Title: Lending and investing framework and its relevance to a corporate entity.

Research Problem / Topic: Lending is helping the corporate in term of financially. Lender is risk taker when lending money to a corporate. Therefore, lenders always finance to a successful corporate and approach towards possibility of default and liquidation. The problem face by the lender while lending money to corporate, there are no up to date information about financial and nonfinancial aspects of the corporate. It happens due to improper framework. Investing is always about increase the wealth of the business. Investor always provides
the funds or business capital which the company uses to operate. Without investors there is no company would operate. The main problem that investors could face when invest in particular company is investor unable to get to know more in detail about the particular companys activity especially in term of financial if there are no proper framework.

This research will develop a framework for the representation of financial information and for its use in reasoning tasks significant to lenders and investors in the domain of financial activity. This framework will be useful for lenders and investors as guidance and also to get better understanding of corporate activities before lending or invest. Through the framework lenders and investors could observe the corporate in financial and non-financial aspects before lending or investing. The importance of this framework is to strengthen effectiveness and development impact, improve compliance, and increase accountability of the corporate entity. The lender and investor provide financing to corporate for a wide range of activities aimed at creating the physical and social infrastructure necessary to reduce poverty and create sustainable development. Moreover, try to encourage the corporate to perform well in the global market.

Research objective The main objective of the proposed research is to better understand of the framework and its important to lender and investor. The objectives for this study as follows: To get a better understanding on the financial information and its use to the lender and investor. To measure the importance of the framework for lender and investor. To identify the non-financial aspects to consider by lender and investor.

Key literature There has been a number of researchers examine the lending and investing framework and its relevance especially for a corporate entity. These could measures of profitability and to develop a picture of past performance highlighting segments of financing. This capable of making judgements not only about past performance and present value but also about solvency and credit worthiness that have ramifications for the future. Investors are always interested in the overall performance of the corporate as well as the financial reports. Investors focus on the obvious measure of return on equity, earnings per share and history of dividend payment. While, lenders focus on financing a successful corporate operation and on a cautious approach towards the possibility of default and liquidation. Since lenders do not share the rewards of successful operations when the company is doing well, the lender must carefully assess the risk taken in lending money to a corporate. Thus, this framework would guide and help the lenders and investors in their activities. Methodology This study will use secondary sources. For the secondary sources, will be use text book as reference, internet search, Anglia Ruskin University library website and database. This study follows a qualitative approach as a research design, where analyzing the framework of financial aspects of corporate to lender and investor by using facts and already available information and evaluate these facts to make significant assessment.

Reference Framework for Action: Social Enterprise & Impact Investing (pdf) Available at: www.unglobalcompact.org/.../Framework_Social_Enterprise_Impact...

The Scottish Government: BORROWING, LENDING AND INVESTMENT, June 2011 Available at: http://www.scotland.gov.uk/Topics/Government/Finance/spfm/borrowingetc Western Balkans Investment Framework Available at: http://www.wbif-ipf.eu/ Western Balkans Investment Framework EBRD: Boosting Micro-finance Availability in Bosnia and Herzegovina, 4 July 2012 Available at: http://www.wbif.eu/news/91 Western Balkans Investment Framework: Private Sector Development Available at: http://www.wbif.eu/Private+Sector+Development