It is conducted to ensure that
- Proper Preservation/storage of Stock.
- Whether obsolete & non-moving stock has been segregated.
- Whether stock is adequately insured against all major perils.
- Whether physical stock confirming with the stock statement submitted to the Banker.
- Whether stock is owned by Borrower and Finance is made available against value of paid stocks only.
- Age-wise & Party-wise Book-Debts analysis submitted to the Bankers tallied with the Book.