1. How many products are being offered by SMBL SME Division?
Presently, we are offering all generic products.
2. What are these Products?
- Running Finance/Overdraft Facility
- Lease Finance/Term Finance Facility
- Cash Finance Facility
- Trade Finances
- Letter of Credit (L/C-Sight, L/C-Usance)
- Letter of Guarantee
3. What is tenure of these Products?
- Running Finance- One Year on Revolving Basis
- Lease Finance-3 to 5 Years
- Cash Finance-One Year on Revolving Basis
- Term Finance-One Year on Revolving Basis
- Letter of Credit-One Year on Revolving Basis/Single Transaction Basis
- Letter of Guarantee-Specific/Indefinite Period
4. What is the purpose of these Products?
Fund & Non Fund Based Facilities:
- For Working Capital Financing
- For Fixed Asset Financing
- For Trade Financing etc
- Performance Bond/ Bid Bond/ Advance Payment Guarantees
5. What amount of financing can be availed?
- Small Enterprises (SE) – up to Rs.25 Million.
- Medium Enterprises (ME) – up to Rs. 200 Million.
6. What type of securities are required by the Bank?
- Any residential/commercial/industrial property, but not of remote area
- Government Securities like Defence/Saving Certificates
- Lien on Foreign/Local Currency Account
- Corporate /Counter Guarantee
- Pledge of Stocks
- Personal Guarantees of Sponsor/Mortgagors/Others along with other securities
7. Is premature termination of facility allowed?
For information on penalties please refer to SMBL’s Schedule of charges.