Direct Discounting Scheme - Equipment (DDS-E)

Organisation

Small Industries Development Bank of India (SIDBI)

Objective

To enable manufacturers - sellers in SSI sector / service sector including construction / selling agents to offer deferred payment terms for credit sales and realise sale proceeds by discounting bills of exchange / promissory notes arising out of such sales.

Eligibility

Limits are sanctioned by SIDBI to well established concerns / corporate bodies buying machinery / capital equipment from SSI units. Limits are also sanctioned to well established SSI manufacturers - sellers.

Brief

Usance of Bills - Normally 3-5 years; Minimum transaction value - Rs.1,00,000.