Micro, Small & Medium Enterprise (MSME) Loans
A business loan given to Micro, Small & Medium size Enterprises (MSME’s) are known as MSME Loans. These loans are offered to MSME’s to meet their various requirements like setting up a unit, buying machinery, technology up-gradation & other day to day working capital etc…
Variation of MSME Loan
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Term Loan
A term loan is a loan from a bank for a specific amount that has a specified repayment schedule and either a fixed or floating interest rate.
Be it for land / building / equipment / working capital / general purpose, Be it secured / unsecured, Be it short term (3 years) or long term (12 years) At VFC, we help your raise right amount, for right period at best rates and terms.
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Working Capital
It’s a funding arrangement for meeting day to day operational expenses. Working Capital is the blood of organization.
Inadequate working capital may be the major causes for closing down the business. We at Value Finance Consulting (VFC) help you raise sufficient amount of working capital at competitive rates for smooth running of your business.
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Private Finance
There is a limitation on unsecured loans provided by banks and financial institutions. Private Financiers play a vital role in plugging the gap left by banks. The loan amount here ranges from Rs.1 Crore to Rs.20 Crore.
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CGTMSE Loans
It is also called collateral free loans. These are loans tailor made for entrepreneurs not having immovable properties to offer as collateral to the bank. Under the above scheme, banks provide finance upto Rs.2 crore without the requirement of collateral security.
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Buyers Credit
Buyer’s credit is a loan facility extended to an importer by a bank or financial institution to finance the purchase of capital goods or services and other big-ticket items. As compared to loan in INR, foreign currency loans are much cheaper. As it involves repayments in foreign currency there is always a risk loss due to currency fluctuations.
We critically examine and analyze every requirement and suggest the right instrument for overseas imports to get the maximum benefit in terms of savings in interest and other costs.
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Project Finance
Realistic assessment of project cost and cost of funds are the two key parameters determine the success or failure of any Greenfield or Brownfield project.
We help you with realistic assessment of project cost as well as to raise the funds at low costs from right financial institution / bank.
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Loan Syndication
Loan syndication is the process of involving a group of lenders in funding various portions of a loan for a single borrower.
No amount is too big. Don’t worry, if your requirement is not met by one bank. We will arrange the funding from multiple banks for the same project.
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Government Subsidies
Union and State governments have been regularly announcing various capital / interest subsidy to industries. Due to lack of awareness among industries, many of the schemes don’t get fully utilized.
We understand the importance of subsidy to any business enterprise and we advise our every customer about the applicable schemes to maximize their returns in the business by availing the subsidy benefits.
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Bank Guarantee
A guarantee means giving something as security. A bank guarantee is when a bank offers surety and guarantees for different business obligation on behalf of their customers within certain regulations. It is generally a promise made by the bank to any third person to undertake the payment risk on behalf of its customers.
Bank guarantee is given on a contractual obligation between the bank and its customers. Such guarantees are widely used in business and personal transactions to protect the third party from financial losses.
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Letter of Credit
A letter of credit represents an obligation taken on by a bank to make a payment once certain criteria are met. After these terms are completed and confirmed, the bank will transfer the funds. The letter of credit ensures the payment will be made as long as the services are performed. The letter of credit basically substitutes the bank’s credit for that of its client, ensuring correct and timely payment.
MSME Loans to
- Manufactures
- Professionals
- Service Providers
Purpose
- Business Expansion
- Working Capital Requirement
- Advertising & Marketing of Products and Services
- To fill financial requirement for smooth operations