BOI Star SME Education Plus
BOI Star SME Education Plus
Bank of India (BOI) Star SME Education Plus loan scheme provides financial assistance for construction, renovation or repair of building belonging to educational institutions viz., Universities , Colleges , Schools. Bank of India is amongst the premier nationalised banks in India with over 4963 branches in India spread over all states.
Loan Purpose
The BOI Star SME Education Plus loan scheme can be availed by educational institutions for construction, renovation or repair of buildings or for purchase of computer, lab equipment, furniture, books etc.
Eligibility Criteria
Educational institutions that have necessary approval from the relevant Government and Government agencies for operating the educational institution is eligible under the Star SME education plus scheme. The institution must provide 3 years of audited financial statements, wherein it had recorded profits for 2 years continually.
New and upcoming educational institutions can also be considered for financing, provided the projections, both financial and non-financial are justifiable. In addition, collateral security might be insisted upon, based on the borrower credit profile. Under any case, the applicant must have a credit rating of SBS 5 or higher and no deviation are allowed.
Amount of Loan
Term loan of Rs.10 lakhs to Rs.500 lakhs can be provided under the BOI SME Education Plus scheme. The term loan can be sanctioned with a repayment tenor of 8 years, inclusive of initial moratorium of 12 to 18 months. The tenor and periodicity of the loan would be determined on the basis of cash flow. In any case, the applicant must show sufficient cash flow to service both principle and interest with a minimum DSCR of 1.25.
