“Builders ka Paisa Atka Hua Hai? Inventory Funding Explained” #podcast

Posted By - CA Vikas Jain

Real estate sector me ek common problem hoti hai — unsold inventory (ready flats/units bik nahi rahe) aur builder ka paisa projects me atak jata hai.
Isi problem ka solution hai Inventory Funding ????

Inventory Funding kya hota hai?

Inventory Funding ek type ka loan hai jo builders/developers ko diya jata hai unsold flats, shops ya units ke against.

???? Simple words me:
“Jo property abhi tak biki nahi hai, uske against loan lekar builder apni cash flow problem solve karta hai.”

Iska use kaha hota hai?

Stuck projects ko complete karne me
Working capital ke liye
Debt repayment ke liye
New project start karne ke liye

Key Features of Inventory Funding

Feature	Details
Loan Type	Secured Loan (property/inventory ke against)
Borrower	Builders / Real Estate Developers
Loan Amount	Inventory value ka % (generally 50–70%)
Tenure	1–5 years
Interest Rate	Thoda high (risk ke wajah se)
Security	Unsold flats/units mortgage
Repayment	Sales se repayment ya structured EMI

Eligibility Criteria

Criteria	Details
Borrower Type	Registered Builder / Developer
Project Status	Ready ya near completion project
Sales Track	Achha past sales record hona chahiye
Location	Demand wale area me project
Legal Status	Clear title & approvals
Financials	Stable financial statements

Documentation Required

Document Type	Details
KYC Docs	PAN, Aadhaar, Company docs
Project Docs	Approved layout, RERA registration
Property Papers	Title deed, ownership proof
Financials	Balance sheet, ITR (2–3 years)
Sales Data	Unsold inventory details
Bank Statements	Last 6–12 months

Merits vs / Demerits

Merits (Fayde)	Demerits (Nuksaan)
Liquidity improve hoti hai	Interest rate high hota hai
Project complete karne me help	? Risk of unsold inventory
Cash flow stable hota hai	Market slow hua to problem
Business continuity maintain	Property collateral risk me
New projects start kar sakte	Strict documentation

Real-Life Example Builder ke paas 50 flats unsold hain
Value = ?20 Cr

? Bank/NBFC 60% funding deta hai = ?12 Cr
? Builder is amount se:

Project complete karta hai
Marketing boost karta hai
Debt clear karta hai

Important Points (Expert Insight)

NBFCs zyada actively inventory funding dete hain
Location & demand sabse important factor hai
Slow-moving inventory par funding mushkil hoti hai
Proper sales strategy hona zaroori hai

Top 10 FAQs (With Answers)

1. Inventory funding kya hota hai?

Inventory ke against diya gaya loan jo builders ko liquidity provide karta hai.

2. Ye loan kaun le sakta hai?

Sirf builders/developers jinke paas unsold units hain.

3. Kitna loan milta hai?

Generally inventory value ka 50–70%.

4. Interest rate kitna hota hai?

Normal loans se thoda high hota hai (risk ke wajah se).

5. Kya ready project hona zaroori hai?

Mostly ready ya near-completion projects ko preference milti hai.

6. Kya RERA registration zaroori hai?

Haan, legal compliance bahut important hai.

7. Repayment kaise hota hai?

Flat sale hone par ya structured EMI ke through.

8. Kya risk hota hai?

Agar flats nahi bike to repayment issue ho sakta hai.

9. NBFC ya bank – kaun better hai?

NBFCs zyada flexible hote hain inventory funding me.

10. Kya individual investor le sakta hai?

Nahi, ye mainly builders/developers ke liye hota hai.

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