What is an Unsecured Business Loan?
The growth and sustainability of a business depends on the continuous inflow of funds. The funds might be required to expand the business or purchasing equipment. The funds can be borrowed in the form of a loan from banks and other financial institutions. Business Loans are typically unsecured in nature which means no collateral or security is required to borrow a loan. Business Loan is a debt provided to the company or the self-employed professionals or business owners that are to be repaid along with the principal amount. The rate of interest is usually pre-determined by the lending institutions. A Business Loan in India is offered at competitive interest rates, with a low processing fee, and without any security or collateral. Several leading banks and NBFCs including HDFC Bank, ICICI Bank, Capital First, Citibank, Fullerton India, Tata Capital, and so forth are offering business loans.
Key Facts About Unsecured Business Loan
A Business Loan can be better understood with the help of the table below:
|Business Loan Interest Rate||Competitive interest rate starting at 12.15%|
|Loan Amount|| |
|Nature of Business Loan||Unsecured (No mortgage required)|
|Loan Tenure||Ranges from 24 months to 60 months|
|Processing Fee||Up to 2% of loan amount|
Types of Business Loans
Some types of Business Loans are explained below:
Business Loan Eligibility
There are certain important eligibility factors for Business Loan. The following factors are:
|Who can apply?|| |
|Business Profitability||Business should be in the profitable state for at least 3 consecutive years.|
|Company Financials||Complete financials including Balance sheet and Profit & Loss statement for latest 2 years, Tax audit reports.|
|Credit Score||Good Credit Score (650 and above)|
Business Loan Key Documents
The following documents are required for taking Business Loan:
|Type of Document|
|Identity Proof|| |
Any one of the following:
|Address Proof|| |
Any one of the following:
|Ownership Proof||Proof of ownership of residential or commercial property (including parental property)|
|Financials||Complete financials including Income Tax Return of latest 2 years, Balance Sheet, Profit and Loss Statement, Tax audit reports, and so forth.|
|Other Documents|| |
Why Take a Business Loan from mymoneymantra?
mymoneymantra is the leading online platform for financial services that can get you the best Business Loan deal with maximum advantages. mymoneymantra is the oldest market player with more than 28 years of experience of delighting customers. The experienced and skilled team of mymoneymantra deeply analyzes your financial requirements to get you the best loan offer in the market. The service-oriented professionals provide you support from the initial stage to the end stage of loan disbursement. The key advantage of taking a Business Loan from mymoneymantra is the support the team offers even after the loan disbursement. You can apply for the best loan deal with mymoneymantra today.
Note on part prepayment
Amount - How much do you want to part prepay?
Month - When do you want to prepay? If you availed your loan in Jan’16 and want to part pay in Jan’17, then please enter 12 months.