Small business and MSME enterprises can obtain collateral free loan from banks under various schemes promoted by the Government to boost Entrepreneurship and small businesses in India. Some the popular collateral free loan schemes offered by the Government are the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE Scheme) and MUDRA loan scheme. Under the CGTMSE scheme, loan of upto Rs.1 crore is provided for Enterpreneurs without any collateral security. Under the MUDRA loan scheme loan of upto Rs.10 lakhs is provided for setting up and operating of micro and small enterprises in the manufacturing, processing, trading and service sector.
Purminder Kaur & Associates is the largest business services platform in India, offering a variety of services like collateral free loan syndication, CMA report preparation, company incorporation, trademark registration, GST registration, income tax filing and more. Purminder Kaur & Associates can help you obtain collateral free loan for your business. Get a free consultation for obtaining collateral free loan through Purminder Kaur & Associates by scheduling an appointment with an Purminder Kaur & Associates Advisor.
Different Types of Bank Loan Facilities
Term loan is sanctioned by Banks for purchase of fixed assets like land, building, equipment and other types of assets. Repayment is fixed over a period of 5 years with EMI payments or bullet payments.
Working capital loan is sanctioned by Banks for working capital purposes like holding of inventory, receivables and build-up of other current assets in a business. Working capital facilities are renewable every year.
Bank guarantee is a promise from a bank that the liabilities of a party will be met by the Bank in the event that the party fails to fulfill contractual obligations. Bank guarantees are typically requested while executing large projects.
Letter of Credit
Letter of credit is a type of facility from a Bank guaranteeing a buyer’s payment to a seller, in the event that the buyer is unable to make payment on the purchase as per terms of the transaction.
Mortgage loans are loans that are backed by real property by putting a lien on the property being mortgaged. The funds generated from a mortgage loan can be used by the business for any purpose.
How we help with collateral free loan
Prior to preparing the Detailed Project Report and CMA data, our Financial Experts will work with you to understand your business, proposed plans and capital requirement.
Based on our understanding of your Business and the information collected, our Financial Experts will prepare a Detailed Project Report for your business.
Once the Detailed Project Report is prepared, we will help submit the same to Banks and help you with the process until the capital is syndicated.