Term Loan Syndication


Bank Loan Syndication is the process of formulating a credit request, preparing a detailed project report along with the necessary documents, submitting the requests to banks or financial institutions and obtaining sanction & disbursement of credit facilities.
There are many types of credit facilities and it is important for the Entrepreneur to choose the right one for his/her business, in consultation with a Financial Expert. Some of the types of Bank Loans available are Term Loans, Cash Credit Facility, Letter of Credit Facility, Corporate Loan, Loan against Property, Loan against Shares, Bank Guarantee, etc.,
Yes, the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) Scheme provides a way for Entrepreneurs to obtain a bank loan of upto Rs.1 Crore without any collateral security. However, to obtain sanction under the CGTMSE Scheme, the Entrepreneur must have excellent track record and very good credit worthiness.
Obtaining sanction of bank loan depends on many factors like the promoters profile, business model, past and projected financial performance, collateral security provided, etc., Banks do not lend only based on the business idea; the decision to sanction a loan is based on the factors listed above. Therefore, each case is unique and only a Financial Expert with experience in bank loan syndication can predict the outcome of a request for credit facility based on the information about your business. Talk to us today to see if you would be eligible for bank credit facilities.
Some of the main factors that determine the credit eligibility of a business are Promoters background, business model, operational performance, infrastructure, location, collateral security offered, present financial Performance, future financial performance, credit repayment track record, external credit rating, etc., The credit decision is based on a composite of the above factors.

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