V Entrepreneur

1

Purpose

• Financial assistance to start new/expansion of existing manufacturing/service enterprise for working capital, purchase of commercial property, vehicle, plant & machinery etc.

2

Eligibility

• Traders mainly engaged in buying and selling of goods/commodities either as retailers or wholesalers.
• Both Manufacturing and Service activities under taken by MSME units.
• Existing customers with a satisfactory track record.
• New customers including take-over based on merit.
• Applicant must have either sales tax/VAT registration wherever applicable and trade/business license or MSME/SSI registration Certificate or permit issued by recognized body or any statutory authority.

3

Nature of facility

• Term loan.
• Working Capital limit
• Combination of both as Composite loan.
• Non-fund based limits

4

Quantum of Loan minimum/maximum.

• Minimum:  Rs.2.00 lakhs
• Maximum: 60% of market value of property offered as security subject to cap of Rs.500.00 lakhs

5

Margin

• 25% for purchase of Equipment/Machinery/Generators
• 20% of the value of the commercial vehicle
• 40% for acquisition of premises and/or expansion/ renovation/ modernization of existing premises
• 25% cash margin for Non-Fund Based Limits

6

Rate of interest

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7

Guarantor

• Suitable third party guarantee to be provided in case of individuals
• Personal guarantee of partners, promoter Directors to be provided.
• Personal guarantee of property owner/s whose property is offered as collateral security.

8

Security

Primary Security

Assets purchased out of bank finance such as property/premises/machinery/vehicles etc. as applicable

AND

Mortgage of immovable property including residential/ commercial property with 40% margin on market value

 OR

Term deposit of our Bank/ NSC/ KVP/ Surrender value of LIC policy to the extent of 100% of the limit.

9

Processing fees/other charges

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10

Repayment

Working Capital Limit  - To be renewed on yearly basis

Term loan                  -  Maximum 120 EMIs

11

Application with checklist

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Click Here for Checklist of Documents