Unsecured Business Loan offers for you

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Bajaj Finserv Business Loan

LOAN UPTO

₹ 45,00,000

interest

ESTIMATED RATE

16
fees

PROCESSING FEES

2%
tenure

AVAILABLE TENURES

1 - 5 years

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Tata Capital Business Loan

LOAN UPTO

₹ 50,00,000

interest

ESTIMATED RATE

18.5
fees

PROCESSING FEES

2.5%
tenure

AVAILABLE TENURES

1 - 3 years

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Capital First Business Loan

LOAN UPTO

₹ 75,00,000

interest

ESTIMATED RATE

18.5
fees

PROCESSING FEES

3%
tenure

AVAILABLE TENURES

1 - 3 years

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Fullerton Business Loan

LOAN UPTO

₹ 10,00,000

interest

ESTIMATED RATE

12
fees

PROCESSING FEES

1%
tenure

AVAILABLE TENURES

1 - 5 years

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HDFC Bank Business Loan

LOAN UPTO

₹ 10,00,000

interest

ESTIMATED RATE

15.5
fees

PROCESSING FEES

2.5%
tenure

AVAILABLE TENURES

1 - 4 years

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ICICI Bank Business Loan

LOAN UPTO

₹ 24,99,999

interest

ESTIMATED RATE

18.5
fees

PROCESSING FEES

2%
tenure

AVAILABLE TENURES

2 - 50 years

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Standard Chartered Business Loan

LOAN UPTO

₹ 75,00,000

interest

ESTIMATED RATE

17
fees

PROCESSING FEES

1.5%
tenure

AVAILABLE TENURES

5 - 15 years

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Edelweiss Business Loan

LOAN UPTO

₹ 1,00,00,000

interest

ESTIMATED RATE

18
fees

PROCESSING FEES

2%
tenure

AVAILABLE TENURES

1 - 30 years

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Aditya Birla Finance Business Loan

LOAN UPTO

₹ 1,00,00,000

interest

ESTIMATED RATE

18.5
fees

PROCESSING FEES

2%
tenure

AVAILABLE TENURES

1 - 4 years

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Magma Business Loan

LOAN UPTO

₹ 2,00,00,000

interest

ESTIMATED RATE

17.5
fees

PROCESSING FEES

2%
tenure

AVAILABLE TENURES

1 - 3 years

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IndusInd Business Loan

LOAN UPTO

₹ 50,00,000

interest

ESTIMATED RATE

18.5
fees

PROCESSING FEES

2%
tenure

AVAILABLE TENURES

1 - 3 years

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Deutsche Bank Business Loan

LOAN UPTO

₹ 50,00,000

interest

ESTIMATED RATE

16
fees

PROCESSING FEES

2%
tenure

AVAILABLE TENURES

2 - 3 years

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Kotak Bank Business Loan

LOAN UPTO

₹ 1,00,00,000

interest

ESTIMATED RATE

11.5
fees

PROCESSING FEES

1%
tenure

AVAILABLE TENURES

1 - 7 years

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About Business Loan

The business loan is a type of financial assistance one can avail to meet various needs of a new or a growing business. The lender feels comfortable to offer a business loan to a borrower if the application is backed by a strong business plan with decent cash flow goals and capital gain much greater than the interest of the secured loan. If you have less capital in hand, it is wise to opt for business loans in the following scenarios.

Planning to establish a new business

Planning a rapid business expansion

Need new equipment and machinery for your business

Require additional working capital for your business

Need capital infusion in the business to turn it profitable

Need capital to replay previous loans

What are Types of Business Loans?

Based on its nature, the business loans are categorised into eight types.

Term loans

Lenders offers both secured and unsecured business loans based on state and need of the business. There are three types term loans available with the lenders, these include: a) short-term loans, b) long-term loans and c) intermediate loans. The repayment schedule of term loans can be monthly or quarterly. Based on the term loan secured, the type of interest can be floating or fixed

Demand loans

A demand loan needs to be repaid based on the demand schedule of your lender. Banks and the financial institutions offer both secured and unsecured demand loans. The repayment tenure of demand loans extends up to maximum 12 months

Loan against securities

Such loans are offered based on bank approved financial securities such as insurance policies, mutual funds, demat shares, saving bonds, fixed maturity plans etc. Such loans can be secured to mitigate an immediate financial crisis

Invoice discounting

During a financial crisis, the business can secure instant cash from the lender by submitting invoices of credit sale as security

Letter of credit facility

This type of business loan typically used in international transactions. This type of loan can be availed based on the creditworthiness of buyer's bank when the seller and the buyer do not know each other. This ensures on-time payments to the seller based on the letter of credit offered by the bank

Cash credit facility

It is similar to the overdraft facility. In this facility, the maximum withdrawn limit is set by the lending bank. The repayment tenure can be renewed for such loans in each 12 months

Bank guarantee

It is a type of secured loan and can be availed with a mortgage or bank guarantees such as property as collateral.

Women-specific loans

Majority of the banks and Non-Banking Financial Companies (NBFCs) offer exclusively women specific loans to promote women entrepreneurship. These loans come with a plethora of benefits such as lower interest rates, flexible repayment tenure etc.

What are the Key Features of Business Loans?

As an informed and smart borrower, you should understand all the basic and advanced features of business loans. Below is the list of key features of the business loans that are offered in India.

The loan amount of a business loan primarily depends on the state of business, valuation, profits, the age of the business and the industry it is operating in

Documentations quick, easy and hassle free

It offers flexible repayment options based on the profile of the borrower and the business

What are the Benefits of Business Loans?

Business loans are the most preferred options to make funds available for your business.

Below is a list of various outstanding benefits offers by business loans.

An unsecured business loans offer immediate financial assistance to a business based on their unique requirements. Such loans offer flexible repayment tenure with lower interest rates

Today, most of the lenders in India does not require any security or guarantor to avail a business loan. Further, these financial institutions are offering doorstep services to the applicant today

With the advent of the Internet, the evaluation of eligibility and approvals of loans are becoming lighting fast; some of the lenders offer services like business loan eligibility in one minute etc.

A few of the lenders offer higher business loan amounts to the self-employed individuals

Eligibility for Business Loans

The eligibility for securing business varies based on the profile of the applicants. Based on the type of business the applicant engages, the applicants fall into three broad categories.

Self-Employed Professionals

The professionals such as company secretaries, architects, doctors, chartered accountants etc. come under this category

Self Employed Non-Professionals

The applicants such as manufactures and traders fall into this category

Entities

Partnership firms, LLPs, private limited companies and closely held limited companies

As part of the eligibility criteria set by the lenders, the applicant needs to fulfil the below to apply for a business loan.

Must have a business turnover of Rs. 40 Lakhs

Must run the current business for at least three years

Must have five years of total business experience

The business must be in a profitable state for the last two years

Must have an annual income of Rs. 1.5 Lakh per annum

Applicants should be in the age group of 21 to 65

At the time of maturity of the loan, the age of the applicant should not be greater than 65

What are the Documents Required to Apply for a Business Loan?

To apply for a business loan, the majority of the lenders asks to submit the below documents along with the duly filled application form.

PAN card of the individual, firm and the company

Proof identity

Proof of address

Last six months bank statement

Most recent ITR with the computation of income

Last two year’s audited profit & loss details and balance sheet

Proof of business continuation

Partnership deed, MOA and AOA etc.

Interest Rates of Business Loans

In case of a business loan, the interest rates vary based the lender you are working with. Further, in addition to the interest on the loan amount, the banks and the financial institutions also charge a nominal processing fee on the loan amount. In addition, banks also add the charge of CIBIL report of the applicant.

Best Business Loans Providers of India

Majority of the financial institutions offers business loans in India. The top banks and the financial service providers who offer business loans include 1) HDFC Bank, 2) ICICI Bank, 3) State Bank of India, 4) Kotak Mahindra Bank, 5) Bank of Baroda, 6) Federal Bank, 7) Bajaj Finserv, 8) Fullerton India, 9) TATA Capital, 10) Magma Fincorp, 11) Au Financiers, 12) Capital First, 13) Mahindra Finance, 14) Aditya Birla Finance and 15) HDB Financial Services (HDBFS)

Frequently Asked Questions

What kindly security accepts by the banks while applying for a business loan?

Currently, to avail business loan banks or lender do not ask for any security. The business loans are offered based on the evaluations of the submitted documents along with the duly filled application.

I am event manager and have been working in the industry for almost 9 years. Am I eligible for a business loan to set up my event management company?

Yes, you will be eligible for availing a business loan based on the evaluation of the submitted document along with your business plan.

Does banks asks for personal details to use an EMI calculator of a business loan?

No, it is not mandatory to provide personal details to use an online EMI calculator

Where I can use the amount received via business loan?

You can apply for a business loan to fulfil the below requirements.

Fund your new or existing business

Make additional capital available for your business

Renovation of home

Expansion of business

Expenses for your child’s education

How long it takes to know the eligibility of business loan?

In the advent of the Internet, today, most of the banks and lenders offer efficient online services to its customers. With the help of online banking tools, applicants can check their eligibility to avail a business in a fraction of one minute