1.
The Scheme: The Corporation considers
financial assistance for setting up Hotels
/ Motels / Restaurants / Amusement Parks
in order to promote tourism and creation
of employment.
2. Eligibility:
Corporate bodies, Partnerships and Proprietary
concerns are eligible for financial assistance
from the Corporation. Assistance to
hotels of star and non-star categories is considered and for setting up of
amusement parks.
3.
Area of Operation:
The location of the project for which financial
assistance is
sought should be within the jurisdiction
of the State of Tamil Nadu or Pondicherry.
4. Mode &
Quantum of Assistance:
Mode: The Corporation
considers assistance in the form of Term
Loans.
Maximum Loan Limit: For Corporate
Bodies,
the maximum loan limit is Rs.2000 lakhs
and for Partnership / Proprietary
concerns,
the maximum loan limit is Rs.800 lakhs under
Term Loan scheme.
5.
Purpose of loan:
Financial assistance is considered not only
for setting up of new hotels but also for
expansion and renovation of existing hotels.
The Financial assistance is granted for
the purpose of fixed assets like construction
of buildings, purchase of kitchen equipment,
Lift, Furniture etc.
6. Promoter's
Contribution:
The minimum promoter's contribution shall
be 35%.
7. Debt Equity
Ratio: The
maximum debt equity ratio permissible is
3 : 1 for loans upto Rs.10 lakhs and 2 :
1 for loans above Rs.10 lakhs.
8.
Repayment Period:
The repayment period is maximum of 10 years
including an initial moratorium of upto
2 years. The interest / principal
installment
is payable on monthly basis.
