Having adequate capital to fund new business activities is crucial to its growth and development. Most businesses often surrender to competition due to a lack of financing. External financial aid can help to improve the situation by providing the required liquidity, but finding a trusted source is difficult. There are multiple ways to obtain funds for a company. Debt and equity financing are two major channels. In the case of equity financing, the profit is divided among the new shareholders. However, the ownership is not diluted with debt financing such as Business Loans.
But then, even if you fulfill the Business Loan eligibility criteria, the confusion remains as to which financial institution is best for taking the Business Loan. So, read on to learn about India’s best financial institutions for Business Loans.
Top 10 financial institutions for a Business Loan
Here are the top 10 financial institutions to easily avail of Business Loans in India.
Clix Capital has been in the Indian lending space for the last six years. It offers an array of Personal and business loans in India at the most affordable rates. Clix Capital follows an entirely online process to make the loan application process easier for customers. It is known for offering loans with minimal documentation and quicker processing time. One can easily opt for an unsecured Business Loan between INR 5 to 50 Lakhs with this new-age financial institution.
ICICI, one of the Indian banking and financial services industry pioneers, offers a wide range of Business Loans for varied business needs. One can get a Business Loan between INR 1 to 100 lakhs easily.
HDFC offers Business Loans at competitive interest rates and is known for the quick processing of these loans. In addition, business owners can opt for unsecured loans up to INR 50 lakhs with HDFC bank.
IDFC First Bank
IDFC First offers a wide range of unsecured Business Loans (up to INR 75 Lakhs) for varied operational needs.
Kotak Mahindra Bank
Regarding collateral-free Business Loans, Kotak Mahindra Bank has a lot to offer. One can quickly get unsecured Business Loans up to INR 75 Lakhs within 72 hours.
Tata Capital is among the leading loan providers in India. It offers unsecured Business Loans up to INR 50 Lakhs with flexible EMI plans.
SBI Business Loans
The State Bank of India offers Business Loans ranging from INR 10 lakhs to 20 crores. However, most Business Loans require some collateral. The processing fee for Business Loans is also one of the lowest in the market.
Fullerton India is one of the leading NBFCs that caters to the small and medium business segment. It offers INR 10 to 50 Lakhs Business Loans best suited for small and medium businesses.
The Federal Bank is a reputed lender for Business Loans in India. It offers Business Loans to qualified and licensed professionals such as doctors, chartered accountants, architects, etc. The loan amount offered is up to INR 3 crores, and the repayment tenure can go as high as 84 months.
Bajaj Finance Limited
Established in 2007, Bajaj Finance Limited is known for offering a wide range of business and consumer loans. It also provides personalized loan products for small and medium enterprises.
Having sufficient capital can motivate businesses to take on new challenges without worrying about the risk. On the other hand, the absence of the required capital amount can lead to stagnation and downfall. Therefore, it is essential to plan the business finances well. Taking a Business Loan is a smart way to manage urgent business expenses without limiting expansion and growth. So, go ahead, choose the right lender, and apply for a Business Loan today.