Our Services Services

Term loan facility is provided by the Bank to various Business entities in order to carry out the capital expenditure. The various types of Capital Expenditure include plant erecting, capital expenditure, new industrial undertaking and acquisition of movable assets.

Term Loan Financing Is Ideal For Privately Held Midsize Businesses Engaging In Following Scenario:

• Management and financial buyouts (when the company’s management buys the assets and operations of the business they manage)
• Rapid growth in business that makes traditional bank financing insufficient and leaves you with the requirement of more finance
• Turnarounds and milestones that requires the optimum use of the balance

Keeping up with all the above details and experience in this field our company is engaged in providing Term Loan Financing. We help our clients and organizations to approach the best and safe practices for development.

Different Types Of Term Loan Financing Service That Our Company Is Providing To Our Esteemed Clients Are As Follows:

• LONG TERM: they usually mature in 7 year but it takes longer for real estate or equipment loan. These loans are used for the major business expenses and are also used to carry a business through a depressed cycle.
• INTERMEDIATE TERM: these term loans helps in financing the purchase of furniture, fixtures and other office equipment. Their maturity generally runs for more than a year but is less than five years. Consumer loans fall in this category.
• SHORT TERM: these loans are typically the lines of credit, receivable loans etc that usually matures within one year or less. It is an option for any established firm that has strong support and patronage.

Other Important Terms In Term Loan Financing Are:

• SECURITY: rightful claiming of fixed assets financed and a full credit analysis on the person applicable for loan including detailed review of financial statements for fraud safety.
• COLLATERAL: At least 50% of the loan amount in the form of fixed Property, this will be the primary source for returning the taken loan and one should always expect the bank to want this source to be greater than the amount paid by the bank.
• RATE OF INTEREST: Bank interest rates vary under the influence of conditions and rules present at the time of taking the loan which can vary from high to low and vice versa as per bank’s obligations.

In today’s fast growing and developing era of industries, it has now become hard for an industry/organization to survive without sufficient Working Capital. It provides maximum flexibility to an organization for better development. For at least once every Corporate/Firm/Entity requires working capital finance to meet the entire range of short-term fund requirements that helps the company in the following:

• Financing inventories for nonstop production
• Managing internal cash flow in the organization
• Supporting the distribution of company’s products by providing funds to the supply chains
• To carry out funding production and marketing operations
• Providing cash support to business expansion and carrying current assets.

To keep your business running effectively our company is actively engaged in providing our valued customers with a better working capital financing service. Our expert’s team is always indulged in designing the optimum solutions and support, which we provide to our customer through our service for better expansion and rise of the business.

Our Service Is Designed To Ease The Liquidity Position Of Our Client By Providing Him With The Following Options Of:

• Cash Credit/Overdraft
• Term Loan (TL)
• Letter of Credit (LC)
• Bank Guarantee (BG)
• Packing Credit (PC)
• Bill Discounting etc

Working Capital Finance Keypoints:

• BANKERS: Any nationalize Bank like State Bank of India, Central Bank of India, Corporation Bank, Bank of India Etc, can provide working capital finance.
• SECURITY: Collateral Security is required in the form of immovable property except land otherwise it should be ranging from 50 to 100% depending upon nature of business.
• RATE OF INTEREST: varies as per the bank’s interest rates.

MARGIN: Depending Upon The Following Mentioned Rates:

• 40-50 % In case of Book Debts
• 25 % In case of Cash Credit
• 25 % In case of Letter of Credit / Bank Guarantee
• 10- 15 % In case of Factoring

Factoring is described as a financial transaction that is done to plays as a funding process to fund the business using its account receivable. Companies which are having low capitol reserves usually gets into cash flow problems because of the invoices paid on trade credit terms. Factoring solutions helps an organization to fund slow paying invoices that helps in improving the cash flow of the organization.

Types Of Factoring:

• Recourse Factoring: in this type of factoring the receivables are sold to the factor with an understanding that all credit risk will be bound by the firm.
• Non-recourse factoring: everything is the same as recourse factoring but credit risk in this case will be bound by the factors.
• Maturity Factoring: in this factor does not make any advance payments whereas he pays on the guaranteed payment date or after collecting from debtors.
• Invoice Factoring: it is simply a discounting process; it is used to improve a company’s working capital and cash flow.

Factoring’s exposition still includes the financial task of raising funds to smaller emerging firm who sell to larger creditworthy organizations. Our company is therefore working with the highly trained professionals who are experienced and have the key to optimum solutions for factoring service without any risks. Keeping in mind the important role of factoring our service is delivered and executed on time.

Advantages Of Our Factoring Service:

• This is an off-balance sheet financing process which helps in supporting the business
• It helps in the reduction of current liabilities and associated assets
• Intricately designed to provide more time for planning and production
• Helps in the reduction of cost and expenses
• We are always using our learning and working with new strategies to ensure the availability of best support solutions
• Advice from us is intensely personalized and we work with our clients on a daily basis for better outcome

SBLC is known as the stand by letter of credit that comes into play when two parties enter into the contract calling for one party to arrange letter of credit in favor of the other. LC and SBLC letters are both used to ensure the financial safety between the international traders that is the sellers and buyers. SBLC is a credible term, it’s only important when investors are foreign clients since the SBLC is the only way to Assign a trader as temporary beneficiary.

Parties To SBLC:

• THE APPLICANT: This is the customer who applies for SBLC by providing the collateral to the bank and also pays a fee for issuing the instrument.
• THE ISSUING BANK: this is applicant’s bank that issues SBLC.
• THE BENEFICIARY: this is the party in whose favor the instrument is issued.
• CONFIRMING BANK: it is usually located near the beneficiary that agrees to pay the beneficiary rather than have the issuing bank pay the beneficiary.
• ADVISING BANK: this bank represents the beneficiary. It may accept the LC on beneficiary’s behalf.

To protect our clients from the fraudulent our company offers our service to encourage the development and to enhance the productivity of your business by delivering financing against SBLC. At the main stream of our service we are providing soft loans, mortgage loans etc to support our customers. We are capable of providing all kinds of banking instruments as we are one of the top position organizations in delivering this service. Our service includes:

• Benchmarking high performance against your rival institutions
• Analysis for policy formation and for optimizing your development percentage
• Trained experts and senior leaders are always available on call for better service
• Preparing the whole year’s bank statements
• Legal documentation with the banks