Running an enterprise is not easy. There are so many hurdles an organisation faces to make a brand out of it. At times an organisation fails to develop a brand so Micro, Small, and Medium enterprises are given special protection under the MSME Act, 2006. To understand what is CGTMSE fee, we need to first understand what is CGTMSE.
NoBroker InstaCash Loan
Get upto Rs. 10 Lakhs Instantly in your Bank Account with hassle free auto repayment.
Instant approval and disbursement
Interest rate starting 12.99%
What is the CGTMSE?
When industries are provided with financial assistance without any third-party guarantee or collateral it is known as CGTMSE. In this trust, a guarantee cover is provided in the ratio of 50/75/80/85 of the amount so offered. The object of this trust is:
Checking the financial viability of the organisaion
To offer term loans and composite credit schemes
According to the schemes the fund can offer up to Rs 200 lakh loan to MSMEs. This is the main objective of the trust.
The full form of CGTMSE is Credit Guarantee Fund Trust for Micro and Small Enterprises.
What does CGTMSE fee means?
The fee charged by the trust at the rate of 1% per annum is called CGTMSE fee.
0.75% – for credit of up to Rs. 5 Lakhs
0.85% for credit above Rs. 5 Lakhs but up to Rs. 100 Lakh
Hope you can understand the CGTMSE fees meaning.
Which organisation can avail CGTMSE funds?
manufacturing activity
-
service activity, except:
-
Retail Trade
-
Educational Institutions
-
Self Help Groups
-
Training Institutions.
Some NBFCs can also avail of this fund.
The banks associated with CGTMSE funds are:
Commercial bank under Public/ Private/ Foreign Bank
Regional Rural Banks under the variable ' Sustainable Viable Category'.
26 Public Sector Banks
21 Private Sector Banks
73 Regional Rural Banks
4 Foreign Banks
Delhi Financial Corporation
Kerala Financial Corporation
Jammu & Kashmir Development Finance Corporation Ltd.
Export-Import Bank of India
The TamilNadu Industrial Investment Corporation Ltd.
National Small Industries Corporation (NSIC), North Eastern Development Finance Corporation (NEDFI)
Small Industries Development Bank of India (SIDBI)
This was all about what is CGTMSE fee meaning in a nutshell. I hope you find this helpful.
Read more:
How To Claim GST Refund?
What is CESS in GST? Do you have to pay GST when buying a new house?Your Feedback Matters! How was this Answer?
NoBroker Cash Loans
✔
Max Funding✔
Lowest Interest Rates✔
Quick Sanction✔
Doorstep Assistance✔
No Hidden Charges
Get Cash Loan
Apply Now
Know your Borrowing Capacity
Check Eligibility
Compare Loans
Calculate Your EMI Now
What is CGTMSE fee?
Santanu
12k Views
1
3 Year
2022-04-06T19:47:48+00:00 2022-04-06T19:47:50+00:00Comment
Share