Nfcc computation example 2025

See details

4.6 out of 5

54 votes

The document outlines the financial requirements for an eligibility check for suppliers, distributors, or manufacturers. It details the necessary financial documents, including a summary of assets and liabilities based on income tax returns and audited financial statements. It also explains how to calculate the Net Financial Contracting Capacity (NFCC) and mentions the need for a commitment from a bank or a cash deposit certificate. Additionally, it specifies that if there are partnerships or joint ventures, each member must submit the required documents.

Here's how it works

01. Edit your nfcc form word format online

Type text, add images, blackout confidential details, add comments, highlights and more.

02. Sign it in a few clicks

Draw your signature, type it, upload its image, or use your mobile device as a signature pad.

03. Share your form with others

Send nfcc template via email, link, or fax. You can also download it, export it or print it out.

How to use or fill out nfcc computation example with our platform

Ease of Setup

DocHub User Ratings on G2

Ease of Use

DocHub User Ratings on G2

Click ‘Get Form’ to open the nfcc computation example in the editor.
Begin by entering the year in the designated field at the top of section A. This is crucial for accurate financial reporting.
Fill in the total assets and current assets in their respective fields. Ensure that these figures are derived from your attached income tax return and audited financial statement.
Next, input total liabilities and current liabilities. These should also be taken from your financial documents to maintain consistency.
Calculate your net worth by subtracting total liabilities from total assets, and enter this value in the net worth field.
For net working capital, subtract current liabilities from current assets and record this figure accordingly.
Proceed to calculate NFCC using the formula provided. Input K based on your contract duration and ensure all outstanding works are accounted for.
Finally, complete the bank information section if applicable, including name and amount for credit line commitments or cash deposits.

Start filling out your nfcc computation example today for free using our platform!

be ready to get more

Complete this form in 5 minutes or less

Get form

Got questions?

We have answers to the most popular questions from our customers. If you can't find an answer to your question, please contact us.

What is the ideal NFCC?

The NFCC should at least be equal to the Approved Budget for the Contract (ABC). If a contractor lacks the necessary NFCC, he can use either the Credit Line Commitment from a licensed bank or a Bank Deposit of at least 10% of the ABC, both dedicated for the project.

How is NFCC calculated in GPPB?

NFCC = [(Current assets minus current liabilities) multiplied by (K)] minus the value of all outstanding works or projects under ongoing contracts, including awarded contracts yet to be started.

What is the NFCC explained?

It lists the assets, liabilities, net worth, and net working capital derived from the financial statement. It then defines the NFCC as the net working capital multiplied by 15 and reduced by the value of ongoing contracts, to determine a suppliers financial capacity for a contract.

What is the formula for calculating NFCC?

NFCC = [(Current assets minus current liabilities) (15)] minus the value of all outstanding or uncompleted portions of the projects under ongoing contracts, including awarded contracts yet to be started, coinciding with the contract to be bid.

What is the formula for computation of NFCC?

NFCC = [(Current assets minus current liabilities) (K)] minus the value of all outstanding or uncompleted portions of the projects under ongoing contracts, including awarded contracts yet to be started coinciding with the contract to be bid.

Try more PDF tools