Pyramid Finance Ltd. extends medium term loans for purchase of equipment as well as short term loans for working capital financing.
Medium term loans
Pyramid Finance Ltd. offers medium term loans for purchase of various categories of equipments. The repayment schedule can be structured depending on the borrower’s needs, probable cash flow forecasts, seasonal fluctuations, etc.
Short term loans
Pyramid Finance Ltd. also provides short term loans for working capital finance. Depending on the comfort level with the client, Pyramid Finance Ltd. can structure advances against Purchase Orders. Companies that have received a large order but do not have the required working capital limits sanctioned by their bankers for executing the order can avail of these short term structured loans from Pyramid Finance Ltd.
The procedure followed is as follows:
- The client lodges a copy of the purchase order received from the Purchaser with Pyramid Finance Ltd.
- An escrow account operated jointly by a signatory of client and of Pyramid Finance Ltd. shall be opened with a bank.
- The client shall lodge with Pyramid Finance Ltd. a letter accepted by its purchaser stating that all payments under the purchase order shall be made to the escrow account specified.
- Disbursements under the loan shall then be made to the suppliers of raw material.
- All payments received under the purchase order to the escrow account shall be apportioned in an agreed manner by the client and Pyramid Finance Ltd.