Asset Backed Loan - MSME Loan / SME Loan Scheme | SBI - Business

Features

• Target Group : All Business Units who want to avail loan facility for manufacturing and services activities along with self-employed and professional individuals covered by MSMED Act 2006, wholesale/retail trade.Udyam Registration Certificate (URC) shall be mandatorily obtained by the operating functionaries in case of MSME units. Non-MSME units may also be financed under this product..
• Facilities Available : Drop-line Overdraft facility OR Cash Credit
• Quantum of Loan :
  • Minimum loan amount: > Rs 10 lakhs.
  • Maximum loan amount: Rs. 20 Cr.[Loan amount up to Rs.50 Cr may be permitted on a case-to-case basis]
• Pricing :
  • Attractive Interest rates based on rating of the Borrower/ External Rating or as per Scheme Specific Rating (if applicable) or as per extant guidelines of the Bank. EBR (Linked to Repo Rate and Currently EBR is Repo Rate + 2.65%) linked (for MSMEs) & 6 months MCLR linked (for Non-MSMEs)
• Borrower’s Margin / Contribution : 25%
• Repayment Period:
  • Drop-line Overdraft Limit:
    • 12 months to 240 months with either equated reduction in limit or customized reduction in limit, depending upon the cash accruals.
    • Max Moratorium period-18 months based on activity. Interest to be serviced monthly during the moratorium period.
  • Cash Credit: On Demand.
• Processing Fee/ Upfront Fee :
  • For Dropline OD: Upfront/ processing fee of 1% of the limits will be collected at the time of sanction subject to a maximum of Rs.10 lakhs. If the DP is restored to original limit or enhanced at the time of annual review, upfront/ processing fee of 1% on the restituted amount will be collected.
  • For Cash Credit: Once in a year. (Up to 0.65% of the loan amount)
• Other Charges: As per Bank Guidelines which will be appraised to the borrower before sanction of loans.
• Special Feature
  • LTV: 60% of the realizable value of the immovable property.
  • Immovable property (compliant under SARFAESI Act) belonging to the unit, its proprietor/partners/ directors or their near relatives.