|Punjab National Bank
|WORKING CAPITAL: To meet the working capital requirement (including Pre and Post Shipment credit).
TERM LOAN: For acquiring fixed assets like land & factory building, plant and machinery by new enterprises. In case of existing units, for expanding factory accommodation, renovating and modernizing the existing factory with a view to improve the quality or reducing production cost, creating additional infrastructure facilities, like setting up of Research & Development Centres / Testing Laboratories, purchase of vehicle (other than the vehicles meant for personal use) which are required to meet production and marketing needs of the unit etc.
|Individuals / Partnership / Limited Liability Partnership (LLP) / Pvt. Ltd. Co. / Public Ltd. Co/Trust/ Societies & Cooperative Societies (registered and incorporated under applicable law) and are eligible to be categorized as MSME(s) as defined in the MSMED Act 2006.
MSME enterprises having GST Registration No. (wherever applicable) & Udyog Aadhar Number (desirable).
|Rate of Interest & Repayment
|As per ROI applicable for MSME Loans
Repayment period shall be maximum of 7 years for Term Loan (including moratorium period)
|Advance shall be covered by collaterals covering at least 30% of the exposure (FB+NFB).
The extent of cash margin (in case of Non fund based limit) over and above 15% shall be considered for the computation of collateral coverage.
If the Primary Security is in the shape of Land & Building, residual value over and above 135% of the Term Loan O/s shall be treated as collateral security.
Where collateral security is not available, facility should be covered under Credit Guarantee Schemes
|Composite /loan Limit