Merchant Banking

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Merchant Banking

Our Financial Products

  • 1. Corporate Lending [Infrastructure & Software & Manufacturing]
  • 2. Capital Finance – SME sector
  • 3. Loan against fixed assets of land with building [special cases only]
  • 4. Project funding [Govt Projects with payment security/guarantee by the Govt]
  • 5. Providing SBLC/Bank Guarantee etc for Commodity Traders
  • 6. Proving LC for all kind of trading Imports & Exports
  • 7. Funding against Sovereign Guarantee / Govt Bonds duly approved by the Central Banks and confirmed by SWIFT – with Euro Clear etc
  • 8. Accepting Fixed Deposits
  • 9. Forex

Divisions

  • 1. Project Finance – Infrastructure and development
  • 2. Trading - from AU Gold to all kinds
  • 3. Capex - Manufacturing Plant & Machinery
  • 4. Merchant Banking – Support all imports & Exports

Stand by Letter of Credit

  • CIS of the client along with complete company documents
  • Business profile of the client
  • Assets and liabilities of the company
  • Previous 3 years official turnover of the company
  • Purpose of the SBLC – i.e., means of the instrument – commodities
  • Existing references – supplier & buyer related to business
  • Repayment plan
  • Official Bank insurance charges, Swift charges and margin money should be paid for the SBLC
  • Tenure should be 1 year 1 day
  • SBLC should be returned with in the period

Transaction Procedure

  • Signed Deed of Agreement between buyer & seller
  • Profile of the seller company
  • Official contract between buyer & seller including Purchase Order and Proforma invoice
  • Due Diligence of the documents
  • Once Due Diligence is done, will raise the Proforma Invoice for the issuing charges and in case, if you are not able to provide the issuing charges in full, you have a choice of 30% by TT and for the balance by BPU from your bank by Swift.
  • After receipt of the payment, will communicate to seller Bank officially
  • We need the official confirmation from the seller bank regarding the acceptance of the SBLC
  • Then we will send MT 799 to seller Bank. The seller bank should send us back official response by Swift.
  • Immediately after receipt of official response by MT 799, we will execute MT 760 to seller bank.

Letter of Credit Procedure

  • Type of LC i.e., Sight / Usance
  • Purpose - Commodities purchase / supply
  • Tenure : if usance 90/180 days
  • Sale purchase agreement, purchase order and proforma invoice should be submitted to us with all the necessary signatures and seal.
  • Will do the due diligence of the documents officially and also with your bank, then will start the process
  • The LC issuing charges should be paid against Proforma Invoice
  • Once the LC issuing charges received, will provide MT 700 by Swift.
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