Halcyon Group has upgraded Fiscal, its business analysis product, to include industry norms established by the Internal Revenue Service.
The new component will allow Fiscal users to evaluate businesses against 890 standards in 177 industries according to asset size.
The software package is used primarily by community bankers whose commercial loan customers often submit tax returns in lieu of audited financial statements.
"In light of the S&L crisis, regulators now require that community banks get to know their borrowers better," explained Scott Hollifield, national sales manager at Halcyon. "The problem is that the community bank customer base often doesn't have financial statements to provide the bank. The next best document the bank has to work with is a tax return."
With the new IRS component, the software can take a tax return and provide a banker with an indepth analysis against IRS norms. It offers a complete diagnostic narrative, including projected growth, bankruptcy prediction, and full cash-flow analysis.
According to David Bishop, a credit analyst at Unitas National Bank in Chambersburg, Pa., the system saves …