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SSIs Service sector units with project cost upto Rs.25 crore New or existing SSI units. SSI unit graduating to medium scale, and Service sector units with an overall project cost not exceeding Rs.25 crore.
Medium Sector Enterprises (MSE) and Service sector units with project cost above Rs.25 crore and upto Rs.250 crore. New or existing enterprises, & medium sector
Eligibile Borrowers
Service sector units with an overall project cost above Rs.25 crore and upto Rs.250 crore with Bank's assistance not exceeding 50 crore.
Constitution
The unit should generally be a The unit should generally be a private limited / private limited / public limited public limited company company. However, partnership firms, sole proprietorship concerns and Societies and Trusts would also be considered on a case to case basis. Term loan and other forms of assistance such as Working Capital Term Loan and bills discounting (on selective basis). In Rupee or foreign currency Term loan and other forms of assistance such as Working Capital Term Loan, suppliers bills discounting. Investment products such as debentures, optionally convertible cumulative preference shares, zero coupon bonds, etc. In Rupee or foreign currency
Nature of assistance
Currency of loan
Purpose
Eligible Borrowers Potentially viable MSE units including units in cottage and village industries and in tiny sector, conforming to definition of sick MSE unit as prescribed in guidelines of Reserve Bank of India. The assistance is meant for sick MSE units for which proper rehabilitation packages have been drawn up. Units eligible for rehabilitation assistance should be capable of being restored to normal health within a reasonable time.
EXISTING
DIRECT CREDIT SCHEMES
1. SSIs 2. Service sector units with project cost upto Rs.25 crore 1.Medium Sector Enterprises (MSE) and 2.Service sector units with project cost above Rs.25 crore and upto Rs.250 crore.
Eligibile Borrowers
I] New or existing SSI units. ii] SSI unit graduating to medium scale, and iii] Service sector units with an overall project cost not exceeding Rs.25 crore.
i] New or existing medium sector enterprises, and ii] Service sector units with an overall project cost above Rs.25 crore and upto Rs.250 crore with Bank's assistance not exceeding Rs. 50 crore.
Constitution
The unit should generally be a private limited / public limited company. However, partnership firms, sole The unit should generally be a private proprietorship concerns and Societies limited / public limited company and Trusts would also be considered on a case to case basis. Term loan and other forms of assistance such as Working Capital Term Loan, suppliers' & purchasers' bills discounting. Investment products such as debentures, optionally convertible cumulative preference shares, zero coupon bonds, etc. In Rupee or foreign currency
Nature of assistance
Term loan and other forms of assistance such as Working Capital Term Loan and bills discounting (on selective basis).
Currency of loan
Setting up of a new SSI unit/ service sector unit. Expansion / Diversification/ modernisation/ technology upgradation/ quality certification. Any other activity considered relevant to the project. For undertaking various marketing related activities Acquisition of additional machinery / equipment Meeting working capital requirements including gap
Setting up of a new MSE unit/ service sector unit. Expansion / Diversification/ modernisation/ technology upgradation/ quality certification. Any other activity considered relevant to the project. For undertaking various marketing related activities. Acquisition of additional machinery / equipment.
in MPBF or margin on selective basis. Any other activity as per guidelines (having linkages and benefits accruing to SSI sector from the proposed assistance). All activities covered under erstwhile marketing assistance scheme for SSIs.
Meeting working capital requirements including gap in MPBF or margin on selective basis. Any other activity as per guidelines (having linkages and benefits accruing to MSE sector from the proposed assistance). All activities covered under erstwhile marketing assistance scheme for SSIs.
Generally Rs.50 lakh for setting up new unit and Rs.25 lakh for other purposes. In respect of well run existing SSI units, the minimum loan could be Rs. 10 lakh.
Generally Rs.100 lakh for setting up new unit and Rs.50 lakh for other purposes.
Rate of interest
Desirable Norms and parameters Debt Equity Ratio Generally not exceeding 2:1 for the company as a whole. Generally not exceeding 2:1 for the company as a whole. New projects - 33%, lower contribution [upto 25%] could be accepted in respect of existing well performing companies. Others 25% (minimum) Minimum 6 months to maximum 810 years for term loan (including moratorium of not exceeding up to 18 months). Upto 1% of the term loan sanctioned at the time of issue of LoI.
New projects - 33%, lower Minimum Promoter's contribution [upto 25%] could be contribution accepted in respect of existing well (wherever performing companies / firms. applicable) Others - 25% (minimum) Minimum 6 months to maximum 810 years for term loan (including Period of loan / limit moratorium of not exceeding 18 months). Upfront fee [non refundable] 1% of the term loan sanctioned at the time of issue of LoI.
To enable manufacturers - sellers in SSI sector / service sector including construction / selling agents to offer deferred payment terms for credit sales and realise sale proceeds by discounting bills of exchange / promissory notes arising out of such sales. Eligibile Borrowers Limits are sanctioned by SIDBI to well established concerns / corporate bodies buying machinery / capital equipment from SSI units. Limits are also sanctioned to well established SSI manufacturers sellers Norms Usance of Bills Minimum transaction value - Rs.1,00,000 Normally 3-5 years
PURPOSE
To meet the expenses on consultancy, documentation, audit, certification fee, equipment and calibrating instruments required for obtaining ISO 9000 certification
Eligible Borrowers Existing industrial concerns in the SSI sector having a good record of past performance and sound financial position. The objective is to promote quality / management systems in SSI units with a view to strengthening their marketing and export capabilities. .
Norms Loan Limit need Debt equity ratio not more than 2:1 for the Repayment - maximum 5 years including an initial moratorium upto 12 months based. borrowing
concern.
WOMEN
Eligible Borrowers
SSI units managed by women entrepreneurs. Marketing related service providers Organisations / units in the corporate / co-operative / NGO sectors which are providing support services like internet, trade related information, advertising, marketing research, warehousing, common testing centres, etc. to enterprises owned and managed by women. Marketing related service providers Organisations / units in the corporate / co-operative / NGO sectors which are providing support services like internet, trade related information, advertising, marketing research, warehousing, common testing centres, etc. to enterprises owned and managed by women.
Consortia Organisations / Associations / Women Groups / Marketing Consortia that have an exclusive marketing mandate and have, as their vendor base, a wide range of small and tiny units owned and managed by women entrepreneurs. While the terms and conditions for sanction of assistance would be flexible, they would essentially depend upon the soundness of the management, track record of performance and viability of future operations.
Development Assistance Besides providing financial assistance as mentioned above, SIDBI could also consider, on a selective basis, developmental assistance by way of soft loans/grants for organising group activities and programmes such as trade fairs, exhibitions, buyer-seller meets, seminars, workshops, training programmes, etc. to promote marketing of products manufactured by women entrepreneurs.
SMALL MEDIUM
Manufacturing Sector
Enterprises Investment in plant & machinery Does not exceed twenty five lakh rupees
Micro
Service Sector
Enterprises Investment in equipments Does not exceed ten lakh rupees:
Micro Enterprises
Small Enterprises Medium Enterprises
More than ten lakh rupees but does not exceed two crore rupees More than two crore rupees but does not exceed five core rupees