Small Business Loan

1. Small Business Loan

2. Small business loans are a new category of business loans that is tailored to meet the specific needs of new businesses or startups. These loans offer your enterprise the opportunity to scale and give it the competitive edge necessary for success in today’s world. Small business loan are the loans that are offered to individuals by the banks, financial bodies, or NBFCs, and the borrower should repay the amount with flexible repayment tenure and affordable interest rates. It is also called a commercial loan. Most financial banks offered small business loans up to Rs. 75 lakhs to expand their business with maximum repayment tenure of up to 36 months. There are various types of loan that help the individual to meet their requirements.

3. Types of small business loan Professional loan: - It is offered to self-employed professionals I.e., Doctors, Architects, Chartered Accountants, Engineers, etc. Equipment finance: - It is offered to purchase new machinery and equipment for the business. Insurance: - It gives finance for the solution of insurance for better security. Personal loan: - Various banks provide personal loans up to the loan amount of up to Rs. 25 lakhs at an interest rate of @10.25% onwards. Micro loans: - The maximum tenure for the micro loans is 72 months. It is provided to boom their business plan. Working capital loan: - It is offered to fulfill the daily requirements of the business. Project finance: - It is given for the industrial projects with flexible tenure based on the assessment of the project report.