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Old January 2nd, 2018, 12:35 PM
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Join Date: May 2011
Default Re: Working Capital Loan IDBI

IDBI Bank provides Working Capital facility to the industry to finance day-to-day requirement.

The working capital funds are generally required for purchase of raw materials, stores, fuel, for payment of labour, power charges, for storing finished goods till they are sold out & for financing the sales by way of sundry debtors / receivables. Cash Credit facility is granted to the customers to bridge working capital gap.

Cash Credit (CC) is granted against hypothecation of stock such as raw materials, work-in-process, finished goods and stock-in-trade, including stores and spares.

CC is granted by way of a running account, drawings to be regulated within the drawing limit permissible which is arrived at on the basis of composition of current assets and current liability based on the declaration in the stock statement in the prescribed format submitted by the borrower.

SME Smart Line of Credit – IDBI Bank SME Smart Line of Credit-

Availability of timely and adequate credit has always been a matter of concern for the MSME Sector.

MSMEs stand to lose out on emerging business opportunities, due to lack of want of access to credit, when needed.

Keeping that in view, IDBI Bank has introduced this Product in which financial assistance pre-approved composite loan is offered to the MSMEs.

The product details are as mentioned below:

Eligible Segments
All MSME clients as defined by MSMED Act, 2006

Composite loan with the following components
Term Loan
Working Capital (Fund Based and Non-fund Based)

Loan Amount

Maximum : Rs. 500 lakh for corporate borrowers
Maximum : Rs. 250 lakh non-corporate borrowers

Purpose of Advance

Term Loan: For capital expenditure, modernization, expansion, retiring of high-cost debt
Working Capital: To meet working capital requirement


Term Loan: Max 5 years
Cash Credit: Max 12 months

Pricing Linked to Bank Base Rate and Rating


Primary: Hypothecation of assets/ Financed stock/Book Debts
Collateral Security: In the form of immovable property such as residential /commercial, or other liquid security


Personal Guarantee of the borrowers/promoters to be obtained.

Margin Depending upon the nature of the facilities

Processing Charges Upto 1%


Registered Office:
IDBI Bank Ltd.
IDBI Tower, WTC Complex,
Cuffe Parade, Colaba, Mumbai 400005.

Customers can contact our 24 X 7 Phone Banking numbers
from any Landline / Mobile number, our Toll free numbers are as follows:
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