Raw materials are quite literally the building blocks of any project. You need them to construct buildings, to manufacture medicine, and even to weave beautiful fabrics. They come in the form of different types of pipes, construction materials, yarn, chemicals, textile products, steel, and more.
The quality of raw materials decides the quality of the end product - be it a simple wall or a handwoven piece of cloth.
There are several grading systems when it comes to raw materials that define their quality and also their price. Most companies dealing in raw materials work with stringent quality control protocols. All the products are tested at multiple stages to ensure superior quality and extraordinary finish.
The raw material industry is looking towards a future with advanced logistics and ecommerce websites. Raw materials often have to be transported across continents, and the industry is fast adapting to technologies like GPS, logistics software, automation, robotics, and more.
With raw material ecommerce websites, businesses can now purchase raw material online. These websites deal in steel raw material, plastic raw material, chemicals, yarns, and more.
You just have to log in to the website and check the availability of raw materials. To buy raw materials at best price in India, you can get on the EFLConnections website and browse through the sections. EFL Connections is an Indian online B2B platform that helps MSMEs procure raw materials through its tie-ups at reasonable rates. Right now, you can purchase steel and plastic granules easily on the website.
Raw material financing is the working capital loan that is given to address the need for raw materials for a project. It can be used to purchase raw materials or manage day-to-day business expenses according to the requirements. You can get a working capital demand loan from Electronica Finance Ltd (EFL) and sort out the initial stage money woes.
EFL offers a maximum loan amount of up to Rs. 50 lakhs. It provides flexible interest rates according to the customer profile. This means, if a business comes with good credibility, it will have to pay lower interest rates as opposed to businesses whose profile is new or have had difficult transactions in the past.
The repayment method is short-term. That is, every working capital demand loan provided by EFL is for up to 90 days. A borrower has to pay it within this time period to avoid penalties. Business partners can apply for multiple loans with EFL for raw material financing. They can apply again after the repayment of the current loan. EFL applies interest only on the amount used by the partner and not on the amount disbursed. This way, businesses save a lot of money that they would otherwise pay as interest.
To get raw material finance from EFL, businesses need to have:
1. A turnover above Rs. 2 crores
2. A bureau score of more than 700
3. A business vintage of more than 3 years
All of these points improve a business’s chances of getting a loan from EFL but are not mandatory. EFL Connections also has an eligibility calculator to help out the partners.
EFL Connections is promoted by EFL which is a part of the SRP Electronica Group, which started in 1990. In the last three decades, EFL has become a pioneer in the field of machine finance. Today, EFL has more than 50 offices in India and has served more than 7500 customers. EFL works with the vision of creating success stories for businesses and pursues it with complete passion.