# Tata Capital business loans > Tata Capital is on Recur Club's lender panel, writing domestic factoring, dropline overdraft, finance lease and 9 other products. Observed tickets run ₹3 cr to ₹15 cr, priced between 10.5% and 12%. Median turnaround from application to disbursal is about 49 days. Source: https://www.recurclub.com/lenders/tata-capital Last updated: 2026-09-29 ## Products and indicative terms Observed on live transactions. Not an offer or a quote. | Product | Ticket | Rate | Tenure | |---|---|---|---| | Domestic Factoring | ₹3 cr | 10.5% | 12 mo | | Secured Term Loan | ₹4–15 cr | 11–12% | 18–48 mo | | Sales Invoice Discounting | - | - | - | | Working Capital Demand Loan | - | - | - | Also offered, with no terms observed yet: Dropline Overdraft, Finance Lease, Loan Against Property, Loan Against Securities, Operating Lease, Overdraft / Cash Credit, Purchase Invoice Discounting, Unsecured Business Loan. ## Eligibility - TATA CAPITAL FINANCIAL SERVICES LIMITED ### Will not fund - No real estate - Loss making doesn't want to do, not even for factoring. - Proposal was rejected at local level owing to unsettled defaults in the name of Mr Mohan Kumar Jha (Promoter Director of Devout Nord I Limited); default is with PNB. - Declined last-mile electricity distribution business — requires strong connects with authorities and carries very high risk of the business getting stalled. - Met this borrower in the past and did not progress as we were not okay on the financials and did not get good feedback - Declined the deal outright: 'We will have to give it a pass, the expectations are too fine' after earlier saying it could not take the deal ahead on the mentioned commercial & security terms. - Company will not provide a corporate guarantee from Opulence Cowo Pvt. Ltd., as it is a separate legal entity with distinct shareholding and management - Trader profile companies cannot be funded, even for leasing. - Shares are not acceptable as collateral, per internal list. - Pari-passu charge on current assets is not acceptable as collateral — no hard/exclusive collateral means deal can't proceed. - Cannot do unsecured deals, i.e. deals with no hard asset as collateral. - Tata Capital unable to provide an unsecured deal for this client; confirmed prior proposed terms are the best they can offer - Only a charge on vehicles as security will not work, based on their experience with Blusmart - Not looking at NBFC deals right now - Won't do unsecured - Not keen to pursue the Spark deal - Not comfortable with sector and business model - Not keen on the industry - Not looking at NBFCs at all currently - Not comfortable - low scale - Factoring not possible - EBITDA negative companies they are not keen for - With 50% cash collateral only, it won't fly in the system - TATA not comfortable taking an unsecured exposure for the deal ### Prefers - Prefers manufacturing/seller-or-buyer good profile; would ideally avoid trader profile given exporters exposed to recent tariffs - Okay with services companies and distribution models (e.g. Rashi, Microsoft) - Most limits are factoring with limited recourse; supplier insurance evaluated case-by-case - Security deposit % required is slightly lower for Factoring and Leasing products - Can do reverse factoring and purchase invoice discounting/inventory funding but not very bullish on it - …more in playbook - Promoter personal guarantee (personal guarantee) was a concern in this deal - Prefers manufacturing/seller-or-buyer good profile; would ideally avoid trader profile given exporters exposed to recent tariffs - Okay with services companies and distribution models (e.g. Rashi, Microsoft) - Most limits are factoring with limited recourse; supplier insurance evaluated case-by-case - Security deposit % required is slightly lower for Factoring and Leasing products - Can do reverse factoring and purchase invoice discounting/inventory funding but not very bullish on it - Not very keen on Agri and EV sectors - Leasing team wants to be aggressive on IT assets and car leasing - Factoring also seen as having growth scope - Auto ancillaries and steel are key focus sectors - Cautious on chemicals, textiles and manpower management sectors unless done via factoring - Prefers secured deals backed by hard collateral. - Wants profitable companies. ### Screening gates and observed behaviour - Borrower: CIBIL ≥650 · Delhi (varies by product) - Financials: TOL/adjusted tangible net worth ≤5 · debt/EBITDA ≤4 (cohort ≈0.9×) · debt/networth ≤4 (cohort ≈0.8×) · DSCR ≥1 - Deal: rate 10–18% (range across products — see matrix) · ticket ₹3–1000cr · tenure 12–60mo (range across products — see matrix) - Security (observed): Personal Guarantee Of Promoters / Directors / Property Owner (100%) · 1st/pari-passu charge on current assets (58%) · 1st charge on P&M (50%) - median ticket ₹10cr - median rate 13% - median turnaround 49d - Security asked in : FD margin 20–30% (×9), Fixed Deposit <5% (×8), FD margin 5–10% (×8), FD margin 10–15% (×8) - Security asked in : Personal Guarantee Of Promoters/Directors (×30), 1st/pari-passu charge on current assets (×23), FD margin 10–15% (×19), Escrow Of Cashflows (×15) - Security asked in 2026: Personal Guarantee Of Promoters / Directors / Property Owner (×26), 1st/pari-passu charge on current assets (×15), 1st charge on P&M (×13), Escrow Of Cashflows (×12) - share → in-principle approval (initial interest): ≈14d - in-principle approval → sanction (underwriting): ≈16d - sanction → disburse (closing): ≈8d ## Eligibility - TATA CAPITAL LIMITED ### Prefers - Category B scrips can be funded at the same % as category A, but requires approval - Maintains an approved list of ≈3000 scrips categorized into A, B and C - Pricing for single scrips starts at 10-10.25%, otherwise better - Maintains an approved list of ≈3000 scrips categorized into A, B and C - Maximum loan amount of 40cr - Subharaman manages the south region for loan against shares and securities - Pricing for single scrips starts at 10-10.25%, otherwise better - Usually funds 40% of portfolio value for a single scrip in category A ### Screening gates and observed behaviour - Borrower: CIBIL ≥650 - Financials: TOL/adjusted tangible net worth ≤5 · debt/EBITDA ≤4 · debt/networth ≤4 · DSCR ≥1 - Deal: rate 9.2–13% · ticket ₹3–40cr - Security (observed): share pledge ≤51% (100%) - Security asked in 2026: share pledge ≤51% (×1) - share → in-principle approval (initial interest): ≈1d - in-principle approval → sanction (underwriting): ≈0d ## Sanctioned terms (from 85 real sanction letters) ### Sanctioned amount: median ₹2 cr (₹12L–₹332 cr) · NEW ×17 · RENEWAL ×12 - median ₹2 cr (₹12L–₹332 cr) · NEW ×17 · RENEWAL ×12 ### Typical security: Fixed Deposit ×11, Movable Fixed Assets ×3, Debt Mutual Fund ×3, Fixed Deposit / Debt Mutual Fund ×3, Stocks and Receivables ×2, Immovable Property (Land) ×2 - Fixed Deposit ×11, Movable Fixed Assets ×3, Debt Mutual Fund ×3, Fixed Deposit / Debt Mutual Fund ×3, Stocks and Receivables ×2, Immovable Property (Land) ×2 ### Typical covenants: - Other standing covenants — 49% of letters (e.g. "Non-adherence of financial covenants of sanction letter attracts an additional one-time charge of Rs.20,000/- per Financial Year.") - Other standing covenants — 49% of letters (e.g. "Non-adherence of financial covenants of sanction letter attracts an additional one-time charge of Rs.20,000/- per Financial Year.") ### Term sheet by ticket size: (facilities, largest first) - (facilities, largest first) ## Sanctioned terms (from 67 real sanction letters) ### Sanctioned amount: median ₹1.1 cr (₹12L–₹332 cr) · NEW ×10 · RENEWAL ×7 - median ₹1.1 cr (₹12L–₹332 cr) · NEW ×10 · RENEWAL ×7 ### Typical security: Fixed Deposit ×6, Movable Fixed Assets ×3, Immovable Property (Land) ×2, FD/MF ×2, Cheque ×2, Residential Property (Mortgage) ×1 - Fixed Deposit ×6, Movable Fixed Assets ×3, Immovable Property (Land) ×2, FD/MF ×2, Cheque ×2, Residential Property (Mortgage) ×1 ### Typical covenants: - Other standing covenants — 40% of letters (e.g. "Non-adherence of financial covenants of sanction letter attracts an additional one-time charge of Rs.20,000/- per Financial Year.") - Other standing covenants — 40% of letters (e.g. "Non-adherence of financial covenants of sanction letter attracts an additional one-time charge of Rs.20,000/- per Financial Year.") ### Term sheet by ticket size: (facilities, largest first) - (facilities, largest first) ## Common questions ### What does Tata Capital lend? Tata Capital writes domestic factoring, dropline overdraft, finance lease, loan against property, loan against securities, operating lease and 6 further products. Across those, observed facilities run ₹3 cr to ₹15 cr. ### What ticket size does Tata Capital offer? Facilities observed on live transactions run from ₹3 cr to ₹15 cr. The band differs by product, so the figure that applies to you depends on which facility you are asking for. ### What rate does Tata Capital charge? Rates observed on live transactions fall between 10.5% and 12% a year. Tenures run 12 to 48 months. These are observed figures, not a quote, and the rate you are offered depends on your file. ### How long does Tata Capital take to disburse? About 49 days from application to disbursal at the median, where the file is complete. Missing financials, unresolved security or a pending no-objection from an existing lender are what usually stretch it. ### What are Tata Capital's eligibility criteria? The first screen is the bureau: a borrower CIBIL of at least 650. Revenue, leverage and debt-service thresholds apply on top and vary by product. The full credit box for each product is set out on this page. --- Check which lenders fund a business like yours: https://www.recurclub.com/recur-market All lenders: https://www.recurclub.com/lenders Lender intelligence dossier - screening gates, per-product terms and sanction observations, derived from lender policy documents and observed transactions. Figures are observed from a sample and are not an offer, a commitment, or a statement of Tata Capital's current policy.