Business Loan for MSME in India up to ₹50 Lakh
Micro, Small, and Medium-scale Enterprises (MSMEs) form the crux of India’s socio-economic development. As per the latest data from the MSME Ministry, there are approximately 6.3 Crore MSMEs in India, contributing heavily to the country’s GDP growth. However, these MSMEs often face a major challenge to figure out on how to get a Business Loan to conduct their day-to-day operations smoothly.
MSME loans in India are a form of Business Loan that is given to Micro, Small, and Medium-sized businesses to help them expand their firm or cover other business expenses. MSME Loans in India are unsecured and availing a MSME loan is usually a simple process. To qualify and apply for an MSME Loan online or offline, you must meet certain specified eligibility requirements.
To help small and medium-sized businesses in India, Poonawalla Fincorp provides Business Loans for SMEs and MSMEs with no collaterals. Our SME/MSME loans come with a lot of attractive features and benefits, such as flexible tenure, low interest rates, quick approval and disbursal.
Reasons to Apply for Business Loan for MSME
SMEs and MSMEs need funding from time to time to continue running their business operations smoothly. They require funds to meet various requirements, such as procuring inventory, paying wages to staff, closing the supply-chain gaps, and maintaining a healthy cash flow etc.
Here's why you should consider taking an MSME/SME Business Loan from Poonawalla Fincorp:
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To meet various planned and unplanned expenses
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To consolidate your debts
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In order to procure inventory
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Pay for emergencies
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Invest in business marketing
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Upgrade business infrastructure
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Install new plants and machinery
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Pay overhead costs
Now, you must be wondering how to apply for an MSME loan online or offline. Read on to find out all the answers.
MSME Business Loan EMI Calculator
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EMI Amount = *
MSME Business Loan Interest Rates
| Types of fee | Applicable Charges |
| Rate of interest | 15% to 28% p.a.* |
| Processing fees | Up to 3% plus applicable taxes |
| Bounce charges | ₹1,000 per bounce plus applicable taxes |
| Late Payment Charges | 3% per month |
| Loan Amount | ₹1 Lakh to ₹50 Lakhs |
| Lowest EMI per month | Starting from ₹3,467* per Lakh for 36 months |
| Loan Tenure | 6 - 36 months |
| Prepayment/Foreclosure Charges | 0%* If paid from own sources |
| Stamp Duty | At actuals (as per state) |
| Penal Interest | 3% monthly on the defaulted EMI amount |
Eligibility Criteria of Online MSME Loan
Qualifying for MSME Loan for new Business with Poonawalla Fincorp is simple. Our MSME loan eligibility criteria are designed to save time for borrower when applying for loan. To ensure you have a smooth experience during loan processing, we offer Business Loans for MSMEs with simple eligibility requirements.
Age
24 to 65 years
Nationality
Indian
Business Vintage
At least two years
Annual turnover
More than ₹6 Lakh
*Business vintage determines how long your business has been operating and when it was registered. It is a significant eligibility determinant for procuring an unsecure Business Loan.
Please note that the above-mentioned eligibility criteria are indicative in nature and more information can be asked by Poonawalla Fincorp team during loan processing as per policy.
Required Documents for SME/ MSME Loan
We only require applicants to submit basic documents. You don’t have to worry about time-consuming paperwork and running into funding delays because of it. With Poonawalla Fincorp, you can access quick financing for your business with minimum documentation.
Below is the list of required documents for availing our SME/MSME Business Loan scheme:
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Company PAN Card or Director/Proprietor PAN Card
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Proof of Address (Aadhar Card/Voter ID Card/Passport)
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Business Address Proof (Rent Agreement/Utility Bill)
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Financial documents (Bank statements/IT Returns)
Note: This list of documents is indicative. We may need some additional documents during loan processing.
Features and Benefits of MSME Loan
Poonawalla Fincorp provides MSME Finance in India with simple eligibility criteria and minimum documentation process. Our prime objective is to ensure that lack of funds never becomes a reason to stop a business from accomplishing greater heights.
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Hassle-free loan approval
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Minimum documentation
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Simple SME loan eligibility criteria
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No collateral required
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High loan amount of up to ₹50 lakh
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Competitive interest rates
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Flexible repayment tenure option
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Convenience of online MSME loan process
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Low Interest Rates
Below are some striking features and benefits of our Business Loan for MSME:
Hassle-free loan approval
Obtaining capital, funds to sustain an existing business, or finances for expansion might be one of the most difficult tasks you will face as a business owner. However, with Poonawalla Fincorp, you can apply for an MSME Loan online and get quick approval. This is especially helpful when you're in urgent need of finances.
Minimum documentation
To speed up the loan processing, we only require you to submit basic MSME Loan documents. You can simply apply for an MSME loan online through the Poonawalla Fincorp website and get a swift and simple solution.
Simple SME loan eligibility criteria
Accessing quick business finance is easy with the Poonawalla Fincorp Business Loan for MSMEs. Small business owners only have to fulfill the simple eligibility criteria and submit basic Business Loan documents to get started.
No collateral required
Our Business Loans for SMEs / MSMEs are unsecured loans, which means loan can be obtained very quickly and with minimal risk, without pledging any business or personal assets. You won’t even have to liquidate your assets to acquire funds for the company during a crisis, – simply apply online and get quick loan approval at low interest rates.
High loan amount of up to ₹50 lakh
SME expenditures and working capital require sufficient finance. With our MSME Business Loan, you can access capital of up to ₹50 Lakh and fund any business-related expense without compromise.
Competitive interest rates
When you opt for the Poonawalla Fincorp Business Loan, you enjoy a competitive SME Loan interest rate. You need not worry about high EMIs eating into your finances.
Flexible repayment tenure option
The MSME Business Loan is typically availed by firms for short-term needs. It is adaptable because no long-term commitment is required. Having a short-term commitment allows you to efficiently manage cash flow and allocate available resources.
Convenience of online MSME loan process
Get access to the required funds digitally and from the convenience of your home or office. Apply for an online SME Loan in just few simple steps, get instant approval, and have the funds credited to your account without any delays.
Low Interest Rates
Every penny you save is a penny you earn. No one wants to spend a fortune on outrageous interest payments, which is why our MSME Loans have low-interest rates, making them a popular financial assistance product.
MSME loans have several advantages for firms, including no collateral, quick processing, and simple approval. This is tailored to the specific requirements of enterprises.
Other advantages of availing a Business Loan for MSME in India are as follows:
- Most of the Business Loans for MSMEs in India do not require any collateral.
- Quick approval and disbursement of online SME Loans.
- A flexible loan tenure ranging from 6 to 36 months.
- Low interest rates.
- Minimal documents are required.
- Loan management is now easy, thanks to digital servicing channels.
- Pre-approved offers for added advantage.
Apply for Instant MSME Business Loan within 5 Minutes
Apply
Online
Apply Online
Click on Apply Now and enter your contact details.
Business
Details
Business Details
Enter your annual business turnover and other business details.
Verification
Verification
The application will then proceed for verification and assessment
Frequently Asked Questions
You can conveniently apply for online SME loan with Poonawalla Fincorp by following the five simple steps mentioned below:
- Step 1 – Visit our website or your nearest branch
- Step 2 – Check your MSME/ SME loan eligibility
- Step 3 – Fill up the loan application form
- Step 4 – Submit the required documents
- Step 5 – Get the loan amount in your bank account post verification
You can also call on our Toll-free number before your visit our branch to find out what all documents are required.
For any query, you can easily contact us at 1800-266-3201.
Poonawalla Fincorp provides SME/MSME Loans with easy eligibility criteria and minimal documentation. All small and medium-sized enterprises with a business vintage of more than two years and an annual turnover of at least ₹6 Lakh can apply for our Business Loans for SMEs and MSMEs. For more details, please visit Business Loan eligibility criteria section in our website.
While the interest rate for an SME/MSME loan varies across lenders, Poonawalla Fincorp provides Business Loans for SMEs and MSMEs at very low and competitive interest rates.
We levy a nominal processing fee of up to 3% + taxes on the loan amount to counter the administrative charges and provide best-in-class services to our customers.
No. Our SME/MSME Loans are collateral-free. It means that you are not required to pledge any security to avail funds for your business. Additionally, it helps us disburse your loan as quickly as possible.
You can use our online EMI calculator SME/MSME Loan to figure out the EMIs you need to pay for your loan repayment in advance. All you need to do is enter your loan amount, interest rate, and tenure, and click on the ‘Check Repayment Schedule’ option.
*Terms & Conditions Apply
