Short Term Financial Assistance To Good Borrowers

About This Scheme

The scheme “Short Term Financial Assistance To Good Borrowers” was launched by the Pondicherry Industrial Promotion Development and Investment Corporation Limited (PIPDIC), Department of Industries & Commerce, Puducherry. The scheme aims to meet short term financial requirements, such as fund needs for executing specific orders, addressing seasonal increases in fund requirements, or fulfilling firm export orders. The scheme provides financial assistance ranging from a minimum of ₹5,00,000/- to a maximum of ₹50,00,000/-. The applicant must be an existing Medium Scale Industry or Small Scale Industry unit classified as ‘A’ or ‘B’ Category, or an existing Good Borrower who has repaid 30% of the Principal amount. The scheme is implemented by PIPDIC. The applications for this scheme are accepted online.

Eligibility

- Existing units of MSI and SSI classified as A and B Category. - Existing Good Borrowers who have repaid 30% of the Principal amount. Units assisted by other financial institutions / Banks. Group concerns of the Clients of the Corporation, with an excellent track record of 4 years and operating on Profitable lines.

Benefits

- The minimum loan limit available is ₹5,00,000/-. - The maximum loan limit available is ₹50,00,000/-. - The intended use of the funds is to meet short term financial requirements. This includes meeting the requirements of executing specific orders, seasonal increase in fund requirements, and firm export orders. ##### *Disbursement* 100% of the loan amount shall be released immediately after completion of documentation and fulfilling the other norms of the Corporation. ##### *Conditions* - _The loan repayment period for amounts up to ₹10,00,000/- is 12 months._ - _The loan repayment period for amounts above ₹10,00,000/- up to ₹25,00,000/- is 18 months._ - _The loan repayment period for amounts above ₹25,00,000/- up to ₹50,00,000/- is 24 months._ - _The applicant must offer collateral security for a value of 150% of the term loan._ - _If the applicant is a non-assisted unit, the quantum of loan will be decided based on the merits of the individual case and the security offered._

How to Apply

Where This Comes From

This scheme was sourced from myScheme, the Government of India's official Central+State scheme discovery portal, and reviewed by an editor before publishing. Use the button above to read the full details and apply directly on the official source.