A majority of Agricultural loans operate within 18 months of repayment period which commonly known as Seasonal Agricultural Operations (SAO). Farmers seeking loans facilitating "long term loans" with repayment period of upto 15 years may give immense opportunities to invest in diversified fields like Dairy Farm, Farm Mechanisation, Minor Irrigation, Lift Irrigation, Horticulture, Land Developments, Sheep / Goat / Piggery / Poultry Farm, Inland fisheries, Sericulture, Rural Godowns, Farm Plantations / Forestry Plantations and other activities. Agricultural Term Loans (ATL) fulfil the whole requirement through various banking institutions under strict regulation of RBI / NABARD.
SBI has different Term Loan products to boost SME sector depending on purpose of the business they setup. Products are: General purpose term Loan for SSI upto Rs. 50 lakhs, Open term Loan upto Rs. 2.5 Crore and Corporate term Loan upto Rs. 10 Crore or no cap for Corporates.
Every banks deal with "Term Loan" as their financial product to attract customers. Majority of financing institutions are given their product as a term loan. They are probably, short-term loan for buying home appliances or long-term loan for buying a home or inter-mediate term loan for purchasing a car. Here we see the types and features of Term Loan.
SBI SME Open Term Loan, the easy and hassle-free way to get finance for expansion or modernization of existing business, acquiring new technical know-how including international standards like ISO, participating international exhibitions conducted in abroad are the main utilization of Open Term Loan. SME Open Term Loan to be one of the must have loan facility for each and every existing SME Borrowers.