Scheme For Financing Textile Units

Nature of facility

Term Loan/Demand loan, Cash Credit and

Non-Fund based limit ie LC & Bank Guarantees

Export facilities: PC, PCFC, FBP, FBD, PSDL

Limit

Minimum: Rs.25 lacs, Maximum: Rs.50 crores.

Purpose

• Working Capital requirement both Fund Based and Non-Fund Based.
• Financing new project i.e. acquisition / construction of Land and Building and Plant and Machinery (including second hand Plant and Machinery as per guidelines) based on the project cost.

Eligibility

All new/existing units (including taken over from other banks) engaged in textile activity (as recognised by Ministry of Textile, Govt. of India) including Job worker /Traders (including e-commerce traders) under this scheme.

Baroda SME Gold Card: Borrower accounts with ‘Standard’ category for the last 1 year with credit rating BOB-5 can be covered under this scheme.

Constitution of borrower: Proprietorship / Partnership concerns / LLP / Private Limited Co. / Ltd Co. HUF are not eligible.

Method of assessment of working capital limit

As per Bank Guidelines.

Note: Assessment of limit should be independent of TUFS subsidy i.e. while calculating DSCR and Margin, projected TUFS subsidy should be excluded.

Rate of Interest

Starting from BRLLR+SP+0.80%

(Concessions may be allowed based on merit of the case)

Note: For export credit facilities, the ROI to be charged as per extant Guidelines issued by Bank.

Margin

*Book Debts up to age of 120 days may be financed.

Period

• For working capital facilities : 12 Months
• For Term Loan: Maximum 9 years (including moratorium period)