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1.Eligible borrowers:-
  1. All MSME Units engaged in manufacturing activity or service activity other than trading units not covered under Union Trade Scheme irrespective of constitution will be eligible under the scheme for working capital and / or term loans.
  2. Credit rating of the borrower should be CR-1/UBI-1 to CR-4/UBI-4 to be considered.
  3. Satisfactory dealing of minimum two years under credit facilities availed from our Bank.
  4. All sanction terms complied with and account should be regular with no overdues in the account
  5. Borrower with Existing Working Capital limit of Rs.0.25Crore and above.
  6. The borrower should be exclusively banking with our bank (except retail loans).
  7. gThe borrower having existing units only to be financed and new projects to be excluded.
2.Purpose of the advance:-

Standby Ad-hoc Working Capital:To meet genuine and immediate urgent credit need (Pre-approved additional Working capital funds) of temporary /contingent nature say
  1. To tide over the liquidity crunch
  2. Bunching of orders/unforeseen seasonal demand
  3. Delay in shipment /realizations of receivables
  4. Sudden increase in cost of raw materials,
  5. Mismatch in cash flows
Standby Term Loan:
- Pre-approved stand-by Loan to fund periodic capital expenditure for existing business say
  1. Purchase of tangible fixed assets like Machinery/equipments/ Tools/ Fixtures/ Consumables etc.
  2. Improvement in Factory layout & design
  3. Expansion and Modernization of Unit
  4. Investment in intangibles like software, acquisition of ISO & other similar certification, visiting abroad for acquiring technology, finalizing business deals, participation in exhibition / fairs for market promotions and R&D activities of the units with overall business development objective.
3.Quantum of finance:-
  1. Standby Ad-hoc WC / Standby Term Loan: For both facilities put together maximum quantum of finance is Rs. 2.50crores with a cap of 25% of regular WC (FB & NFB) sanctioned limits.
  2. Further, the Term Loan for intangible assets shall not exceed 20% of eligible limit under the scheme subject to maximum Rs.0.50Crores.

             Working Capital: 25%
             Term Loan: 25%
5.Rate of Interest / Commission:-

Standby Ad-hoc FB Working Capital: 1% over applicable rate as per credit rating.

Standby Ad-hoc NFB Working Capital: As applicable.

Stand-by Term Loan: Applicable rate as per Credit Rating.


- Working Capital - Limit outstanding / disbursed should be an adhoc facility and adjusted within a maximum period of three months. (A running account facility)

- Term Loan- TL repayment to be maximum 60 months inclusive of moratorium period not exceeding 6 months in monthly / quarterly installments as per assessment. Interest is to be paid as and when due

7.SME Plus Gold Card:-  

  1. Additional Eligibility Criteria:
  2. - Satisfactory profitability in past three years.
    - Compliance of benchmark Current ratio and TOL/TNW ratio
    - No audit observation pending for compliance

  3. Features of SME Plus Gold Card::
  4. - Standby Ad-hoc Working Capital at same rate of interest as regular Working Capital limit.
    - Standby Ad-hoc Working Capital limit can be availed as regular enhancement of working capital limit upto next renewal.