Types of Business Loan
Working Capital Loans working capital loans are useful to maintain a good short-term liquidity related to business and other short-term business needs like inventory cost, payroll costs, manage delayed payments from debtors and more.
Business Loans for Women: Business loan is also available for business woman with additional facilities.
Machinery Loans: for purchasing machinery or upgrading plant, businesses require substantial funding in both situations. Machinery loans are type of business finance that provides money for your fixed asset needs.
SME and MSME Loans: SME and MSME Loans are available for small business owners looking to expand their operations and market reach.
Who Provide Business Loan– Banks and other moneylenders provide business loan facility. You can directly reach out to them by online or offline.
Documents required for business loan –
Identity Proof – Applicants need to provide identification proof like Aadhaar card, voter ID, PAN card, passport, driving license etc with appropriate KYC documents.
Address Proof – apart from KYC, applicant need address proof documents like passport, electricity bill, telephone bill, ration card, trade license, lease agreement etc.
Financial Documents – The common business loan documents list that need to be submit are as follows.
• A copy of Income Tax Return filed for 3 year.
• Bank account statement for the last 6 months.
• Balance Sheet and Profit & Loss Statement for the previous 2 years which is audited by a CA.
Business Ownership Proof – The proof of business ownership required for business loan like IT Return, municipal tax receipt, company registration documents, GST returns etc.
How to Apply For Business Loan – You can apply online or directly visit the bank or money lenders office. You need all the basic documents to avail business loan.
Benefits of Business Loan-
Here are some of the benefits of business loans
1. Flexible Loan Facility – you can borrow business loan when you need it.
2. High Loan Amount – in business loan you can borrow high loan amount as per your business needs.
3. Collateral-Free Loans – You do not need to pledge any security to avail business loan.