Question

Describe role of a merchant banker in project appraisal

Answer 1

Role Of Merchant Bankers. ... The article mainly focuses on the essentialrole played by merchant bankers in the corporate world today. Fundamentally,merchant banks are financial institutions. They engage in business loans as well as underwriting[1].

Answer 2

Role of a merchant banker in project appraisal;

• A person involved in the issue management business is known as a merchant banker.
• This person helps make arrangements to buy, sell or subscribe to securities or provides corporate-level advisory services in issue management.
• Project appraisal is a stage where the projects are assessed before permission to proceed with the project is given.
• Merchant bankers give project counseling essential in project appraisal.
• This helps in working towards the preparation of the project.
• Merchant bankers also guide in acquiring finance essential for project appraisal.