Bank Facilities

Bank Facilities

Course Outline:
  • Overview (Scope of Banks)
  • Bank Facilities- Definition<
  • Bank Procedure to apply Bank Facilities
  • Types of Bank Facilities (W. Capital/ Loan/ Uncommitted/ Committed)
  • Products of Bank Facilities<
  • a)Overdraft
  • b)Letter of Credit (With Margin/ with Nil Margin)
  • c)Trust Receipts/ STL to Finance Raw Material Payments
  • d)Term Loans
  • e)Capex Financing/ Refinancing
  • f)Factoring
  • g)PDC Discounting
  • h)LC Discounting
  • i)Collection Document (DA/DP)
  • j)Bank Guarantees (Tender/ Performance Bond/ Financial G)
  • k)Avalization of Draft
Securities/ Collaterals
  • a)Promissory Notes
  • b)Corporate Guarantees
  • c)Negative Pledge in the case of CAPEX Financing
  • d)Assignment of All Risk Insurance Policies (Bank Mortgaged Clause)
  • e)Assignment of All Risk Insurance Policies (Bank Mortgaged Clause)
  • f)Registered/ Notarized/ Non Notarized Mortgaged/ Pledge
  • g)General Floating Charge over Inventory/ Plants/ Equipment’s
  • h)Lien
  • Interest Rates & Charges (EIBOR/LIBOR)
  • Event of Default Clauses
  • Bank Covenants
  • General Covenants
  • Financial Covenants
  • Practical Examples/ Question & Answer Session