Does the first repayment source in the loan investigation report refer to total income or net profit? Can the total income cover the loan amount, but the net profit can't?
I am a small loan, and the company's loan approval is based on the customer's net profit as the first repayment source. There is a big difference between total income and net profit. For example, gross profit = sales-procurement, net profit = sales-procurement-operating expenses-management expenses, and a company's operating expenses+management expenses account for a large part of the company's expenditure, so net profit is the first element to support loans.