|Target Group||Individual / Proprietor / Registered Partnership / Limited Liability Partnership (LLP) / Pvt & Public Limited Companies under Micro, Small & Medium Enterprises (MSME) as per extant definition of Government of India
Well established contractors (civil, mechanical, electrical etc.), performing contracts for Central / State Govt. / reputed PSUs / reputed Corporates.
Contractors / Sub-Contractors should be in the line of business for 3 years & has earned continuous profit for last 2 years.
Sub-Contractors are eligible for finance
GST registration of the borrower is mandatory, wherever applicable.
Applicant Should have certificate under MSME Act, 2006
|Purpose||To finance contractors carrying out work orders from various Central / State Govt departments /reputed PSUs/ reputed Corporates covers all aspects like purchase of machinery, working capital requirements etc.|
|Types of Facility||Fund Based: Secured OD / OCC / Term Loan / BP
Non-Fund Based: Bank Guarantee / LC
|Loan Amount||Minimum Loan Amount: Above Rs. 10 lakh per borrower
Maximum: Rs. 10 Crores per borrower (FB+NFB)
Rs. 20 Crores per group (FB+NFB)
|Margin (Promoter’s contribution)||50% on EM property for Secured OD
20% on Stock and Book Debts
20% on equipments / Term Loan
15% for Bill Finance.
10% against Guarantees / LC
o SOD – EM of property (Min. 200% of the limit).
o OCC – Stock and Book Debts
o MTL – Hypothecation of equipments purchased by availing MTL.
o BG- Counter guarantee by applicant.
o Cash margin by way of FDR. Portion uncovered by cash margin should be covered with value of security.
o LC- Cash margin by way of FDR and Hyp. of stocks procured against LC.
o BP- Undertaking from the debtors to make payment directly to the Bank.
In case of OCC, 100% collateral security coverage in the form of immovable property / liquid security to be obtained.
|Repayment terms||Term Loan shall be repayable in maximum of 84 months, including holiday period.|
|Processing & other charges||All Charges are at Card Rate|
( Last modified on Sep 03, 2022 at 07:09:14 PM )