Non fund based limit

Rohan Pandey (Chartered Accountant) (208 Points)

31 May 2012  

My client is interested in trading coal, for the said purpose he has commissioned a new company. Now to further the business he need to draw back to back l/c on the supplier for which he is in need of non fund based limits.

Can anybody, provide any insight on the above deal. Can the non fund based limit be availed? If yes, how can it be arranged?