Manufacturing & Service Loan

BoB provides timely long term financial assistance for setting up of new manufacturing units & service industries in the sectors of hospitality, entertainment, education, IT, tourism or for expansion of existing units/industries at attractive rate of interest.

QUANTUM

Maximum 75% of the total project cost.

INTEREST RATE

CLICK HERE to view the Floating/Prevailing interest rate.

TENURE

Maximum of 20 years (excluding gestation period of 5 years)

CHECKLIST

1. Application form (new clients)/Application letter (existing clients) duly filled in and signed on all the pages (Full Signature).
2. Copy of valid Citizenship Identity (CID) of both the applicant and the guarantor as applicable (General)
3. Acknowledged copy of BoBL’s Term sheet
4. One recent Pass Port size photograph of the applicant/optional for corporate/existing client(general)
5. Detail project report – the report should include the following information
   A. The proper description of the project/business
   B. Proper project cost break up
   C. Details of Promoter (Proposed Shareholding of the business)
   D. Details of Consultants /FDI(if any)-
   E. Location details of the project – Pictures to be emailed
   F. Financial & Investment details (Means of Financing the project)
   i. Debt Equity Ratio
   G. Loan Security and Project Viability
   H. Total numbers of rooms and types of rooms (working days in a month and a year)
   I. Details of Services and product line
   J. Project GANNT chart
   K. Human Resources- Management Analysis
   L. Markets/Industrial Analysis
   i. SWOT Analysis
   ii. Pestle Analysis
   iii. SAM/TAM/TOM
   iv. Critical Success factor
   v. Details of competitors
   M. Impact on Environment
   N. Audited financials for the past 3 years for an existing business.
   O. Financial Details- Proper breakup
   i. Income source analysis (Installed Capacity)
   ii. Details of expenses
   iii. Power cost analysis
   iv. Administration, selling, and other fixed expenses
   v. Depreciation schedule
   vi. Interest on Loans
   vii. Preliminary & Pre-operative expenses
   viii. Financial statements for proposed loan tenure (profit & loss a/c, cash flow statements, balance sheet & changes in equity statement)
   ix. DSCR
   x. BEP analysis
   xi. IRR
   xii. NPV analysis
   xiii. Pay-Back period
   xiv. Interest During Construction /Interest Provisioning
   xv. Term loan payments and periodic interest schedules
   xvi. Working capital loan payments and periodic interest payments schedules
   xvii. Working Capital requirement
6. Credit policy
7. Valid Trade License
8. Certificate of Incorporation
9. Articles of incorporation
10. Endorsed FDI agreement by ROC
11. Work permit/ copy of residence permit(non-citizen)
12. Bank statement of latest 6 months/ statement of foreign currency account if any
13. Project Approval letter from TCB /DOI/concerned Authority
14. Construction approval letter from Concerned authority and Approved drawing
15. NEC Clearance Certificate
16. Tax Clearance if applicable
17. Details of loans with other FIs if any
18. Letter from BPC for Power Supply
19. Technical clearance from TCB of the drawings for the construction
20. Estimates for Civil Works/Quotations for machinery & miscellaneous fixed Assets- proper break up along with quotations/invoices
21. Ownership Certificate of the land/lease agreement etc.
22. Technical Collaboration Agreement/Technical Know-How Agreement.
23. Letter assuring release of foreign exchange from Ministry of Trade and Industry in cases involving import of machinery/raw material/vehicles.
24. Insurance Details
25. Copy of Lagthram (Provisional if original Lagthram is not there)
26. Board Resolution/ Power of Attorney
27. Sovereign guarantee / any guarantee, the letter from the concerned authority to be submitted.