BUSINESS LOAN

Business loan form

What is a Business Loan?

There comes a time in every business when there is a need for extra credit and funds for its smooth functioning. These funds help you, the business owner, to expand, invest and help in your working capital needs. At times like these, a quick business loan is the best financial aid that can help you grow.
 
This borrowed capital can be applied towards daily capital expenses, for specific project funding, expansion of the business including purchasing of new machinery for the business. You can also apply to take a loan for business if you need investment for starting a new business or ancillary units for your existing business.

Are you eligible for a Business Loan?

To be eligible for a business loan, these are the points you need to keep in mind:

  • You need to be minimum of 25 years of age and maximum 65 years
  • Your business should have been making profit for 3 consecutive financial years
  • Turnover should be on a positive trend
  • Balance sheet has to be audited by a registered chartered accountant

How to apply for a Business Loan?

Any business entity or owner can apply for a business loan. Before you apply for a business loan, you need to understand the basic purpose of this loan and how you intend to utilise it. Here's a list of the basic documentation you will need to submit:

  • Application form
  • Company bank statements for six months
  • Income Tax Returns for 2 years
  • Balance sheet and P&L accounts for 2 years
  • KYC documents of the company including PAN Card, Registration of Incorporation, Partnership deed, Memorandum & Articles of Association.
  • KYC documents of the owners
  • A report as to how the business loan intends to be utilised

Applying for a business loan has its advantages:

  • You can use the funds for any immediate requirement you may face including your daily capital needs.
  • Unlike investments from private equity firms or entities, there is no need for profit sharing
  • Business loans can also help in tax benefits for the company
  • You also have the option of opting for Flexi EMIs, where you can control the outflow of repayment
  • For all our customers, Tata Capital offers pre-approved loans for the business finance needs
  • There is no need for any collateral or guarantee for business loans for up to Rs 50 lakhs