A business loan can be availed with or without security, it depends on the bank that offers loan and then the amount of risk they are ready to take. Whether business loan is for an existing business or to start a brand new one, there are many banks in India that offers loan for both small and big businesses. Getting approval and money is possible within few days if you have all necessary documents and if you meet the eligibility criteria. Here is the list of eligibility criteria to apply for a business loan in India.
To be eligible for a business loan there are a lot of factor that are considered. Every bank that offers loan will look into many criteria prior to sanctioning it. Few important ones are:
There are main factor that affect business loan eligibility directly and indirectly, some on the critical ones are explained below. This helps each individual to make sure they are legally eligible for a business loan. The negatively impacting factors are:
There are various types of business loan customers, while some are direct individual who are self-employed or salaried, the other are entities and companies. A big bank will have both types of customers when it comes to a request of business loan. The criteria, applicant judgment style, measurability, rate of interest and tenure will differ according to each customer type. Thus while applying for a loan, check which customer category you belong to and accordingly look for the eligibility criteria.
Every bank has unique eligibility criteria according to the types of borrowers, location, age of the applicant and so on. Finding a right bank that serves your need is left up to you, though the online applications can help the applicant with variety of options, the choice is left to each individual/ business owner. Here is the list of few top banks and their eligibility criteria for business loan; this can be used to understand per which bank you are eligible for a business loan.
No matter if you are a big corporate house or a small business owner if you are looking forward for the business loan than Axis bank is always there for you. Axis bank provides the business loan against the property. One of the most important features of the loan are competitive interest rate & doorstep service. Axis bank offers the business loan with the repayment tenure of 15 years.
If you are looking for the flexibility in term of processing & documentation then Capital First is the place for you. The highest loan amount offered by the bank is 75 lakh which is enormously huge when it comes to other banks & financial institutions. No guarantor is required when you are applying for the business loan at capital first.
Citibank is one of its own kind when it comes to approval & disbursal of the loan. The brand is known to have released a business loan within 48 hours. The repayment tenure of the bank is 10 years. Apart from business loan Citi bank also offers the top up loan. So, this multiple loan options for the same individual at very competitive rate are the major perks to choose Citi bank for your business loan.
ICICI bank is amongst the top five banks in India. The business loan from ICICI is tailored by keeping the requirement of the customers in mind. When it comes to corporate house ICICI bank has several options like finance for technology & innovation, working capital loan & term loan. For SME the options available are term credit, bank overdraft & export credit. So, there are wide varieties available covering all the required segments for business loan for corporate houses as well as for small business enterprises. One of the most unique features of ICICI business loan is they have a business loan available for women too. Not to forget customer support through customer care center round the clock.
Well if you are the time starved customer & need the interest rate & quotation in less time than choose Induslnd bank. They have designed the loan for various purposes that a business house would be looking from. Working capital loan, export loan, term credit, trade loan, you name it & they have it. They do have the unsecured business loan which gives you the business loan without aby guarantor or security. The bank offers the business loan up to INR 1,500,000. The tenure of repayment is ranging from 1 year till 5 years. Instant check for eligibility of business loan. Minimum documentation and rapid processing are the key features of the bank.
If you are looking for the bank for the purpose which no one else offers than Kotak Mahindra should be your choice? They offers the business loan starting from business banking solution, commercial vehicle Finanace, infrastructure finance. Kotak Mahindra offers the business loan up to INR 7,500,000. The rate of interest charged by bank is based on a benchmark, Prime Lending Rate (BPLR) which offered by Kotak Mahindra is 18.2555%per annum.
If you are in need of the financial institute which is very transparent than TATA capital is the way to go. The process of the TATA capital if very customer friendly & easy to go with. TATA capital is the institute by TATA & when it come to TATA the trust & integrity is something that comes very handy. Online application option is also available for the one who are not in a position to go to the institute whenever it is needed.
Always look for a bank that offers quick service with less interest rate. A transparent bank will be more flexible in its eligibility criteria. All these eligibility criteria can be adjusted and overlooked by the bank manager, thus having a good long term relationship with the respective manager will be quite helpful.
If you are planning to take a business loan in the future, keep an eye on your transaction and credit score from today because the past and present is considered by banks to decide your ability to repay the loan amount in future. Make use of all the options available in the market- at the same time be vigilant and take loans only from reputed banks.
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