What is Loan?
Loan refers to money that is borrowed from bank that is expected to be paid back with interest. This is done by the banks as a syndicate, using specific debt documents. For SMEs, this is the most encouraging route to any type of credit facility, whether a term loan, working capital facility, bank guarantee or any loan against property.
Why to go for a Business Loan?
No change in existing 100% share
Loan is a good way for a business to get the money it needs to rise while allowing the entrepreneurs to maintain 100% share in an ownership.Howeveras these loans must be backed by collateral of assets, businesses with meager assets would not be able to apply or face challenges in getting quick fund from banks or other lenders.
Our professionals will prepare a project report for your business by converting your unstructured data into presentable information after complete understanding of your needs. Once this is done, you may either opt for our advisory help package (recommended), which means that we will only advise while you comply up with the bank, or for our money-raising service, under which we will have anexperienced vendor assist you at every step of the way.
Various Types of Loan Scheme
A loan scheme can be of various types’different from banks to bank like mudra, stand-up India etc. Banks offer facilities designed to meet the needs of almost any kind of funding requirement, be it working capital funds, capital expenditure, business acquisition, bridge or short-term funding, unsecured lending and so on.
Loan Processing & Packages
Advisory help for Application
- We will advise you on the banks you should approach. This will be based on (i) sector specific; (ii) security availability, (iii) banks positioning, (iv) rate of success, (v) speed of sanctions, (vi) schemes availability and many more. It is important to systematically approach bankers with maximum of five banks. It is this activity that decides the success of the application. We will submit the application and, based on feedback, fine-tune the proposal.
Building the Proposition
- The most crucial step in the process, a tested industry expert will prepare projections and a detailed project report on basis of various documents provided at this point, such as annual reports, income tax returns, bank statements and board resolutions. All the information will be converted into the systematic format understood by the bankers.
- Our professionals will understand your requirements and suggest solutions based on the information provided. If you are interested in going ahead, we will finalize the scope and terms of the work.
Follow-up & In-principal approval
- Constant follow-up with each bank is very important. As every lender has its own set of guidelines to evaluate any given application, each will have a separate set of observations to be resolved. At this stage there will be numerous to and fro between bankers, professionals and clients.
Negotiating Rate of interest & Terms of Sanction Letter
- After primary approval, negotiations with bankers on terms of sanction such as charges (interest rates, renewal charges & loan fees etc.), repayment schedule, renewal criteria, covenants and so on would consider. The sanction letter is received from bank at this point of time.
Signoff & Disbursement
- Before the funds are released, certain documents required like NOCs various stakeholders, drawdown requests, unqualified financial/legal due diligence certificates, compliance with all terms and conditions to the loans. All the documents are vetted out completely by banker and borrower. After that Documents are signed and the funds will be released through account transfer or by creating new account in their bank.
7 WORKING DAYS
Over the first seven days, we will go through your business. Understand business loan requirements such as nature of business, promoters profile, company background, financial reports, loan amount requirement, security available, use of fund etc.
7 WORKING DAYS
After having all the information we need, we will frame the business proposal. Within 7 working days, we will be able to deliver a proposal for a loan that will be professional enough to submit to the bank.
1 Experienced Team
Our founders expertise and tie ups with experienced market advisors are a phone call away, should you have any queries about the progress. But we'll try to ensure that your doubts are cleared before they even begin.