|
1. Eligibility |
Individuals/Firms/Partnership/Trust/Franchises. |
2. Purposes |
- For purchase of new/old shops/establishment/offices.
- Modernisation/renovation/face lifting of shops
- Expansion/addition/alteration to shops
- Dealers showroom
- Building for training centers, service centers
- Repair center/garage
- Building for Consultant/Chartered Accountants
- All furniture/fixtures-electrical fittings and other
accessories required for the showroom/offices/shops.
|
3. Type of Facility |
Term Loan facility (Medium
Term Loan) |
4. Quantum of Advances |
(a) Under SSI Segment
This will be
a part of the total SSI project cost, maximum Rs.20
lacs which may include :-
- Premises/shop used for service operations/repairing/custom
servicing units.
- Computer software development and software services
- Call Centre/back office processing for different
purposes
- Units engaged in SSSBE (Small Scale Service & Business
Enterprises)
- Setting up of cyber café etc.
(However the list is an illustrative
one & not an exhaustive one.)
(b) Under SBF sub-segment :
- Max. Rs.20 lacs under Small Business Enterprises
and Max. Rs.10 lacs for Retail Traders/Professionals
and self employed persons.
- Shops/premises/showroom/consultant office for the
Professional and Self Employed Persons.
- Premises used for Business Enterprises viz. restaurants,
laundry, barber, tailor etc.
- Service centers/hiring of sound system etc.
- Various establishments engaged in Small Business
Finances.
|
5. Interest Rate |
Prevalent SSI/SBF Term Loan
rates applicable for the activity.
|
6. Security |
(i) Primary Security – Hypothecation/mortgage/assignment
of property purchased out of Bank’s finance including
non-industrial assets.
In case of leased property, mortgage/assignment of lease
hold property will be obtained, NOC (no objection certificate)
from the lessor be invariably obtained. But in any case
repayment period has to be within the lease tenure. Loan
period need to be lower than the remaining lease period.
- ii) Collateral
: Third party Guarantee having adequate worth and/post
dated cheques.
- iii) In
case of SSI advance, it should be covered under the
guarantee scheme of CGFTS, if eligible.
|
7. Margin |
25% (in respect of purchase
of old property margin will be charged as 40%) |
9. Up Front Fee |
As per existing norms. |
10. DSCR |
Minimum DSCR 1.75 |
11. Repayment |
Repayment of loan will be
made between 3 to 7 years excluding moratorium period
of 6 months. |
12. Takeover |
Permitted subject to observance
of takeover laid down norms. |
|
