Business Loan Category

“Business Loan” – Supporting Hand for my Business

Are you looking to set up your own business? Or need finances to take up your business to the next level? Or you are looking to invest for some new venture? Then need not worry, when “BUSINESS LOAN” is there to become your supporting hand for your dreams. Business loan is a great tool you can use for extending or taking your business to the next step. It is of great support when it comes to increasing finances towards business needs. If you are the one who has same requirements for business then Business Loan is a must for you. Read more to understand more about Business Loans.

What is a Business Loan?

A financial support intended for meeting business purposes is Business Loan. A business loan may be secured or unsecured in nature.

Secured Business Loan – When a borrower pledges an asset against the debt. If the debt is not repaid, the lender may claim the secured asset.

Unsecured Loan – When the borrower doesn’t need to pay any collateral or guarantee. But the lender still haves a general claim on the borrower’s assets if replacement is not made.

A business loan is the money you borrow from a bank or financial institution in order to start your business. It comes either with a fixed or variable interest rate. It often supports working capital and contributes to a business’s goodwill. The banks offer business loan up to 30 lakhs with and without collateral with pre-approved offers.

Advantages of choosing a Business Loan

    • 1. No Collateral Required – No collateral or security is required to apply up for a Business Loan. You need not provide any asset to avail a Business Loan. The lender usually goes through the loan applicant’s credit history, age, location, income details of the past few years.
    • 2. Interest Rate is fixed – The interest rates for Business Loan are fixed. It means it will not change for the entire Loan Tenure. The interest rates starts from 14.99%
    • 2. Interest Rate is fixed – The interest rates for Business Loan are fixed. It means it will not change for the entire Loan Tenure. The interest rates starts from 14.99%
    • 3. Flexible Repayment Tenure – Flexible repayment tenure up to 5 years is offered to the loan applicants.
    • 4. Minimal Documentation – You can easily apply online to avail for a Business loan with a minimal requirement of paper work. Once the loan application is approved, the loan is processed within a day or two.
    • 5. Tax Benefits Offered – People taking Business loan for their businesses can enjoy tax benefits. The ratio of profits is used to pay the loan amount; it is exempted from the tax calculations.
    • 6. Non-Profit Sharing – There is no share of profit or loss. Banks usually sanction a loan with the intention of getting their interest and partial loan-payment installments.

Categories of Business Loan

Mentioned below are the types of Business Loans which you can choose online as per your need and requirements.

    • 1. Term Loans – Term loans consist of short term, long term and other intermediate loan. You can avail these loans as per your requirement and economical condition. The loan tenure for a short term loan is 3 years and for a long term loan is 10-15 years. The term loans are offered for the acquisition of long-term fixed assets including land, building, machinery, or other business needs. The interest rates can be either fixed or floating.
    • 2. Overdrafts – Overdrawing from a current account is Overdrafting. If an account holder takes out more money that has been deposited in the account. Then an agreed rate of interest will be charged if the overdrawn amount is within the limits of the preceding agreement.
    • 3. Bill Discounting – Through bill discounting you get instant cash back on your large purchases. And you even get discount on the credit sales. For this purpose you need to submit the important documents which will validate your transactions, like invoices, transportation receipts, landing bills etc.
    • 4. Business loan schemes for women entrepreneurs – Banks are giving attractive business loan schemes to women entrepreneurs. The banks provide relief in terms of interest rates and collateral. Some banks even provide business consulting, training, and counseling regarding marketing and showcasing of their products.
    • 5. Working Capital Loans – You can easily apply online to avail for a Business loan with a minimal requirement of paper work. Once the loan application is approved, the loan is processed within a day or two.
    • 5. Tax Benefits Offered – It is offered to meet the daily operating expenses of the business. These loans are secured as well as unsecured.

Can I Apply for a Business Loan?

To apply for a business loan you need to fulfill basic conditions so as to avail a business loan. And if you are successful in meeting the requirements the bank will surely process your application and loan will be processed. A person who is running a legitimate business with a good earning can easily apply for a business loan.

The eligibility criteria to get an instant approval online for Business Loans are mentioned in the table below. Please go through before applying online:

 

FactorDocument
Identity ProofID/ Age Proof - PAN Card/ Passport/ Signature Proof/ Aadhar Card and Residence Proof – Passport/Utility bills/ Bank Statements.
Proof of businessShop and Establishment Certificate/ Vat Registration Certificate/ Service Tax Certificate.
Business ProfileName of the company on the letterhead
Company FinancialsLast 3 years IT tax returns with profit and loss account and balance sheet duly audited by CA.
ChequeCheque of Processing Fee.

Documents required for applying for a business loan

The documents required for applying for a Business Loan differs from category to category. So check out the essential documents required as per you category/business

 

1. Self-Employed

FactorRemarks
AgeMin. 21 and Max. 65 years
Business Statusi. Self-employed individual
ii. Limited or Private Limited Firm
iii. Manufacturer or Service Provider
Business ProfitabilityApplicant must be in business for at least 3 consecutive years
Company FinancialsComplete financials including Balance sheet and Profit & Loss statement for latest 2 years, Tax audit reports.
Credit ScoreGood credit score of 650 or above
Business TurnoverMust be at least 50 lakhs per annum with minimum 2 lakhs of profit

2. Salaried

FactorDocument
Identity ProofID/ Age Proof - PAN Card/ Passport/ Signature Proof/ Aadhar Card and Residence Proof – Passport/Utility bills/ Bank Statements.
Salary DetailsSalary slips of last 3 months and last 6 months bank statement reflecting salary credits.
Other DocumentsForm 16 of last 2 years or Income Tax Returns.
ChequeCheque of Processing Fee.

3. Partnership Firm

FactorDocument
Age Proof/ID ProofAge proof of all the partners in the form of PAN Card, Passport or Aadhar Card and PAN Card of company
Residence ProofUtility Bills/ Passport/Bank statement/ Registered rent agreement.
Business ProofShop and Establishment Certificate/Vat Registration Certificate/ Service Tax Certificate.
Company FinancialsLatest 3 years Income Tax returns with profit and loss and balance sheet duly audited by CA.
Bank Statement of CompanyLatest 12 months bank statement of the Company and of the Partners’ Savings Bank Account.
Loan LetterExisting Loans' Sanction letters accompanied with repayment track.
Business ProfileName of the company on the letterhead
ChequeCheque of Processing Fee.

4. Private Limited Company

FactorDocument
Age Proof of DirectorsPAN Card, Aadhar Card, and passport.
Residence Proof of DirectorsUtility Bills/ Passport/Bank statement/ Registered rent agreement.
Application FormApplication form duly filled with photographs of directors.
Company DetailsPAN Card of the company, MOA, AOA, List Of Directors, Share Holding Pattern of the Company.
Education QualificationA professional qualification certificate in case of Doctors/CA/Architects.
Proof of BusinessShop and Establishment Certificate/Vat Registration Certificate/ Service Tax Certificate.
Company FinancialsLast 3 years IT returns with Profit and Loss account and balance sheet duly audited by CA.
Bank Statement of CompanyLatest 12 months bank statement of Company of all current accounts and the same for Director’s Savings Bank Account.
ChequeCheque of processing fee

Why choose us for your Business Loan?

Now days Business Loan is offered from almost every bank and many websites are promoting the same. But you wish to choose the platform which offers you the best deals on Business Loan with maximum advantages. The service-oriented professionals provide you support from the initial stage to the end stage of loan disbursement. So the ball is in your court, you need to decide where you want to go for a availing a business loan.

Few reasons which will you will love to choose us for your supporting hand in business:

1. You can easily check your business loan eligibility through our EMI calculator.

2. By opting for quick paperless online loans you can get an instant approval within 5 mins. and disbursal of loan amount in 24 hours.

3. No need to visit any lending institution. The entire process is completed while sitting at home.

4. The website is user-friendly and provides you with complete information regarding business loan offerings from top banks and NBFCs in India.

5. One can check business loan eligibility before applying for the business loan easily, and can get to know whether he/she is eligible for a business loan or not, using the business loan eligibility calculator.

6. End to end assistance along with doorstep service with a dedicated customer care team for smoother processing and disbursal of your business loan.

STEPS TO APPLY FOR ONLINE BUSINESS LOAN

Check your eligibility and fill in the Business Loan Application FormCompare various Business Loan options, and apply for the best optionAfter successful submission of the application get an instant e-approval

Business Loan EMI Calculator

The EMI Calculator helps you in calculating the monthly installment for the desired loan amount, interest rate and tenure. So check out your EMI as per your monthly budget.


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