Cosmo Pharma Loan Scheme

The scheme aims at providing financial support to deserving Wholesale Medical / pharmaceutical / Surgical Equipment’s suppliers in the form of working capital /Term Loan for the business or for creation of Assets for the Business.
At Cosmos Bank, we guarantee genuine and efficient service with all our schemes. So, dream big and avail the loan facility at any branch near you.

Loan Type

Cash Credit / Term Loan

Maximum Loan Amount

Up to ₹100 Lakh

Interest Rate

8.25% with ‘A’ Rating
8.50% with ‘B’ Rating
8.75% for Green Field/No Credit Rating
(As per Circular Dated 29.06.2022)

Repayment Period

For CC: Payable on demand, reviewed annually
For TL: Up to 7-10 years for shop/office/godown purchase

Moratorium Period

6-12 months (for TL)

Processing Charges

New Proposal: 0.50% + GST
Renewal: 0.20% + GST

Foreclosure Charges

3% (if closed within 12 months)
2% (if closed after 12 months but before 24 months)
1% (if closed after 24 months)

Wholesale & Retail Medical/Pharmaceutical/Surgical Equipment distributors
Business entities engaged in the supply of medicines, pharmaceuticals, or surgical products
Applicants must have valid licenses/registrations as per pharmaceutical industry guidelines

Types of Facility

Working Capital / SLSO / Property Mortgage as per business requirements

Margin Requirement

For Cash Credit / SLSO:
- Margin: 25% for stock & book debts
For Term Loan:
- 25% for premises purchase, construction, furniture & fixtures

Security

Primary Security: Hypothecation of stock, book debts, or business assets
Collateral Security: Tangible assets like NSC, LIC, KVP, FDRs, or mortgage of property
Market Value Requirements:
- ‘A’ Rating: Market Value at least 35% or 40%
- ‘B’ Rating: Market Value at least 40% or 45%
- ‘C’ Rating: Market Value at least 50%

KYC documents of applicants and guarantors
Licenses/registrations as per pharmaceutical industry guidelines
Copy of degree certificate of Proprietor/Partner/Director
Latest financial statements of applicants & guarantors / financial projections
Guarantor: One guarantor acceptable to the bank must be provided
Turnover Requirement: Minimum 80% of sales turnover should be routed through the CC account
Legal Fee, Stamp Duty & Manner of Charge Creation:
- Legal Charges: At actuals
- Stamp Duty: As applicable in the state
- Charge Creation: The mortgage charge can be created by way of Equitable Mortgage & by Notice of Intimation, provided all original title documents are available. If the title deeds are unavailable, a Registered Simple Mortgage Deed will be executed.
Insurance: Life insurance products like Group Suraksha Scheme should be marketed and sold aggressively to cover loan liability

Get In Touch

Our Expert will call you back on the number provided by you within 24-48 hours to assist you further. Thank you for your interest in Cosmos Bank

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Ideal for people

Scheme is applicable to Wholesale & Retail Medical/ Pharmaceutical / Surgical Distributors.
(to grab small retail loans of wholesalers / retailers on a large scale to broaden our customer base and to ensure continuous flow of business)

Good to Know

Pharmaceutical loan Scheme limit Up to Rs.100 Lakhs in form of Working Capital / SLSO / Property Mortgage as per the requirement of business activity & Repayment capacity of the applicant Purpose.
1) Working Capital for running business activity smoothly.
2) The business unit should have been established in the line of business for a minimum period of 3 years and making profit for last 2 years.
3) Form: Available at Branches