In case you’re a small or medium-sized business that’s finding it challenging to attract investors, the CGTMSE is tailor-made for you. This scheme was launched by The Ministry of Micro, Small and Medium Enterprises, Government of India, and the Small Industries Development Bank of India (SIDBI). CGTMSE is a method to encourage existing and budding entrepreneurs to opt for collateral-free loans in order to invest in their business, without the worry of defaulting.
Key features include:
- Loan Amount:
You can get a loan amount up to Rs. 2 Crore.
- Leading banks are the lenders:
We have the best Nationalized and Co-Operative banks as the lenders.
- Moratorium period:
You will be granted a moratorium period up to 12 months, only after which you can make repayment.
- Include Fund/Non-Fund Based Limits:
Our Project Loan includes both fund-based products like cash credit, packing credit, short-term loans payable on demand, inland/export bills discounting, export and import financing, etc.Non-fund based products like bank guarantees and documentary credit.
- Current assets to be pledged:
When you apply for CGTMSE, you need to pledge your current assets.
- Stock and book debts statement to be submitted:
You need to submit your stock and debtors statements every month.
- Project report/ CMA data required:
To avail this scheme, you need to submit a project report for the loan or CMA data covering the profile of your business.
- No collateral or security required:
There’s no requirement to pledge any collateral or security, such as shares, gold, or property.