CHARTER FOR MICRO, SMALL & MEDIUM ENTERPRISES [MSME]
Micro, Small and Medium Enterprises
[Manufacturing Sector]:
Enterprises engaged in the manufacture or production, processing or
preservation of goods as specified below:
(i)
A Micro Enterprise [Manufacturing] is an enterprise where investment in
plant & machinery does not exceed Rs.25.00 lacs.
(ii) A Small Enterprise [Manufacturing] is an enterprise where the investment
in plant and machinery is more than Rs.25.00 lacs but does not exceed
Rs.5.00 crores; and.
(iii) A Medium Enterprise [Manufacturing] is an enterprise where the
investment in plant and machinery is more than Rs.5.00 crores but does
not exceed Rs.10.00 crores
[Services Sector]:
Enterprises engaged in providing or rendering of services.
(i)
A Micro Enterprise [Services] is an enterprise where the investment in
equipment does not exceed Rs.10.00 lacs.
(ii) A Small Enterprise [Services] is an enterprise where the investment in
equipment is more than Rs.10.00 lacs but does not exceed Rs.2.00
crores; and
(iii) A Medium Enterprise [Services] is an enterprise where the investment in
equipment is more than Rs.2.00 crores but does not exceed Rs.5.00
crores
Loan Applications:
Simple and customer friendly loan applications with checklist for speedy
sanctions. Acknowledgment is issued on receipt of loan application by the
branches [Applications are available on our website www.sbhyd.com]
Time norms:
Time norms for disposal of loan applications from the date of receipt of
application complete in all respects:
For loans upto Rs.5.00 lacs
Within 2 weeks
For loans above Rs.5.00 lacs
and upto Rs.25.00 lacs
Within 4 weeks
For loans above Rs.25.00 lacs
Within 6 weeks
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Margin requirements:
Upto Rs.25,000
Nil
Above Rs.25,000
15% - 25%
as determined by Bank
Competitive Interest Rates:
For working capital
Upto Rs.50,000/Above Rs.50,000/- upto Rs.2.00 lacs
Above Rs.2 lacs & upto Rs.5 lacs
Above Rs.5 lacs & upto Rs.25 lacs
Above Rs.25.00 lacs [as per credit rating]
SB1 – SB2
SB3 – SB5
SB6 – SB7
SB8 – SB9
SB10 – SB16
:
:
:
:
1.75% below BPLR
1.25% below BPLR
0.50% below BPLR
BPLR
:
:
:
:
:
0.50% below BPLR
BPLR
0.50% above BPLR
1.00% above BPLR
2.00% above BPLR
Term loans are priced 0.50% above working capital rates
Collateral Security:
a.
b.
No Collateral Security for Micro & Small Enterprises for loans upto Rs.5.00
lacs, provided the loan is eligible / covered under Credit Guarantee Scheme
of CGTMSE.
Collateral security may be waived for Micro & Small Enterprises for loans
over Rs.5.00 lacs and upto Rs.50.00 lacs based on good track record and
financial position of the unit provided the loan is eligible / covered under
Credit Guarantee Scheme of CGTMSE.
Working Capital Limit:
Minimum 20% of projected annual sales turnover upto limits of Rs.500 lacs
[i.e. 20% of projected turnover] and Projected balance sheet method for limits
above Rs.500 lacs for MSME units.
Adhoc Limit Facility:
10% of the limit or Rs.10 lacs whichever is lower to meet the contingencies.
Renewal of Working Capital Account:
Once in 2 years. Need based enhancements will be considered as and when
required.
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Stock statements:
To be submitted at quarterly intervals.
Simplified and Hassle Free Loan Products:
i)
ii)
iii)
iv)
v)
vi)
vii)
viii)
ix)
x)
xi)
xii)
xiii)
xiv)
xv)
xvi)
General: a) Working Capital [Fund based / Non-fund based]
b) Term Loans [MTL / CTL]
SME-Credit Plus: 20% of the working capital limits, Max. Rs.25 lacs for
Micro & Small Enterprises and Rs.50 lacs for Medium Enterprises to meet
contingencies.
Mortgage Loan: Against Mortgage of tangible collateral security upto
Rs.10.00 lacs for Micro Enterprises, Rs.1.50 crores to Small Enterprises
and Rs.3.00 crores to Medium Enterprises for working capital and term
loan requirements.
Laghu Udyami Credit Card [LUCC]: Upto Rs.10 lacs towards working capital
for units having satisfactory conduct of borrowal accounts for atleast 1 year.
No submission of periodic stock statements / financial statements.
Artisan Credit Card [ACC]: To meet the credit requirements of Artisans.
Max. Loan amount Rs.2 lacs.
Swarojgar Credit Card [SCC]: Upto Rs.25000/- for self-employed persons.
SME – Smart Score: For quick sanction of Loans from Rs.5 lacs to
Rs.25 lacs, based on simplified scoring model.
General Purpose Term Loan [GPTL]: Pre-approved limit for multi-purpose
needs. Max. Rs.250 lacs for manufacturing enterprises, Rs.100 lacs for
service enterprises.
SME – Car Loans: Car loans to the promoters / partners of SME units and
their family members without any collateral security.
Doctor Plus: To provide financial assistance to Medical Practitioners upto a
maximum limit of Rs.5 crores
Tourism Fin: Financial assistance for Tourism related activities.
Rice Mill Plus Scheme: To provide financial assistance to Rice Millers for
acquisition of machinery / construction of mill / working capital
requirements.
Dall Mill Plus Scheme: To provide financial assistance to Dall Millers for
acquisition of machinery / construction of mill / working capital
requirements.
Cotton Ginning Plus Scheme: To provide financial assistance to Cotton
Ginning Millers for acquisition of machinery / construction of mill / working
capital requirements.
Construction Equipment Loan:
Line of credit facility for financing
construction equipment / machinery upto Rs.5 crores.
Scheme for Financing Commission Agents dealing in agriculture produce.
Maximum loan amount Rs.25 lacs
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xvii) Transport Operator Scheme: To finance transport operators for purchase of
commercial vehicles upto Rs.3 crores.
xviii) MSME Liquid Gold Scheme: To provide an easy loan facility to meet urgent
business needs against pledge of gold ornaments. Minimum Rs.25000/Maximum Rs.25.00 lacs.
Special Schemes:
 Joint financing / co-financing of SMEs with A.P.State Finance Corporation.
 Scheme for Technology upgradation / establishment / modernisation /
expansion of Food Processing industries
 Scheme for financing Handloom Weaver groups
 Scheme for advances against Ware-house receipts of National Bulk Handling
Corporation Ltd. [NBHCL] to processors / traders
Special Schemes for Women Enterpreneurs:
 Stree Shakti Scheme: Interest rebate of 0.50% & Margin reduction by 5%.
Specialised MSME Branches:
 11 specialised MSME branches to give focused attention to MSME units:
Cherlapalli [R.R.District–A.P], Balanagar [Hyderabad–A.P], Vijayawada [A.P],
Warangal [A.P], Vizag [A.P], Rampur [Karimnagar–A.P], I.E.Medchal [A.P],
Mancherial [A.P], Khammam [A.P], Miryalguda [A.P], Dubba [Nizamabad–A.P].
 Specialised MSME Divisions at potential branches across the country
Debt restructuring facility to all the eligible / potentially viable MSME - Units
Technical Consultancy Dept. at Head Office offers the following services:
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–
–
–
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Techno-economic feasibility study
Project validation / appraisal
Stock Audit
Turn around Management
Merchant Banking Appraisal for Public issue projects.
Entrepreneurship Development Programmes [EDPs]:
Bank conducts/sponsors EDPs of general/skill enhancement programmes.
MSME Care Centres established at all Zonal Offices and Head Office. Details of
these care centres are available on banks website.
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For further details contact your nearest Branch or
Call Helpline: 1800 – 4254055
Visit us at : www.sbhyd.com
e-mail : mysbh@sbhyd.co.in
SMS : Send ‘SME’ to 9000 222 444