Credit line for a private limited company

Hi it depends on bank to bank. but normally you should have at least 2 years of audited statement (tax audit is advisable) In case you are opting for working capital finance 1) the current ratio should be above the norm say 1.33 2) Turnover should be minimum 5 times of the limit proposed 3) capital ratio sould be 3:1  4) In case of debtors financing, Debtors should be not more than 120 days else the bank finance reduces 5) reputed clientle 6) Security Offerred (Primary + Collateral) 7) Order base (order copies etc etc.

In case of Term loan repayment capacity is also tested DSCR ratio should be at leaset 2:1 etc.

regards

kedar