Mumbai-Tata Capital, the financial services arm of the Tata Group, launched two working capital finance loan products – WCDL GST Loan and WCDL GST Bridge Loan with the aim to provide quick and easy working capital finance to MSMEs on the basis of GST returns filed.
The first product -WCDL GST caters to the general working capital requirement of the MSMEs and the second product -WCDL GST Bridge Loan – a first of its kind, is designed to provide incremental working capital finance requirement arising on account of GST paid for unsold inventory. While WCDL GST Loan is a secured facility with a maximum cap of Rs.7 crores, WCDL GST Bridge Loan on the other hand is an unsecured facility with a maximum cap of Rs.3 crores.
The salient features of the two GST backed products are:
ü Limits up to Rs. 7 Crs
ü Limit assessment on the basis of GST returns filed by the customer
ü Relaxed eligibility criteria & quick sanction of limits
ü Simple IT solution to extract GST returns of the customers by the click of a button
Commenting on the launch of the two new products Mr. Sarosh Amaria, COO Commercial Finance, Tata Capital Financial Services Limited said “At Tata Capital, it is our constant endeavour to offer innovative, easy and value added products to our MSME clients. GST, India’s largest tax reform has played a key role in the MSME business. Our two product offerings address the fund requirement of entrepreneurs with GST as the primary assessment factor. The in-built features of the products are aimed to enable entrepreneurs to manage their business efficiently.”
The MSME is considered as the backbone of the Indian economy and GST has made a significant impact on this sector and with these new products Tata Capital reinforces its commitment to support the MSME sector.