Export Credit

Overview

For an exporter, the wait for a transaction to conclude and payment to be unlocked at the importer’s end is often long and challenging. LVB solves this problem through MSME Export Credit, which serves as a short-term loan facility to the exporter, often empowering him with an assurance of a scheduled recovery of his capital.

 
  • LVB offers the following Export Finance Facilities to MSME undertakings:
    • Pre-shipment Finance
    • Packing Credit Loan (PCL)
    • Pre-shipment Credit in Foreign Currency (PCFC)

    • Post-shipment Finance
    • FDBP
    • FUBD

    • Foreign Bank Guarantee
    • Letter of Guarantee – Foreign (LG – Foreign)

    • Foreign Letter of Credit – FLC

Eligibility

  • a) Business enterprises engaged in trading, manufacturing or services sector activity-who intends to export their goods/services. Individuals, Proprietorships, Partnerships, Private Limited Companies and Public Limited Companies, HUFs and any other legally permissible entities.
  • b) GST Returns are compulsory.
  • c) No bar on age of the business entity.

Salient Features

  • a) Packing Credit Limit will be provided for Purchase of Raw Material, Processing/manufacturing & shipping of the finished goods to their overseas customers.
  • b) After shipment of the goods, the Bills/documents drawn on overseas customers will be discounted to nullify the pre-shipment liability. On receipt of payment from the overseas customer (proceeds of post-shipment credit), the Bills liability will be adjusted and the amount excess, if any received will be credited to the customer's account.
  • c) ECGC cover will be available.

Documentation

  • a) KYC documents of the applicant, Promoters & Guarantors
  • b) Audited Financials for the past three years
  • c) GST Returns
  • d) Estimated & Projected Financial Statements
  • e) All Registrations/Approvals of the business entity
  • f) Collateral property documents
  • g) IE Code certificate
  • h) Any other documents as per the requirement
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