NBFC Credit Operations
Short/Medium Term Corporate Lending
IFCI Venture also provides Short/medium term Lending to entrepreneurs and corporates, to facilitate business growth across industries. Lending is governed as per guiding principles laid down by a Board approved Lending Policy with the objective of maintaining good asset quality and growth in operational income, besides balancing the risk-return trade off, with a diversified asset portfolio. There is a structured Governance Framework to implement the same. Lending exposure to different business segments and corporate/groups are being undertaken by IFCI Venture, in line with policy and regulatory requirements, guidelines & norms prescribed by RBI, macro-economic environment, market conditions, etc.
- Loan amount – Upto Rs. 10 Crore.
- Tenure - up to 4 years (5 years for minimum A Rated companies)
- Rate of Interest - 12.95 -14.00 % p.a.
- Upfront Fee – Upto 1.00 % (upfront).
Principles guiding eligibility(Indicative)
- Profitability track record, Net worth position, Debt service coverage ratio
- Credit Rating
- Adequate cash flows
- Adequate Security cover
- Exclusive/First/pari-passu charge basis on the assets of the company financed through lending/any other charge on the assets of the company as negotiated with the borrower.
- Pledge of listed free shares in Demat Form
- Personal Guarantee of Promoter(s) /Corporate Guarantor(s)
- ECS mandate with regard to Principal and Interest repayments.
The acceptance of eligibility for funding and sanction is at the sole and absolute discretion of IFCI Venture.