For every business, funding is a key concern and a requisite for scaling up.
All small businesses and startups began with a great idea. For many, the next step was to borrow some money to fund that idea. When starting a company, the easiest way to borrow money is through taking out a loan. Loans are common in personal finance; student loans, car loans, and mortgages are seen as a regular part of life. Business loans are the same, but instead of being used to finance personal items, they are used to finance a business.
Business loans are lending agreements made between business owners and banks or private lenders. Businesses need capital, either to fund operations or simply to start themselves up and begin turning a profit. Banks and lenders are willing to give them the money in advance, so long as they pay it back on an agreed-upon schedule, with interest.
Documents Required for Applying a Business Loan
- Duly filled application form along with 2 Passport-sized photographs
- KYC Documents of the applicant, including PAN card, Passport, Aadhar Card, Driving License, Voter ID card, Utility Bills
- Last 1 years’ bank statement along with ITR
- Copy of Business Incorporation
- Any other document required by the bank
FAQ
The minimum business vintage required under BIL is 5 years.
There are different criteria based on which one’s eligibility is decided. You can check your eligibility:
Business Instalment loan (BIL) is an unsecured loan which is provided to a self-employed individual and entity. A business instalment loan is a business loan that can be availed for any business upgrade or equipment purchase, which is repaid in equal instalments at fixed intervals, mostly monthly.
Yes. Bank offers a facility where in both partners can together apply for Bank Business Instalment Loan.
Doctor: 60 Months Professional (CA, CS, CWA and Architect): 48 Months Other: 36 Months
Proprietorship Firm Partnership Firm/ LLP Private Limited Company