A business loan is a loan given without any security guarantee. You can use it to meet the needs of business growth. Business loans help in getting capital for your company. With this capital, you can take the business to a larger level. Demand can be increased, your work can be taken online or even new equipment can be purchased. The fast flow of business finance helps you in carrying out important transactions, timely payments and other business tasks.
Do you want to take a business loan to grow your business? Then you are at the right place. Here we have made a list of Top 3 Best Business Loan Offering Banks. With the help of which you can choose all the banks for your business and take a business loan.
Eligibility For Business Loans
- A business loan provider in India can also lend money without any security. It depends on the lender. Every business has to meet certain criteria to get a loan. These criteria are:
- Age should be above 21 years and below 65 years at the time of applying for the loan.
- Corporations, sole proprietors and private companies engaged in trading, production or services are eligible for business loans.
- The applicant should have worked in the industry for 3 years or have at least 5 years of experience.
- Business loans are available to businesses that have been running for the last 1 year and have a monthly sales of at least Rs 2 lakh.
- If the company has been providing services for more than 3 years, then business loans in India can also be applied online.
- We also ensure that there are no errors in the previous accounts and the company also pays taxes on time.
Documents Required For Business Loan
- Personal KYC: PAN Card
- Residential Address Proof (Any): Rent Agreement, Driving License, Voter ID Card, Ration Card, Aadhaar Card, Passport
- Banking: Last six months account bank statement
- Business KYC (Any): GST Registration Certificate, Shops & Establishment Certificate
- Financial Documents (For loans above Rs 20 lakh): 2 years audited financial reports, last 2 years ITR, 6 months GST returns
What Kind Of Needs You Business Loan?
- To start a new business
- For business expansion purposes
- To meet working capital requirements
- To increase business cash flow
- To purchase raw materials
- To purchase new or upgraded equipment and machinery
- To pay rent and salaries
Top 3 Best Banks for Business Loans
The following is a list of some of the finest Indian banks that offer business loans to help India’s corporate sector grow:
1. SBI (Small Business Loans)
The SBI commercial loans are a facility for small and medium-sized businesses. They are designed to assist small enterprises in increasing their assets. The lowest loan amount available to MSME enterprises is above ₹10 lakh, with a maximum of ₹25 lakh. The SBI small company loans are unique in that they need 40% annual property as collateral and have an interest rate that is tied to the Marginal Cost of Funds based Lending Rate (MCLR).
2. ICICI Bank Business Loan
ICICI business loan is another great option for loan seekers. It provides business loan for purchasing new plant and machinery or new property. Also, loan can be availed from ICICI Bank for setting up a new industrial unit, or for modernization/expansion/renovation of your existing unit.
3. HDFC Bank Business Growth Loan
HDFC Bank offers loans for everyone whether it is self-employed individuals, proprietors, partnership firms or companies that are involved in the business of trading, manufacturing or service. With HDFC Bank, you can avail a loan of Rs 10 lakh to Rs 40 lakh without collateral or any other security. The other exciting thing about HDFC business loan is that here you can get special benefits like flexible repayment option or overdraft facility.
Conclusion
A bank loan can benefit individuals who need finance to grow their business, or for their new startup, purchase equipment, etc. Getting a bank loan in India has become relatively simple nowadays. If you have any question regarding this post, then you can tell us by commenting in the comment box given below. Your feedback and suggestions are welcome as always. Thank you.
