FDI Business Loan in India

With globalisation, country border lines are blurring, therefore, helping different economies, cultures, and businesses to interact. As we enter into a new decade, Indian companies are opening up their products and services to global financial markets. Now, more businesses in India are looking at foreign investments and loans to raise capital, owning to low interest rates. While looking for a big business loan in India, businesses seeking capital and investments from overseas that prove to be a more lucrative alternative of borrowing and financing with interest rates as low as 3.25% P.A. on Reducing Balance with Floating interest rate. Every company at some point or another requires funds to either stay afloat or expand their current business; here is where FDI Business Loans play an ideal role with its flexible characteristics and cheaper interest rates.

Every business needs growth to propel to next level for consistency, sustainability and exploring next level products and services and optimise costs vs. value. At FDI Invest we identify companies and businesses have potential for growth to scale up volume, value that results in increasing sales turnover leveraging financial cost competitive India and across Asian markets

While looking for a big business loan in India, businesses seeking capital and investments from overseas that prove to be a more lucrative alternative of borrowing and financing with interest rates as low as 3.25% P.A. on reducing Balance with Floating interest rate here is where FDI Business Loans play an ideal role with its flexible characteristics and cheaper interest rates

Most simply, soft financing or FDI Business Loan in India comes with a below-market rate of interest. It is not only sought-out for its considerably low interest rates but often also come with concessions to borrowers, such as long repayment periods or interest holidays. Governments usually offer FDI Business Loans to projects they think are worthwhile. “Soft” is commonly mistaken to indicate the below market interest rate, however, the term is instead based on the lack of fixed dates for repayment.

• Businesses that are registered under the Companies Act, 1956
• FDI Business Loan being permitted by the Government as a source of finance
• for Indian Corporate for expansion of existing capacity as well as for fresh
• investment. This is also given to promote small and medium sized enterprises.
• Financial organizations such as IDFC, IL& FS, Power Finance Corporation,
• Power Trading Corporation, IRCON and Exim Bank that are dealing exclusively
• with infrastructure or export economics.
• Banks and financial institutes which had participated in the textile or steel zone
• restructuring package as permitted by the Central Government.
• Any other entity as permitted by the Reserve Bank of India.

For investment (such as import of capital merchandises, new ventures, modernization/ expansion of prevailing production units) in real sector – industrial sector including small and medium enterprises (SME) and infrastructure segment – in India

• International banks, export credit agencies, and global capital market.
• Multilateral financial institutes, viz., IFC, ADB, CDC etc.
• Foreign equity holders who are listed by the Reserve Bank of India.
• Supplier of equipment’s only if the amount of loan raised does not outdo the whole cost of the equipment being supplied by the lender.
• Any other entity that is approved by the Reserve Bank after consulting the Government of India.
• As per policies, offers from unauthorized sources will not be approved.

Route to get FDI Business Loan | The Reserve Bank of India (RBI) issued a circular which permits Indian companies to borrow moneys from foreign shareholders also for funding general corporate purposes. This is a chief relaxation of law. Some conditions still have to be satisfied and the loan must be applied for by the Indian company with the RBI under the so called Approval Route under the Approval Route, the Indian corporation has to seek the permission of the RBI to avail business loans in India foreign lending particularly if certain parameters are proposed to be surpassed. The RBI will gauge the application exhaustively and it typically takes some months before a verdict is given.