What is Promoter Funding Share shares?
The Promoter Funding Share is a financial provision given by banks and NBFCs to promoters of a company.
| Bank Name | Min Interest Rate | Processing Fee | Max Loan (Lacs) | Max Tenure (Month) | Forclosure Charge | |
|---|---|---|---|---|---|---|
|
9.00%
|
2%
|
80
|
240
|
5%
|
|
|
18.00 %
|
2 %
|
12
|
240
|
2%
|
|
| Bank Name | Min Interest Rate | |
|---|---|---|
|
|
9.00% |
|
|
|
18.00 % |
|
As a promoter of company, you always want to grow your business, where this facility allows you to grow fund easily in short time period. Promoter funding is generally used by promoters to grow their business, converting securities into equity shares. There are few criteria you need to look forward to avail this facility.
Eligibility Criteria depends on several factors like age of individual, repayment history, business sales/turnover, total work experience & Creditworthiness ...etc.
Note: - As a minimum loan amount you can avail 2 Cr to maximum loan amount of 10 Cr.
There are few factors that generally affects Eligibility Criteria as given below: -
Applicant age: - If you are 30 years old at the time of getting loan then you have enough time period to pay back the loan as your working days will be longer. But if you are near to your retirement age then you lose lowering your eligibility as you working days are very less to repay loan amount, hence lender will not prefer you give approval for loan.
Lower Income: - Your income indicates your repayment capacity. If you already having existing loan then, debt to income ratio will calculated by lender that you have enough capacity to repay another loan or not. So, it might lower chances.
To increase Promoter funding against share eligibility, you need to consider points as given below, this will aid you in increasing your eligibility level.
Add collateral: - Lender need trust from his/her applicant is capable to repay loan, in this scenario if you add your collateral/assets lender trust level increase that if applicant fails to pay back the loan amount, collateral is enough to auction to match the loan amount as it will your chances of loan approval.
Extra importance of payment: - As you know lender check your credit score to know your previous transaction history. Therefore, always give extra importance of payment while taking place in time or not. A clean & clear repayment indicate your sincerity of payment making on time as well as enhance your chances.
What is Promoter Funding Share shares?
The Promoter Funding Share is a financial provision given by banks and NBFCs to promoters of a company.
Why should I take Promoter Funding Share?
There are some benefits of Promoter Funding Share like it is easy to apply on low Rate of Interest with minimal paper work.
How much amount can I take for Promoter Funding Share?
The minimum amount of Promoter Funding is up to 25 lakhs.
How can you apply for Promoter Funding Share?
If, you want to apply for Promoter Funding Share firstly, you have to download the application form and fill all necessary details given in in the form then attach documents with the application form which is required for that and wait for the approval.
Who is eligible for Promoter Funding Share?
What is the purpose of Promoter Funding Share?
The Promoter Funding Share used for meeting several needs such as acquisitions, takeovers, and expansion of business.
Is collateral is required for Promoter Funding Share?
Yes, collateral security is requiring for Promoter Funding Share.
How many types of Promoter Funding Share are available?
There are almost 6 types of Promoter Funding Share as given below: -
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