHAMAD HALIM SHAH 300,000.00 DR. NURHAMIZAH MD

ANUAR 250,000.00 TG. PUTERI NUR AINUL ZEHAN TG. AZLAN 200,000.00 FATIN

AMIRAH NORDIN 150,000.00 Figure 2.1: List of Shareholders Capital

2.2.2 Loan from Bank Loan used is fixed term loan.

It is mean that the loan is in a fixed period of time with a pre-determined repayment program.

The repayment can either be short or medium which usually in between of one to six years.

Usually the loan has an interest rate of charge. The interest rate can be fixed rates per annum.

Normally the loan from bank is requiring security. Thus the shareholders will be charge on

their assets as the securities.

This decision made after Discount Cash Flow calculation (DCF) yield in IRR made. DCF

Yield show the maximum benefit in loan could be taken for the project to the profitable.

From the calculation that have been made, the interest in bridging loan exceeding DCF

maximum result which is could become the project unprofitable. Therefore, the permanent period of

loan was the best alternative to raise the fund for the project.

exceeding DCF maximum result which is could become the project unprofitable. Therefore,

the permanent period of loan was the best alternative to raise the fund for the project.