Unique Business Loan variants | Up to ₹ 1 Core* | Tenure up to 60 months
In the current business environment where competition is at its highest, the growth of a business becomes a key factor. Without increasing revenue and profit a business cannot sustain itself. However, there are many different ways of boosting revenue and profit but they all need a huge amount of capital. It is at this point that Business Loans become quite relevant.
In India, banks and Non-Banking Financial Corporations (NBFCs) provide Unsecured Business Loans to fulfill the immediate financial requirements of developing ventures.
When you need fast business financing, Grahaan Capital Business Loan is the right answer for you. We have an easy business loan with a flexible tenure. To start, owners just need to meet the basic requirements and fill out the necessary forms. With our documentation requirement being minimal, it will be a smooth and simple process.
To have a seamless loan application process business owners need to make sure they fulfill all eligibility requirements and submit all of the required documents. There are varying conditions for granting an unsecured business loan.
Business owners need to meet the following eligibility criteria to secure a Business Loan:
| Criteria | Requirement | ||
| Age | Minimum 21 years at the time of loan application & Maximum 65 years at the time of loan maturity | ||
| Citizenship | You must hold Indian citizenship and should not have defaulted on any previous loan(s) with any lender | ||
| Eligible Entities | Self-employed Professionals:
| Self-employed Non-Professionals:
| Entities:
|
| Business Vintage | Minimum 1 year or above and your business should not fall under any list of blacklisted businesses. | ||
| Business experience | Minimum 1 year, business location to remain same | ||
| Annual Turnover | Preferably 6 lakhs per annum. Shall be defined by the Banks/NBFCs | ||
| Credit Score | Preferably 700 and above as having higher credit scores improves chances of loan approval | ||
| Additional Criteria | Applicant must own either a residence, office, shop, or godown | ||
* Charitable organizations, NGOs, and trusts are not eligible for a business loan.
Note: The above-mentioned eligibility criteria are for indicative purposes only. Actual eligibility criteria defined by Banks/NBFCs shall vary as per their sole discretion and shall be defined at the time of loan application submission.
Credit Score: Lenders take a closer look at your credit report to spot any past problems with loans you might have made before.
Business Revenue: Creditors demand to check if your business has the potential to make profits and return the debt.
Years in Business: Longer time in business gives lenders more confidence that you can stick to repayment terms.
Loan Amount: The lenders also look into the loan amount that you want to borrow and whether it is for the requirements of your business. They want to be certain that you can pay back the loan.
Industry and Market Conditions: The business you are into and the lack of favorable market conditions might impact your loan eligibility.
Legal Compliance: The lenders will ask if your business is making sure that it follows all legal and regulatory requirements.
These factors play a significant role in determining whether a business is eligible for a loan in India.
Maintain a Good Credit Score: Make timely payments and reduce your balances from credit cards to enhance your credit score.
Lower Debt-to-Income Ratio: Reduce the existing debts, raise income and thereby decrease the debt to income ratio.
Provide Stable Income: Indicate regular work or income from various sources, such as employment, business, or any other steady sources.
Check Eligibility Criteria: In this regard, know the lender’s specifications and see to it that you are fully compliant before you apply.
Correct Errors in Credit Report: Regularly look through your credit report and have mistakes, right he wrong ones.
Add a Co-Applicant or Guarantor: Having a co-applicant or guarantor with a good credit history often increases your chances of getting approval.
Reduce Existing Loan Burden: Pay off your loans or credit card balances first to free your liability.
Avoid Multiple Applications: Reduce the number of loan applications to limit the multiple searches, which in turn deteriorates your credit score.
Build Savings and Assets: Denominate savings and assets to illustrate financial stability and debt repayment ability.
