2014厦大毕马威案例分析大赛冠军

ForMissionorProfits?That`saquestionforMicawberBackground1.MicrofinanceIndustry1.1DefinitionandAimOrganizationsthatprovidefinancialservicesandproductsinsmallamountstopoorpopulations.Definition1Aim2ImproveincomelevelsandstandardsoflivingSparkaself-perpetuatingcycleofgrowth.ProblemImplementSituationPredictionAlternatives0%30%10%50%100%70%BackgroundCurrentSituationAnalysisProblemRisingAlternativePlansImplementationPrediction第一章BackgroundPart1Background1.MicrofinanceIndustry1.2BasicintroductionforMFIsinIndiaPoorpeopleinIndia,about75%ofthembeingwomenProvidethrift,creditandotherfinancialservicesandproductsinsmallamounts•Thetop5MFIlendersinIndia•AboveaverageROE•Operationalself-sufficiency:abovetheaverage.2.defaultrate•JointLiability•Lowdefaultrate:5percent•StrongsocialpressuresMFIneededmuchlaborinenvironmentswithlittlephysicalinfrastructure,thusmakinghighoperatingcosts.3.ROEIndiahasamoderatepositiveROEtoshareholdersinAsia,whichcanattractmanyinvestments1.loaninterestrates•MFIchargedmuchhigherthanbanks•Muchlowerthanlocalmoneylenders.35%120%MFIlocalmoneylendersInterestRate3.910.77.5EastAsiaSouthAsiaIndiaROEProblemImplementSituationPredictionAlternatives2.Micawbercapital2.1HistoryofMicawbercapital19971SaiBhatiaraisedUS$42000tofoundaNGOcalledMicawber.2008-20093•Newfinancialproducts•ROE:10%(2008)→20.5%(2009)Bytheendof20094•Micawberstoodabovethecompetition•Expandedto12states•5.2millionactiveborrowers•Grossloanportfolio:$853million.Conclusion•Micawberisdevelopingrapidlywithexpansion.20052•100000borrowers•Portfolio:US$16million.•Bhatiaretired•NEWCEO:EvanDrago•NGO→NBFC:3MBTSProblemImplementSituationPredictionBackground2.Micawbercapital2.2CompetitoranalysisLeader:MicawberChallengers:Spandana,ShareMicrofinLtd,BandhanandAMLLeader:MicawberMeasuredbythenumberofactiveborrowers,withhighergrossloanportfolio.Challengers:Spandana,ShareMicrofinLtd,BandhanandAMLWithlowergrossloanportfoliobuthigherROEandoperationalself-sufficiencythanMicawber.Followers:hundredsofsmallerMFIsFollowers:hundredsofsmallerMFIsWithlittleornogrowthstrategyandinefficientsystemsandoperations.2.3BusinessmodelBusinessmodelValue•Micawber’smissionistohelpliftpeopleoutofpoverty.CustomerRelationships•Theclientsareindirectshareholdersandtheirbenefitsarerepresentedbytrustees.Revenuemodel•NGO:Chargeinterestratestocovercostsandloandefaults.•NBFC:Offernewproductssuchaslifeinsurance,moneytransfersandpensionfundsinadditiontocharginginterestrates.Distributionchannels•Connectdirectlywithclientsbydrivingtovillages.Corecapabilities•AhighfinancingabilityandhighreturnonequityReasonResultEffectCurrentsituationanalysis1.FromNGOtoIPO(Aprocesstoincreasefunds)LimitationsofNGO`sStructure1.Itssmallcapitalcouldnotenablesignificantgrowth2.Thesocialimpactwaslimited.ConversiontrendoftheindustryInordertoraisecapitalfrominstitutionalinvestors,manycompetitorsconcertedfromNGOsintoNBFCs.MorefundingcanhelpMicawber1.Expanditsclientbase,2.Meetcapitalneedsbyraisingcapitalfrominstitutionalinvestors.3.Investininformationsystemstoreducecostandscalesoperations.4.Createincentivetogetmoreefficientandaccountableforitsoperations.ChoiceLimitationsConversionMoreFunding1.1FromNGOtoNBFCProblemImplementPredictionBackgroundAlternativesReasonResultEffectReasonResultEffectInDec2005,MicawberconvertedfromanNGOtoaNBFC.ReasonResultEffectABTheFundingStructureAThecommercialinvestorsbroughtadditionalUS$2million,whichistwicethepreviouscapitalof“old”Micawber($1million).AdditionalInvestmentBMicawberInstitutionalDonorsPrivateDonorsGrantsMBTMBTMBTCommercialInvestorsMicawberHumanity(NGO)第一章CurrentSituationAnalysisPart2ThefundingstructureofMicawberischanged,creating3mutualbenefittrusts(MBTs)andanewNGOcalledMicawberHumanity.Currentsituationanalysis1.FromNGOtoIPO(Aprocesstoincreasefunds)1.2FromNBFCtoIPO•LeadingcompanyinMIFsindustrywiththegreatestnumberofactiveborrowers.•TheROEkeptitsgrowthtrend.[From10%(2008)to20.5%(2009)]•Thereturnrateishigherthanbankinterestrate.Strength•Theconflictbetweenstakeholdersaffectedtheefficiencyofthecompany.WeaknessThepublicdiscontentwouldhurtthereputationofMicawber.Threat•IPOcanbringkeystakeholdersandnewregulations.•IPOcancreateopportunitiestoreachmoreclients.OpportunitiesProblemImplementPredictionBackgroundAlternativesConclusionIt`simportantandpossibleforMicawbertotransformfromNBFCtoIPO.2.Challengesencountered2.1NBFCconversion0%100%FirstRoundasNBFCBeforeIPO20%67%Privatestakeholders`ownershipCriticismImpairedMissionConclusionPublic’sdoubtsaboutwhetherMicrawbercankeeponachievingitsmissionarerising,sinceitchangedintoaNBFC.1.Privatestakeholders`ownershipsharplyincreased.2.Theyinfluencethedecisionstobemorecommercial.1.Alocalnewspaperaccuseditoftakingwealthtoshareholders2.ItshighROEandincreasinginterestratearecriticized.3.Riskwouldoutstripitsinternalcontrols,anderodecreditdiscipline.2.2IPOconversionNewregulationsandrestrictionsNew•PrivatestakeholdersownershipwouldfurtherimpairtheoriginalmissionImpairthemissionNewImpairthemission•Relatedmoretohighfinancialreturns.•Thosecommercialinve