Building Entrepreneurship in Kerala

Incorporated in 1953, under SFC’s Act 1951
Lending to MSME sector of the State
Assisted more than 75,000 units
ISO certified Organization
One of the best performing SFCs in India
The only AA rated PSU of the State

We Provide

Loans up to Rs.50 crore
Guarantees up to Rs.50 crore
Fast Track processing of loan proposals
Longest Moratorium Period, up to 3 years
Longest Repayment Period, up to 10 years
Online registration through www.kfc.org

Our Major Loan Schemes

LoC Scheme for MSMEs , Loans to Government Contractors
Loans to Tourism Sector, Modernization of Existing Industrial Units
Infrastructure Development Loans
KAMS - KFC Agro-based MSME Loan Scheme
CMEDP - Chief Ministers Entrepreneurship Development Programme
Startup Kerala - Comprehensive Scheme for Financing Startups

Major Loan Products More Products

Term Loan For Industrial Activities

New and Existing Enterprises
Should be prompt in servicing existing liabilities
Moratorium up to 2 years

Working Capital Loans

The upper limit is up to Rs.5 crore
Should obtain a minimum credit rating of 40%
Moratorium up to 12 months.

Financing Construction Activities And Housing Projects

Financial assistance to builders and developers
Constructing flats, villas and apartments
Repayment Period 6 years

Short Term Loan

The upper limit is up to Rs. 5crore
Should obtain a minimum credit rating of 40%
Moratorium up to 6 months.

Modernisation, Upgradation, Expansion and Diversification

Loan up to 90% of expansion cost.
Existing Industrial Units, Hotels, Hospitals, etc
Moratorium period up to 24 months

Contractor Loan

Loans for Government & Corporate Contractors and MSMEs
Sanctioned as Line of Credit for five years
Bill Discounting of Part/Final Bills

Special Loan Products

Chief Minister’s Entrepreneurship Development Programme (CMEDP) Edition II

The upper limit is up to Rs. 2 crores
Interest Rate 5% (The Govt will bear 3% interest subvention and KFC will bear 2%)

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Startup Kerala - Comprehensive Scheme by KFC for Financing Startups

To assist Start-ups in all stages of their growth starting from proof of concept, prototype development, product trials, etc.

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LoC Scheme for MSMEs

For providing guarantees & financial assistance to MSME units in terms of executing the work orders, discounting ...
Upper loan limit - Rs. 50 crore

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KFC Agro-based MSME Loan Scheme (KAMs)

Aims to assist a minimum of 400 Agro-based MSMEs every year.
Special loan scheme for MSMEs in Agriculture Sector

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KFC CUB Arrangement

Advances as Working Capital (WC) facilities
Minimum Loan amount shall be 5 lakh

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Scheme for Assisting Traditional Fisherman

Scheme for assisting Traditional Fishermen of Kerala to procure Mechanized Deep Sea Fishing Vessels (DSFV).

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Letter of Guarantee Scheme

To offer Bank Guarantee (BG) for units assisted by the Corporation

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CMEDP Loans

Eligible Units

Not Eligible Units

Bar Hotels
Transport
Crusher
Trading
CRE Projects
Contractor Loan
Cinema / Serial Production

Eligibility of Promoters

The Chief Promoter's age can be up to 50 years
The age limit for SC/ ST entrepreneurs, women entrepreneurs and Non-Resident Keralites is up to 55 years.
None of the promoters should be permanently employed
CIBIL Score more than 650

Application Procedure

Online enquiry submission
Document submission
Branch verification
Training
Sanction & Disbursement

Startup Loans

Loan for executing
purchase orders

Should have secured a firm purchase order from a Government / PSU / Reputed Private Sector Enterprise
Maximum Loan Rs. 10 crore

Venture Debt Funding

For IT Hardware and Software Enterprises
Should have undergone due diligence by a SEBI accredited Venture capital Fund
Maximum Loan Rs. 10 crore

Seed Loan Assistance

Should be working on development of socially relevant product which addresses any of the Sustainable Development Goals prescribed by UNO
Loan up to Rs. 1 crore
Repayment period up to 3 years

Loan for productization /commersialisation / scaling up

Productization- 25 Lakhs
Commercilisation 50 Lakhs
Scaling up- 100 Lakhs

Other Products

Guarantee

Performance Guarantee / Additional Performance Guarantee
Letter of Guarantee to MSMEs
Guarantee for availing Letter of Credit from Banks

Certificates

Solvency Certificate
Capability Certificate

Insurance Products

Life Insurance
General and Health Insurance

Consultancy Services

CIBIL
Project Reports
Land and Technical Valuation
Title Scrutiny
Verification of Suppliers and Promoters

Overview

Financial Corporation (KFC) incorporated under the State Financial Corporations Act of 1951.

The Kerala Financial Corporation (KFC) was established by the State Government as per the State Financial Corporations Act of 1951, passed by the Parliament of India, to accelerate the industrial growth of the state of Kerala. The corporation was formally founded as the Travancore Cochin Financial Corporation on 1 December 1953 and was later renamed Kerala Financial Corporation in 1956 following the state's reorganization.

KFC now has 21 branch offices with its headquarters in Thiruvananthapuram. 99.005% of the shares of the Corporation are owned by the Government of Kerala. The main objective of the Corporation is to boost industrial growth in the state by strengthening the MSME industrial sector. The Corporation has sanctioned loans to around 65,000 enterprises to date. The Kerala Financial Corporation is also recognized as one of the best-performing state financial institutions in India