Fund Raising and Loans
(Personal and Business)
u Understanding your project and possible opportunity of finance.
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u Preparing Proposal Letter.
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u Preparation of Detailed Project Report.
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u Preparing Projections and CMA data (if required).
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u Follow up with Banks and Financial Institutions.
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u Assistance in getting in touch with Banks and Financial institutions.
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u Preparing Documentations works post consideration of Initial Proposal.
DEBT FINANCE
When a company borrows money to be paid back at a future date with interest it is also known as debt financing.
u Preparation of the Application for the proposed credit facilities and submission of the same to the lenders and submission of all other information as may be required by the lenders from time to time.
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u Help in negotiating terms & condition of the proposed facilities/loans with the lenders and in loan documentation.
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u Assisting in fulfilling and compliance of various condition precedent stipulated by the lenders and any other lenders for availing the facilities/loans.
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u Assist in preparation of all the papers/documents required for every disbursement of loan by the lenders.
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u Assisting in all the visits made by the lenders’ officers.
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u Cross verifying the Project report and subsequent rectification with appropriate authorities.
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u Preparation of a detailed project report, including researching of the industry conditions in which your firm operates, compiling all the required data, analysing projections and ratios as required by the lenders as part of the CMA data
u CMEGP is an employment-generation programme targeted at the unemployed youth, which is launched by Government of Maharashtra.
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u The main aim of the scheme is to motivate local youth towards self-employment by giving easy and accessible bank finance.
u The scheme will be applicable to manufacturing and service sector.
u The maximum project cost for manufacturing sector would be INR 50 lakhs and for service sector it would be INR 10 lakhs.
u The scheme will be implemented by Khadi & Village Industries Board and Directorate of Industries.
Eligibility
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u Eligible persons aged between 18 to 45 years will be trained and promoted for self-employment.
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u Applicant should be resident of Maharashtra. In case of birth outside Maharashtra, applicant must possess domicile certificate.
u Only one person from the family will be eligible under the scheme.
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u Assistance under the scheme is available only for new projects/ventures.
Government Subsidy
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u General Category
Own contribution : 10%
Subsidy for Urban Area : 15%
Subsidy for Rural Area : 25%
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u Special category (ST/SC/ Women/ Ex-servicemen/ differently abled)
Own Contribution : 5%
Subsidy for Urban Area : 25%
Subsidy for Rural Area : 35%
CGTMSE
Credit Guarantee Fund Trust For Micro & Small Enterprises
u The Credit Guarantee Scheme provides new as well as existing Medium, small and micro enterprises with financial assistance without any third-party guarantee or collateral security.
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u As per the scheme, loans up to Rs.2 crores can be availed. Special preference is given to women entrepreneurs who are eligible for this scheme.
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u The Credit Guarantee offers security to the applicant in the event of loss in the business. If the borrower is unable to pay the dues, the scheme will cover the financial loss incurred due to non-repayment of the loan and cover upto 85% of the loan amount.
Credit Guarantee
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u The guarantee cover available under the scheme is to the extent of 50%/ 75% / 80% & 85% of the sanctioned amount of the credit facility.
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u The extent of guarantee cover is 85% for micro enterprises for credit up to 5 lakhs.
u The extent of guarantee cover is 50% of the sanctioned amount of the credit facility for credit from 10 lakh to 100 lakh per MSE borrower for retail trade activity.
Maximum extent of Guarantee
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u Micro Enterprises
If Credit Facility is Upto 5 lakh : 85% of the amount in default subject to a maximum of 4.25 lakh
If Credit Facility is Above 5 lakh upto 50 lakh : 75% of the amount in default subject to a maximum of 37.50 lakh
If Credit Facility is Above 50 lakh upto 200 lakh : 75% of the amount in default subject to a maximum of 150 lakh
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u Women entrepreneurs/ Units located in North East Region (incl. Sikkim) (other than credit facility upto 5 lakh to micro enterprises)
If Credit Facility is Upto 50 lakh : 80% of the amount in default subject to a maximum of 40 lakh
If Credit Facility is Above 50 lakh upto 200 lakh : 75% of the amount in default subject to a maximum of 150 lakh
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u All Other Category of Borrowers
If Credit Facility is Upto 50 lakh : 75% of the amount in default subject to a maximum of 37.50 lakh
If Credit Facility is Above 50 lakh upto 200 lakh : 75% of the amount in default subject to a maximum of 150 lakh
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u Activity
If Credit Facility is Upto 200 lakh : From 10 lakh upto 100 lakh
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u MSE Retail Trade
If Credit Facility is Upto 200 lakh : 50% of the amount in default subject to a maximum of 50 lakh
Salient Features
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u Eligible Activity : Manufacturing and services including Retail Trade allowed. Educational / Training institutions, SHG and agriculture, are ineligible for coverage.
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u More than 100 MLIs : PSUs, Pvt Banks, RRBs, FIs, Foreight Banks, SFBs, SUCBs and NBFCs.
u 75% - 85% Coverage : Extent of guarantee coverave ranges from 75% to 85%. 50% coverage is for Retail Activity.
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u Interest Rate : Interest rate charged as per RBI guidelines is eligible for coverage under the Scheme.​
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u Micro and Small Enterprises : Credit Facility upto ₹20 lakh can be covered on outstanding basis (for RRBs and select Fls, Credit Facility upto ₹50 lakh is eligible).​