PROJECT FINANCE
To start a business you need capital. Almost no one has enough money to start the business that he wants and has to resort to borrowings to part finance the capital cost of the project. This starts from the money required to buy the land on which to start the business, construction of the structure in which the business will be housed, purchasing the required plant and machinery that the business requires, creating the required infrastructure, arranging the part of the working capital required as margin, and then there are always unseen and contingency funds for the same.We can arrange for term loans to part finance your requirement of capital to start a business. We will strive to offer you the maximum possible finance at the minimum possible cost.
CASH CREDIT
Working Capital is the one common thing which every business requires. You require money to set up a business and you require money to run the business. You have to keep stock and pay your creditors and day to day expenses. You have to sell on credit to create greater volumes. All this require money. The major part of money required to finance your day to day activity is your cash credit facility. This is the drawing facility that your banker gives to you to run your business and is secured by creating a charge on your current assets and a collateral security.We can arrange for cash credit facility for your business based on your requirements. We can also arrange for takeover and enhancement of your existing limits at a lower rate of interest and lower collaterals.
LETTER OF CREDIT
Purchase of raw materials or trading goods is an integral part of every business. You need to buy weather you are a manufacturer, a trader, or even a service provider. Many a times you need to buy from new sellers or sellers who do not extend credit and insist on cash upfront or immediately on delivery. This is more so in case you are importing something as the chances of seller knowing you is less and also because of difference in legal systems in the two countries he might be not willing to offer goods on credit. The banks can offer a letter of credit to the seller of goods or services, which basically is a letter of comfort to the seller that he will get paid on a fixed date if he performs his part of the transaction satisfactorily.We can arrange for LC facilities from banks at most competitive charges. We can even arrange for takeover and/or enhancement of existing LC limits with lowering of charges and collaterals.
PACKING CREDIT
Every business activity must ultimately result in a sale. But for the sale to happen you must first have the goods ready. To get the goods ready for shipment to the buyer you need to buy the raw materials, do the value addition which is your speciality, and pack the same. Many a times it needs more time to get the whole consignment ready and you cannot get adequate credit for the suppliers or you may get a better margin if you can avail of the cash discounts. To do that you need money. One of the simple ways of getting this money is packing credit, where you get finance from the bank to get the material readied packed and shipped, or in other words Pre Shipment Credit. This is more so in case you have confirmed order from reputed organisations or purchase orders backed by letter of credits.We can arrange for Packing Credit Facilities at most competitive rates of interest, including rates linked to foreign currencies. We can even arrange for takeover and/or enhancement of existing Packing Credit limits with lowering of charges and collaterals.
BILL DISCOUNTING LIMITS
Often the sales that you make are with certain credit terms. The buyer will make payments to you after the passage of a certain amount of time after shipment of the goods or providing of the service. However you may need to make certain payments and would like to have that money upfront. The banks can provide this facility of LC discounting/bill discounting/ Bill Negotiation, where the banks will pay you up to 90% of your invoice value on submission of documents and invoice. This can be in conjugation with credit insurance also, wherein the insurer takes the risk of default by the buyer and you get your money even if the buyer does not pay up.We can arrange for Bill Discounting Facilities at most competitive rates of interest, including rates linked to foreign currencies. We can even arrange for takeover and/or enhancement of existing Packing Credit limits with lowering of charges and collaterals.
BANK GUARANTEES
Many a times in business on has to provide certain form of guarantees. Often, especially when dealing with various large corporations and the Government/Semi Government bodies, the principals may want some external guarantees. The banks can come in the picture and provide guarantees on behalf of your business to you principals as per the requirement of your business.We can arrange for both financial and performance Bank Guarantee facilities from banks at most competitive charges. We can even arrange for takeover and/or enhancement of existing Bank Guarantee limits with lowering of charges and collaterals.
FUNDING AGAINST BANK GUARANTEES
Sometimes it so happens that there are certain bank guarantee limits available which you or your associate having the spare facility do not require. However there is need for actual liquid cash, which the banker is not willing to give in lieu of this bank guarantee of limits. There are other banks and institutions who can lend immediate liquid funds against the security of such financial bank guarantees without the requirement of any other security.We can arrange for funding against financial Bank Guarantee facilities at most competitive rates of interest.
BUYERS CREDIT
Often you buy goods especially when you are importing on LC terms which may be at sight or of a particular issuance period. It may happen that on the due date of the payment of LC you might not have adequate cash to meet the obligation and your LC may get devolved. If this happens that this becomes a very big black spot against your name and credit history.Further in today's market scenario for an importer funds to make payment of his imports against LC's is available at very reasonable rates as compared to its rate of interest payable on cash credit accounts. So it makes more sense to use one's own money to save interest on cash credit account and avail cheaper funds to pay for the dues against the LC.
We can arrange for buyers credit facility in time for the same. This is a facility in which a banker will arrange for payment of the LC on its due date either against blocking of your LC limit, or against a Bank Guarantee from your bankers or even against other security. This is a short term financing in nature but can be extended up to 360 days.
All profit making company having an import against LC can avail this facility.
SUPPLIERS CREDIT
When you import goods on LC, one of the ways to finance the payment of the LC is buyer's credit, which is explained in our section on buyer's credit. However some times your primary banker may refuse to give a LC to the other banker and insist that you take buyers credit from them even if their rates are higher.In this case the alternate is to go for suppliers credit, where you give your buyer LC for usance period but he gets immediate payment through the suppliers credit route. So you get benefit of cash discount and still get credit period on payments.
We can arrange for suppliers credit facility, at the best rates globally.
Any company having an import under usance LC can avail of this facility.
AUTO LOANS
The personal car is no longer a luxury. It has become a necessity. Also long gone are the days of one car per family. Now every member of the family needs separate vehicle of his/her own. More often than not you would prefer to use the cash required for buying the vehicle for other purposes, simply because you can get very good returns on those investments. The financing of vehicle purchase is now one of the most common forms of borrowings in the country. The banks can offer you vehicle loan for up to five years tenure and under certain conditions even up to 100% of the cost price of the car.We can ensure that we get you the best deals for your requirement of vehicle loan with maximum possible finance at the minimum possible rates.
LOAN AGAINST SECURITIES
Everybody has his investments. Every man has his needs of money. Many a times you might need funds but are reluctant to let sell your stock portfolio because of expected rise in the market, or cannot encash your debt investment as there is still time to maturity of the same. The banks can come in to help you by providing loan against such approved securities and the only security that is required is the said investments.We can ensure that we get you the best deals for your requirement of loan against securities with the maximum possible finance at the minimum possible rates.