VIKAS ANNAPOORNAFOR FINANCING HOTEL/RESTAURANT ENTREPRENEURS

VIKAS ANNAPOORNAFOR FINANCING HOTEL/RESTAURANT ENTREPRENEURS

Eligibility a. Unit shall be Micro Service Enterprises
b. Existing units seeking finance for expansion is also eligible.
c. Units having valid license to conduct hotel business by Municipal/ Local Administration.
d. Units in Own premises/units in leased premises with registered / un-registered un-expired lease covering the repayment period.
Purpose Term Loan-
a. To set up a unit/business of Hotels/Restaurants and Lodges /Fast Food centres/motels (Dhaba)/Bakeries/High Way Inns / Pizza Centres (Franchises)/ Mess/Canteen/Catering Service/Service Apartment – enterprises qualifying under Micro, Small and Medium Enterprises
b. To Upgrade/Renovate/Expand existing units by purchase of Furniture and Fixtures/ Machineries/Equipment’s/Vehicles etc

Overdraft:
To meet working capital requirements for existing or new units

Loan Amount Maximum of Rs 10.00 lakh
Margin 20%
Interest Rate At present upto Rs.5.00 lakh 11.50%, Above Rs.5.00 lakh 12% subject to change from time to time as applicable to MSME loans.
Security (For loans not covered under CGTMSE) a. Hypothecation of stock & Mortgage of assets as Primary Security AND
b. For Loans above Rs.0.50 lakh &upto Rs.2.00 lakh: Collateral security by way of Mortgage / charge of Non Agricultural property / NSC/KVP, Deposits LIC policies / Vehicles: Valued not less than 25% of loan amount (in addition to the Hypothecation of stocks / Mortgage of Assets as mentioned in”a” above).
c. For Loans above Rs.2.00 lakh &upto Rs.10.00 lakh: Collateral security by way of Mortgage / Charge of Non Agricultural property / NSC/KVP, Deposits LIC policies / Vehicles: Valued not less than 50% of loan amount (in addition to the Hypothecation of stocks / Mortgage of Assets as mentioned in “a” above).
Co-obligant/Surety third party Guarantee acceptable to the Bank(For loans not covered under CGTMSE
Repayment Term Loan: Maximum repayment period of 7 years including repayment holiday/ moratorium period. Moratorium period upto a maximum of 12 months can be given in eligible cases


Over Draft: To be renewed annually and interest to be serviced monthly