A Bouquet of SBI Products for SME 1 Our initiatives to support you - - PowerPoint PPT Presentation

A Bouquet of SBI Products for SME

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Dedicated SME Intensive branches

Relationship Banking Wide Reach

Aligning MSMEs to supply chains

• f corporates

Our initiatives to support you

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Delivery Channel for MSME Customers

• Centralized Processing Cells for quick

turn around time in sanction & disbursal of loans.

• Relationship

Manager (Small Enterprises) providing personalized services to units having credit requirement from Rs 0.50 crores to Rs. 5.00 crores.

• Relationship

Managers (Medium Enterprises) positioned to provide customized products and services to Medium Enterprises having credit requirements above Rs 5.00 cr.

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Classification of Micro, Small and Medium Enterprises (MSMEs)

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Manufacturing Sector Investment in plant and machinery Micro Enterprises Does not exceed Rs.25 lakhs Small Enterprises > Rs.25 lakhs but does not exceed Rs.5 crores Medium Enterprises > Rs.5 crores but does not exceed Rs.10 crores

Classification of Micro, Small and Medium Enterprises (MSMEs) – Contd..

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Service Sector Investment in equipment Micro Enterprises Does not exceed Rs.10 lakhs Small Enterprises > Rs.10 lakhs but does not exceed Rs.2 crores Medium Enterprises > Rs.2 crores but does not exceed Rs.5crores

SME Loan Products

• LOAN under PMMY (MUDRA) & Stand Up India
• ASSET BACKED LOAN
• ASSET BACKED LOAN FOR COMMERCIAL REAL

ESTATE

• SBI OPEN TERM LOAN
• SME COLLATERAL FREE LOAN UNDER CGTMSE
• SME ASSIST – GST RECEIVABLES
• STANDBY LINE OF CREDIT
• SIMPLIFIED CASH CREDIT

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SME Loan Products – Contd..

• FINANCING TO AGRO BASED AND FOOD

PROCESSING INDUSTRIES

• STREE SHAKTHI SCHEME
• SBI SHOPPE

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CGTMSE (Collateral free loan)

Eligibility

New and existing Micro and Small enterprises in manufacturing as well as Services sector [barring retail trading units, educational institutes, SHG]

Loan amount

Max.Rs.2 Crore (Fund+Non fund based ) to a single borrower

Collateral

No Collateral Security including Third Party Guarantee.

Primary security

Assets created out of Bank Finance and existing assets

• f the unit.

Assessment

WC – Manufacture / services >- 31.25% of Proj. T/O is reckoned as WCG. 25 is loan component and 6.25 is margin TL - 75% of Project Cost

Repayment

WC on demand and TL max.7 yrs including moratorium period of 6 months to 1 year.

Guarantee fee

To be borne by borrower.

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STREE SHAKTI SCHEME

• Finance scheme for women

entrepreneurs who own and are engaged in retail trade, business enterprises, professional and self -employed like doctors, beauty parlour operators etc.

• Loans upto Rs. 20 lacs can be availed with

working capital and term loan facility

• Special concession in margin by 5%
• Interest rate – 4.00% p.a. over MCLR

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ASSET BACKED LOAN

ELIGIBILITY

Existing customers, New, Wholesale and retail traders, professionals, self employed, small business enterprise, manufacturing, services unit etc.

PURPOSE

For build up of current assets and fixed assets needed for business purpose, capacity expansion, modernization, short term working capital including shoring up of NWC, etc.

LOAN AMOUNT

Rs.0.10 Crs to 15Crs. Upto Rs.10 Cr.: 20% of Projected turnover subject to need based assessment or 50% of realizable value of property, whichever is lower.

REPAYMENT

Limits can be sanctioned for period of 12 months to 180 months with either Equated Reduction in limit or customized reduction in limit depending upon the cash flow.

SPECIAL FEATURES

• Competitive Pricing at 2.30% p.a. above MCLR
• No primary security required.
• Free SME Insta Deposit Card and SBI Business Debit Card.
• ABL

for Commercial Real Estate also available [Shopping Complex, Malls, Other Commercial projects, etc]

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Micro Units Development and Refinance Agency (MUDRA)

Beneficiary

Non-farm enterprises in Manufacturing, Trading and Services

Margin

Upto Rs. 50,000 NIL

• Rs. 50,001 – Rs. 10 lacs

10%

Interest Rates

CGFMU covered accounts – MCLR+275 bps 10.75%

Primary Security

Hypothecation of stocks / machinery / movables acquired out of Bank’s finance.

Collateral

No collateral security to be obtained for all loans upto Rs. 10 lacs

Repayment for TL

In 3 - 5 years including a moratorium of upto 6 months Depending on the activity / income generation

Application form

Simplified application forms as formulated by IBA

Assessment

As per scoring model for all loans upto Rs. 10 lacs

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ASSET BACKED LOAN FOR-COMMERCIAL REAL ESTATE

PURPOSE

• Creation/acquisition of real estate such as office buildings, retail

space, residential building, industrial or warehouse space, multiplex, hotels, restaurants, gymnasium, amusement parks, cold storage, education institution etc where the prospect for repayment would generally be lease or rental payment or sale of asset.

ELIGIBILITY

• Existing customers, New units.
• Takeover of existing units will also be considered.

PURPOSE

Working capital and Fixed assets (including pre-operative expenses).

LOAN AMOUNT

• Minimum: Rs 10.00 Lac.
• Maximum: Up to Rs 50.00 Crore.
• Working Capital-20% of Projected turnover and Term Loan- 75% of

Project cost subject to 60% of realizable value of property, whichever is lower.

REPAYMENT

• Limits can be sanctioned for period of 12 months to 96 months with

either Equated Reduction in limit or customized reduction in limit depending upon the cash flow.

• Adequate moratorium period of 18 Months for better project planning.

SPECIAL FEATURES

• Competitive Pricing of 3.05% above MCLR
• No primary security required.
• Free SME Insta Deposit Card and SBI Business Debit Card.

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SBI OPEN TERM LOAN

Nature of Facility

• Pre-approved Term Loan

Target Group

• All

units under Manufacturing sector and Services sector [Hospitals, Hotels, Education Institutions,etc]

• Transport Operators with minimum 25 vehicles

Purpose

• Any genuine commercial purposes in line with

regular business activity of the customer. [Acquisition/ Investment in R&D, Retiring High cost debt of other banks]

Loan Amount

• Manufacturing and Service enterprises

maximum upto Rs 2.50 Cr

• Maximum Rs 1 Crore, for business development

expenditure

Interest

2.95 to 8.00% over MCLR

Validity of Sanction

12 Months from the date of sanction

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SIMPLIFIED CASH CREDIT

• All existing and new customers engaged in

manufacturing activities

Purpose: Working Capital limits – Regular limit, SLC - meet urgent w/c limits ( to be sanctioned along with regular limit) Facility: Cash Credit & SLC (not regular limit)

Eligiblility: The borrower / unit should be in existence / operations atleast for last 3 years (If new connection). CRA: SB-9 and better ECR: BB & better FBWC limits will be assessed on the basis of actual peak inventory plus receivables levels for the previous 12 months SLC – 15% of Cash Credit Limits

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SIMPLIFIED CASH CREDIT CONTD….

• Assessment of the Limit: • The inventory, receivables and bank borrowing arrived on the
• basis of above assessment (amount) will be
• Reflected/incorporated in the Estimated/project CMA data.
• Data in respect of holding level for the last 12 months will be
• certified by The statutory auditor of the unit.
• Loan Amount:

Minimum: Above Rs. 5.00 crores & maximum Rs.20 crores

• In addition, SLC to the extent of Max 15% of CCLimit
• Margin: RM/SIP/FG/RECEIVABLE: Minimum 25%
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SME ASSIST GOODS AND SERVICES TAX (GST)

• Facility : Working Capital Demand loan
• Loan amount : Maximum 20% of the existing Fund based

working Cap Limit or 80% of input tax claim due whichever is low (over and above the ABF)

• The Adhoc WCDL (SME Assist) & existing Working Capital

limits have to be covered by the advance value of stocks and receivables + OS input tax credit claim.

• CA certificate to obtain certifying the amount of pending

input tax for last 3 months

• 3. Eligibility :
• i) CRA rating SB-10/CUE-10 and better.
• ii) Account should be standard.
• iii) Satisfactory conduct of the account

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SME ASSIST - Contd….

• 4. Interest Rate : 1 Year MCLR + 1.75%
• 5. Security : Primary: Hypothecation of stocks and receivables.
• Collateral: Nil
• 6. Repayment : To be repaid in next 6 months after initial moratorium of 3 months:
• a) Initial 3 months moratorium period.
• b) The ad-hoc amount shall be repaid either in one bullet payment or in 6 equated

monthly instalments in next 6 months after moratorium period is over.

• c) DP to reduce in line with EMI instalments every month after moratorium
• period is over.
• d) Interest to be serviced every month.
• e) Input claims of exporters have to be escrowed to our Bank account.
• 7. Processing Fee : Flat Rs. 2000
• 8. Validity of Product : The product is valid till 31.03.2018.

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STAND UP INDIA (SUI)

Target Group SC/ST and Women Entrepreneurs Purpose Setting up Greenfield Projects under Manufacturing, Trading or services sector Loan quantum > Rs. 10 lacs to Rs.1 crore Margin 25% Interest Rates >Rs.10 to 1 Crs –MCLR+3% (10.95%) (MCLR for 1 year reset) Repayment for TL Maximum 7 years Primary Security Hypothecation of stocks / machinery / movables acquired of Bank finance Collateral Credit Guarantee from National Credit Guarantee Trust Co (NCGTC) Apply through SUI portal www.standupmitra.in.

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Electronic Dealer Financing scheme(e-DFS)

• Purpose: To provide finance to authorized

Dealers/Stockist/ Distributors recommended by Industry Major

• Eligibility: Dealers of Industry Majors with whom the

e-DFS tie-up is entered with

• Amount of facility: Need based (As per tie-up)
• Margin: Nil (100% funding)
• Security: Primary: 100% hypothecation of stocks

financed and receivables. – Collateral : Minimum 25% or NIL

• Rate of Interest: Lowest Rate of Interest, linked to

Base Rate. Present effective rate ranges from 1.00% and 1.60% over MCLR (with & without collateral).

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Financing of Food Processing and Agro Based Industries

Purpose To finance food processing and agro based industries such as Dall Mill, Cotton Ginning etc. Loan Amount Cash Credit: 20% of sales turnover or as per assessment. Term Loan: Need based on project cost. Repayme nt Cash Credit: Repayable on demand. Term Loan: Repayable EMI

• r

customized repayment in 7 years inclusive

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moratorium. Margin Cash Credit: 25% to 40% Term Loan: 25% Primary Security Cash Credit: Hypothecation of stocks, receivables and other current assets. Term Loan: Hypothecation or mortgage of assets created out of Bank Finance. Collateral Minimum 100% collateral in the form of Mortgage of Land & Building/Liquid Securities/ Any other security acceptable to bank. Rate of Interest Competitive Rate of Interest based on score and collateral

• security. (Ranges between 0.90 – 3.50% above MCLR)

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LIABILITY PRODUCTS & OTHER INITIATIVES

• SME Insta Deposit Card
• SME Business Debit Card
• Corporate Internet Banking
• SME Power Current Accounts
• Point of Sale (POS)

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State Bank SME Insta Deposit Card

• Card for only cash deposit.
• No need to go to SBI Cash Counters for cash

deposits.

• Convenient way of depositing cash in Bank A/cs

through Cash Deposit Machines.

• Can deposit cash in Current A/cs & CC A/cs .
• 3 such accounts can be linked in a Card of the

same Customer.

• Safe as no erroneous credits possible in different

accounts.

• Secured-Personal Identification Number (PIN)

enabled.

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State Bank SME Insta Deposit Card- Advantages

• Can also be used for taking Mini Statements/

Balance Enquiry/ PIN Change.

• You can deposit Maximum of Rs.49,900/- or 200

pieces/ transaction.

• Can be used in Green Channel Counters also
• For you- Lesser waiting time/ No Need to wait at

counters in Branches

• More Useful for traders and service providers
• Need not maintain cash at your own risk during

night time.

• All these are coming at absolutely FREE of Charges
• No charges for issuance of State Bank SME Insta

Deposit Card

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• For Business Current account holders i.e. proprietorships,

partnerships, public limited companies and private limited companies for cash withdrawal and purchases.

• Debit Card will be issued to current accounts in the names of the

authorized signatories, with the name of the company embossed on the Debit Card. These cards can also be issued for jointly operated accounts

Advantages of Business Debit Card

Cash Deposit facility: The customer can use the Business Debit Card to deposit cash in the Cash Deposit Machines.  Cost savings: Helps to keep spending within means, without accumulating unnecessary debt, merchant discounts in relevant spend Control: Helps track and monitor business expenses, limits exposure to loss by theft or robbery. Convenience: Easier than carrying cash, enables automatic bill payment, enables internet, phone and mail

• rder

transactions.

SME Business Debit Cards

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Corporate Internet Banking (CINB)

 Transaction and viewing rights

 Safe and secured : VeriSign certified site  24 * 7  Daily MIS: Invoices, due dates, interest charged  Simplified Application Form  Facility for payment of salary, tax, pre- paid cards top up, bills, remittances to intra and inter bank beneficiaries etc.