Questionnaire on Bank Credit Facilities Available to SME’S

I, Arshia Arora a student of a University Business School, PURC Ludhiana

is conducting a research on Bank Credit Facilities Available to SME’S. I request
you to take a few moments of your time and answer a few questions. I assure you
that the information provided by you will be kept confidential.
Name ………………………………..
Designation ……………………………….
Name of the company ……………………………….
Location ……………………………….

Question Section
1. What is the nature of your business?
Manufacturer Service
Others
Please Specify____________

2. What is the form of your organization?

Sole Trader Partnership Firm
Co-operative Society Private Limited

3. For how long you are running your business?

1-5 years 5-10 years
10-15 years More than 15 years

4. What is the investment outlay of your organization?

10 Lakhs to 25 Lakhs 25 Lakhs to 1 Crore
1 Crore to 5 Crore 5 Crore to 10 Crore
5. From which source your firm has borrowed the capital for the organization?
Commercial Banks State Financial Corporation
Commercial Banks and State Financial Corporation
Friends and Relatives Money Lenders

6. What is the business turnover of your organization?

Less than Rs.50 Lakhs 50 Lakhs to 1 Crore
1 Crore to 2 Crore More than 2 Crore
7. Does bank encourage credit facility to SME’s as an a economic responsibilities?
Yes No
8. What type of credit facilities you generally choose for your business operations?
Long term Short term
9. What is the main priority sector to you while going to a particular or same
bank?
Strongly Agree Neutral Disagree Strongly
Agree Disagree
Interest
Rate
Services
Long term
relations
Special
preferences

10. Which of these following facilities is provided by your bank?

A) Over draft
B) Cash Credit
C) Term Loan
D) Others
1 What are the Problems being faced by the SME’s in obtaining the credit?
Non Eligibility of Credit
Rise in Interest Rate
Delay in process
Heavy Documentation
Service issues

2 What are the Problems experience by SME’s in securing loans

Delay in sanction
Security problem
No. Of visits paid up & followed up
Incidental expenses
Any other problem

3 For what basis you generally prefer to take such kind of credit facilities?
Increase the production
Increase the working capital
Purchase raw material
Modernization
Business expansion

4 What Type of Subsidies are enjoyed by your organization?

Full
Partial
Nominal
40/60
Nill Subsidy

5 According to you which bank is fast in granting the credit to Sme’s

HDFC
ICICI
Axis Bank
SBI
Others, Please Specify________

6 What kind of behaviour is experienced from the Financial Agencies in granting

loan
Friendly
Neglecting
Helpful
Non-cooperative

7 What is the Percentage of Loan amount sanctioned by the bank?

100%
75%
50%
25%

8 How much time was been taken by the bank for sanction of loan?
1 Week to 1 Month
1 Month to 2 Months
2 Months to 4 Months
4 Months to 6 Months
More than 6 Months
9 What were the Facilities provided by them to repay the loan?
Interest Holiday
Deferred payments
E.M.I
Interest charged on yearly basis

10 What is the capacity utilization or your firm?

Under utilization of the capacity
Over utilization of the capacity
Installed capacity utilization
Not utilizing the installed capacity

Q1. What are the sources of finance used by your enterprise?

A) Owners financing

B) Private financial institutions

C) Equity finance
 D) Bank financing

E) Venture capital

f) Hire purchase and leasing

g) Business angel financing

Q7. What were the problems faced by your enterprise in raising finance from
public sector banks?

A) Insufficient collateral d) Cost involved is

high

B) Poor documentation e) Biasness

C) Delay in the sanction of loan f) High rate of

interest

Please indicate your level of satisfaction with various aspects of obtaining finance
from these public sector banks. Kindly rate them on 5-point scale basis; 5 being
strongly satisfied and 1 being strongly dissatisfied:
Strongly Satisfied Neutral Dissatisfied Strongly
Satisfied Dissatisfied
12.1) The amount
granted by the bank
relative to the
amount requested
12.2) The simplicity
of the application
form
 12.3) Interest rate
12.4) Service fees
12.5) Time to obtain
approval
12.6) Guarantees
required by the
institution
12.7) Behavior of
the bank staff
Q12. Apart from such schemes, what initiatives government can take for
improving SME business in India?
A) Decrease the amount of taxes

B) Support innovative technological companies

C) Guidance for upgrading skills & knowledge of entrepreneurs

D) Assistance and support for revival of sick units

E) Introduce a Single Window concept for helping smes