OVERDRAFT LIMIT (DOD)

Flexible Business Finance with a Drawing Overdraft (DOD)

Managing day-to-day business operations often requires immediate access to working capital. A Drawing Overdraft (DOD) or Overdraft Limit provides businesses with a revolving line of credit, allowing them to withdraw funds as needed within an approved limit. Interest is generally charged only on the amount utilized, making it an efficient financing solution for managing cash flow.

At Infinity Credit Consultants LLP, we help businesses compare multiple banks and financial institutions to secure the most suitable Overdraft Limit based on their financial profile and funding requirements.

What is a Drawing Overdraft (DOD)?

A Drawing Overdraft is a secured or unsecured revolving credit facility that enables businesses to access funds whenever required, up to a sanctioned limit. As repayments are made, the available credit limit is restored, allowing repeated withdrawals during the validity of the facility.

Unlike a term loan, you don’t need to borrow the entire sanctioned amount at once.

Why Choose an Overdraft Limit?

A DOD facility provides financial flexibility and helps businesses maintain smooth operations without interrupting cash flow.

• Revolving credit facility
• Interest only on utilized amount
• Improved working capital management
• Quick access to funds
• Flexible withdrawals and repayments
• Online banking access
• Better liquidity management
• Faster business operations

Who Can Apply?

Our Overdraft solutions are suitable for:

Proprietorship Firms

Small and medium businesses operating as sole proprietorships.

Partnership Firms

Registered partnership businesses requiring working capital support.

LLPs

Limited Liability Partnerships with established business operations.

Private Limited Companies

Growing businesses seeking flexible credit facilities.

Manufacturers

Businesses involved in production and industrial activities.

Traders & Wholesalers

Businesses dealing in buying and selling goods.

Retail Businesses

Retail stores and multi-location businesses.

Service Providers

Consultants, agencies, contractors, and other service-oriented enterprises.

Common Uses of an Overdraft Facility

Businesses commonly use Overdraft Limits for:

• Working capital requirements
• Purchase of inventory
• Vendor payments
• Salary payments
• GST and tax payments
• Utility and operational expenses
• Seasonal business requirements
• Business expansion
• Managing temporary cash flow gaps
• Short-term funding needs

Key Features

• Revolving credit facility
• Flexible withdrawals
• Interest charged only on utilized amount
• Renewable credit limit
• Online banking access
• Business-friendly repayment options
• Competitive interest rates
• Fast processing

Benefits for Businesses

An Overdraft Limit helps businesses maintain uninterrupted operations by ensuring funds are available whenever needed. Instead of applying for a fresh loan every time additional capital is required, businesses can access funds instantly within the sanctioned limit.

This improves liquidity, strengthens vendor relationships, and supports business growth.

Documents Generally Required

KYC Documents

• PAN Card
• Aadhaar Card
• Business Address Proof
• Constitution Documents

Business Documents

• GST Registration
• Udyam Registration (if applicable)
• Business Proof
• Partnership Deed / LLP Agreement / MOA & AOA (as applicable)

Financial Documents

• Income Tax Returns
• Financial Statements
• GST Returns
• Bank Statements
• Existing Loan Details (if any)

Additional documents may be required depending on lender policies.