We know how to raise funds and from who, Speed is our biggest USP.
Achyutam has strong networking in Development Financial Institutions (DFI), International Banks, Export Credit Agencies (ECA) and PE Funds through whom we arrange finances for our client needs.
Success of the funding is very much dependent on the bank application and its contents, we have an expertise in preparing and compiling a application meeting the norms of banks and DFI’s, thus reducing the processing time to a great extent and increasing chances of winning the approval.
We also assist companies in handling the due diligence process, as well in responding to the bankers query in a professionally accepted way.
We work from start till the end of the process till funds are disbursed.
Funding from Development Financial Institutions (DFI)
Getting associated with DFI is cheaper compared to commercial banks, DFI not only looks for providing the financial support but they work with an objective to improve the business operations, better corporate governance, energy preservation, environmental matters, social and health issues, etc…
The projects having Development banks as their partners carries a better reputation and higher brand value, The external fraternity (banks, investors, sovereign authorities, etc…) looks companies with DFI funding with more respect and are willing to partner in their growth, making it easier for divestment, expansions, new projects & cross country expansions. The process involved of getting associated with DFI is tough as well as it is time consuming, but if handled professionally the results are definite.
Funding from ECA
Many countries willing to promote their exports, runs program of ECA endorsement to exporters and importers and are provided to encourage exporters by giving them competitive edge over their international peers.
ECA endorsements enables exporters or bankers to extend long term credit to the buyers, generally this funding is for tenor from 3 to 10 years and in extended in foreign currencies attracting lower interest cost. Also such credit exposure does not count as a regular financial exposure with the Financial Institutions as it comes as Buyers or Sellers credit.
Funding from International Banks
The turnaround time with commercial bank is quicker than other modes of funding, which is because of their proximity and involvement in handling routine business transactions, however banks have some limitations as they are limited to finance in local currency making it expensive compared to foreign currency funding as well they have a limitation on amount of credit they can extend,because of rulings from the Central Banks which is related to their balance sheet size.
Funding from Private Equity
An effective route to fund the company: PE funds tend to bring professionals on Board and Management, which adds up to fuel growth and brings better governance.
We specialise in arranging vast range of funding for business needs.
- Term Lending for Greenfield projects and expansions
- Working Capital Funds for running businesses, Overdrafts,
- Factoring, bill discounting, etc…
- Private equity for running businesses
- ECA funding for imports,buyers and suppliers credit,
- Pre and Post-shipment credit,
- Collateral Management Arrangements for commodities in big volumes
- Non Funded limits: Letter of Credit and Guarantees
Banks have their own way of looking at fund requests, a professionally prepared and well-presented application creates a good impression and increases the chances of their approval.
Also to make an informed decision on any new project or expansions, it is very important to have a feasibility study done professionally. We undertake the feasibilities in terms of Technical, market and financial aspects. We have specialisation for following domains;
- Textiles : Manufacturing of Yarn, Fabric, Sheeting,Upholstery, Garmenting and Process houses.
- Food Manufacturing : Milling of wheat and maize, Manufacturing of Pasta and Biscuits, Animal Feed.
- Port Operations
- Cement manufacturing,
- Trade and Distribution- FMCG, Steel
- Retails Supermarkets
- And many more…..
Raising an External Commercial Borrowing (ECB) has its own challenges including the Statutory and Legal compliances. Our team has a thorough experience in handling these matters and understand the approach of the legislative authorities and Central Banks. We guide the process with the Lawyers and the Central banks for concluding the transactions.
It is very important to make a proper balance while offering securities to banks, generally banks are pressing to take maximum cover in form of Mortgages, Pledges, Corporate and Personal Guarantees, Quota retention commitments, etc… It is critical that cover is negotiated which is commercially viable so the free securities can be used for expansions and new projects. Further registering of securities involves substantial costs for stamp duties and taxes, relevant provision of law shoudshould be checked thoroughly for exemptions and minimising the costs.