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What is a Working Capital Demand Loan?

At Tata Capital, we recognize the importance of having a healthy operating liquidity and working capital for achieving your business objectives and goals. Working Capital Demand Loans from Tata Capital provide the perfect flexibility to meet the cash flow requirements of your business. Especially for SMEs and start-ups, generating a steady stream of income is of utmost importance for business sustainability. A Working Capital Demand Loan will ensure that you meet your expenses on time and daily business operations continue to run smoothly.

With Tata Capital Working Capital Demand Loans, get access to easy finance, which can be used to pay for additional expenses, employees, rent, mortgage payments, utilities, marketing expenses, purchasing inventory, or meeting other short-team financial obligations with ease.

Penal Charges

Default in payment of interest and/or principal amounts, Below charges on the defaulted amount

Overdue Days Penal Charges
1-30 days 4% p.a
31-60 days 8% p.a.
61- 90 days 12% p.a.
Greater than 90 days 24% p.a

(ii) Dishonour Charges: Rs. 670/- (Rupees Six Hundred and Seventy Rupees only) for every Cheque/ Payment Instrument/ ECS Dishonour.

(iii) Non-creation/perfection of security: @ 2% on the outstanding principal amount will be charged for the period of delay in respect of delayed/non-submission of security/collateral related documents and non-perfection of security.

*Charges to be paid along with applicable Tax

Schedule of Other Charges

Description Periodicity Penalty Amount
Delayed/non submission of stock statement To be submitted Quarterly by 10th of every Calendar Quarter. Additional one time charge of Rs 20,000/- per Quarter

Delayed First Insurance cover note and non renewal of Insurance on due date

First Insurance:- within 30 days from disbursement date.

Renewal : as and when due

 Additional one time charge of Rs 20,000/- per financial year
Non adherence of financial covenants’ of sanction letter At the time of Review /Renew of account Additional one time charge of Rs 20,000/- per financial year
Documentation charges Rs 5,000/-
Stock Audit charges Rs 5,000/-
ROC and CERSAI filling Rs 5,000/-
Valuation charges As per actuals
TSR fees / Title search fees As per actuals
Security trust fees As per actuals

Charges to be paid along with applicable Tax

Working Capital Demand Loan Features & Advantages

Here’s why you should choose Tata Capital to get a Working Capital Demand Loan for your business:

  • Flexible loan repayment tenures that can be short term or long term based on customers’ business requirements. Hence repayment can be fixed based on business revenues and cash flows

  • Tata Capital offers fund and also non fund solutions based on business need

  • Quick turnaround time on competitive terms

Other Working Capital Solutions

At Tata Capital, we provide several types of working capital loans to cater to the precise needs of business owners. You can choose from the following working capital solutions:

Channel Finance

Get a working capital loan to finance your channel partners, such as distributors, dealers, etc. You can use these funds to purchase raw materials for your business.

Know More
Channel Finance Channel Finance

Explore our Other Solutions

Term Loans
Term Loans

Term Loans

Tata Capital Term Loans are designed to help you meet all your business requirements and fund your business expansion and growth. 

Know More
Structured Products
Structured Products

Structured Products

At Tata Capital, we provide your business a wide range of customized financing solutions driven by a combination of assets, contracts and underlying cash flows. 

Know More
Construction Finance
Construction Finance

Construction Finance

Tata Capital's team of specialists can help you analyze your precise requirements and select the right loan product for your construction business.

Know More
Equipment Finance & Leasing
Equipment Finance & Leasing

Equipment Finance & Leasing

Tata Capital brings you comprehensive and innovative, solution-oriented asset financing solutions to help you procure the right equipment for your business.

Know More
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Our Private Equity Funds

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