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Commercial Loan
November 09 , 2012

Commercial loans are loans extended to small and medium businesses. Banks and financial institutions lend to businesses to finance their day to day operational expenses and capital expenditure requirements. A variety of products are available in the commercial loan market like cash credit, overdraft, secured loans, term loans, project finance, export finance and ECBs.

Like all other lending, loan sanctioning of commercial loan depends on the credit worthiness of the business which they establish by scrutinizing balance sheet and profit & loss account of previous two years.

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