A Business Loan is a loan with/without security, giving you access to credit that can be paid back over an agreed time along with the interest. It can be used for the expansion of an existing business or investing in a new one. We are committed to help your growing businesses with small Business Loans in India.
Business Loans generally have a short tenure and requires collateral depending on the loan amount.
Banks & NBFCs may also ask for Commercial/Residential property as additional security.
Interest Rates and Tenure
The interest rate for a business loan often ranges between 12%-18%.
A business loan is reviewed periodically by the banks & NBFCs.
- The following entities are eligible for a working capital loan:
- Sole Proprietorship
- Private/Public Limited Companies
- Chartered Accountant / Self Employed Professional
Documents Required :
- Entity profile
- Profile of the group concerns
- Financials of the entity for the latest 2 years
- Bank statements of the entity for the last 12 months
- Office Proof of the entity
- Copy of title deeds of the property with Municipal Tax Receipts and Sanction Plan
- Copies of all lease and sub lease agreements in connection with the property
- MOA and AOA in case of Company or Partnership Deed in case of partnership firm
- Latest 2 years Personal Balance Sheets and ITRs of the proprietor or all the directors or all the partners
- Bank statements of the proprietor or all the directors or all the partners for the last 6 months
- Identity proof of proprietor or all the directors or all the partners
- Residential Proof of all the directors or partners
A. Working Capital Loans
A Working Capital loan is a loan for Micro, Small and Medium Enterprises to cover the Working Capital cycle as well as meet the daily operational costs. The types of facilities for working capital loans include: Overdraft Loan/Cash Credit Loan. Collateral accepted for working capital loans include: Stock Book-Debts.
B. Term Loans
Given the growth opportunities your business enjoys you may need long-term funds for capex or capacity expansions or plant modernization and so on. Keeping these requirements in mind we provide term loans upto acceptable tenor with suitable moratorium, if required, and repayment options structured on the basis of your estimated cash flows. These loans are primarily secured by a first charge on the fixed assets acquired through the loan amount. Suitable collateral security is also taken whenever required.
C. Export Finance
Get finance for export activities in the form of Pre-Shipment Credit against firm order and or Letter of Credit and Post shipment credit. Credit is easily available for procuring raw materials, manufacturing the goods, processing and packaging the goods and shipping the goods. Finance is provided in Indian or foreign currency as required by the borrower.
D. Clean Bill Discounting
We provide clean bill discounting facilities to fund your receivables. We discount bills or receivables from your credit worthy clients and provide credit against that. This facility is provided for a period of 3-6 months depending upon the tenor of the bill.
E. LC Backed Bill Discounting
We discount trade bills drawn under Letters of Credit issued by reputed banks to fund your receivables. This facility is provided for a period of 3-6 months depending upon the tenor of the bill or Letter of Credit.
F. Co-Acceptance of Bills
We also provide co-acceptance of trade bills depending upon the need of the borrower.