Banking Notes
The Reserve
Bank of India on July 23, 2012, introduced a new category of NBFC Factors and
stipulated that every company seeking registration as NBFC-Factors would have a
minimum net-owned fund (NOF) of Rs 5 crore.
Existing companies seeking
registration as NBFC- Factor but do not fulfill the NOF criterion of Rs 5 crore
may approach the RBI for time to comply with the requirement. An NBFC-Factor
would ensure that its financial assets in the factoring business constitute at
least 75 percent of its total assets and its income derived from factoring
business is not less than 75 percent of its gross income. However they should
raise the asset/income percentage as required or unwind the factoring business
within 2 years from the date of this notification.
0 comments:
Post a Comment