To start a business, it has become easier to take a loan for business than before. Many banks are providing such loans. Also, banks have now made the process of business loan much easier. To promote small enterprises (MSMEs) in the country, the government has launched a variety of loan schemes. Apart from the Pradhan Mantri Mudra Yojana, there are many other schemes, in which you can take small amounts to large loans. At present, according to the schemes of the central and state government, you can take a loan from Rs 50,000 to Rs 10 lakh for your business.

What is a Business Loan?

This is a loan taken to meet your business needs. If you also want to take a business loan from a bank, then know what is its process.

• Create a detailed business plan.
• Tell your business plan to the bank you want to borrow from.
• After this, decide how much loan you want.
• Find out about your credit score.

Seeing your business plan, the bank decides to give you a loan. If the bank feels that your business and the profit from it will be so much that you will be able to repay the bank's loan within the stipulated period after completing your expenses, only then the bank approves your loan.

learn More

What are the benefits of taking a business loan?

1. Increases cash flow.
2. Money helps for business needs.
3. The need for money is met for both short and long term.

Who can apply for a business loan?

1. Individuals doing their own business.
2. Businessmen or entrepreneurs.
3. Private Limited Companies.
4. Partnership Firm.

If you are also thinking of doing your work or setting up a plant, then you can apply for a business loan. If you are already doing a business and are facing a shortage of money to grow it or meet its related needs, you can still take a business loan.

Documents for Business Loan
PAN Card:
One of the most important documents for a business loan.
Income Tax Returns:
Usually, 2-3 years of income tax returns will be required. It works as your income proof for business loans.
Aadhaar Card/Proof of Residence:
Proof of residence is a must for a business loan.
Business Address Proof:
It is necessary to provide proof of business address in the documents required for a business loan. This is the first filter, on the basis of which the loan is given.
Bank Statement:
How much you spend, how much you borrow and when you repay the loan, all these behaviors are revealed in your bank statement. With a good credit balance, the lender can understand whether you are reliable in repaying the loan or not.