Standby Line of Credit for MSME (SLC-MSME)
The Standby Line of Credit for MSME (SLC-MSME) is a short-term credit facility offered by Bank of Maharashtra (a Central/State Public Sector Bank) for MSME customers. It is designed to assist MSME units in managing temporary liquidity mismatches for example, delays in receivables, delays in input tax credit (GST) refunds, or other working capital gaps. The scheme is active under the bank’s MSME product portfolio. Its purpose is to provide additional, flexible fund-based support over and above existing limits, to tide over short term cash flow issues until normal operations resume.
Key Features
- Short-term loan facility : to manage temporary liquidity mismatches (receivables, GST credits, business needs)
- Loan amount / Limit: up to 25% of existing working capital limit or total exposure; maximum ₹1.25 crore
- Disbursal & repayment: in one go or in tranches; must be repaid within 12 months or validity of sanction, whichever is earlier
- Interest rate: The rate is 0.50% above the sanctioned Cash Credit rate for the customer. If the borrower fails to repay timely, penal interest (as per Cash Credit norms) will apply.
- Security / Collateral: The security is through hypothecation of stocks and receivables. Also, the bank may extend charge on the primary or collateral security already held.
Financial Assistance
Eligibility Criteria
Who can apply :
- MSME units already banking with Bank of Maharashtra
- Total exposure (working capital + term) up to ₹25 crore
- Internal rating of “BBB & above” (even if external rating is absent)
- Account in standard classification or under SMA-0 / SMA-1 / SMA-2
Documents Required
- KYC documents (identity proof, address proof) of the proprietor / partners / directors
- MSME registration / Udyam registration
- Latest audited financial statements / balance sheet / P&L
- Cash flow statement (for amounts above ₹10 lakh) certified by CA (with UDIN)
- Details and aging of receivables, GST input credits pending / to be claimed
- Documents of existing working capital / CC / cash credit limits
- Charge creation / hypothecation documents, ROC registration (if applicable)
Application Process for the Scheme
Option 1: Apply with Bullit (Recommended)
Click here to start with guided support. Our team verifies eligibility, compiles documents, and handles application & follow-ups on your behalf. You can monitor progress while focusing on operations.
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Option 2: Bank of Maharashtra Branch / Online Portal
- Visit your Bank of Maharashtra branch (preferably where your MSME account is maintained).
- Submit an application for Standby Line of Credit (SLC-MSME) along with required documents (see next section).
- Branch will verify your existing limits, internal rating, receivables, GST claims, and cash flows (with CA certificate if needed).
- If approved, the sanction will be issued, charge documents (if any) completed, and disbursal arranged.
Power Combos with The Scheme
