PROJECT LOAN (Unsecured)

Eligible Borrower

• Companies (Private / Public Limited)

• LLPs, Partnership firms

• Special Purpose Vehicles (SPVs) for specific projects

Residency

• Borrower entity must be registered and operating in India

Promoter / Sponsor Profile

• Promoters should have relevant industry experience

• Acceptable credit history of promoters and group entities

• No willful defaulter or NPA classification

Project Viability

• Technically feasible and economically viable project

• Strong projected cash flows

• Positive DSCR as per bank norms

Project Stage

• Clear approvals and licenses obtained or at advanced stage

• Defined project implementation schedule

Equity / Promoter Contribution

• Adequate promoter margin / equity contribution

• Proof of promoter’s investment in the project

Financial Strength

• Strong balance sheet of borrower / promoters

• Ability to absorb cost overruns without collateral support

Credit Rating

• Satisfactory internal / external credit rating (if required)

Loan Amount Eligibility

• Based on project cost, funding gap, and cash flow strength

• Usually lower limits compared to secured project loans

Purpose of Loan

• Asset creation or capacity expansion

• Funds used strictly for approved project expenses

Security / Guarantee

• No tangible collateral

• Personal / corporate guarantee of promoters mandatory

Escrow / Monitoring Mechanism

• Escrow / TRA account for monitoring project cash flows