Get a Collateral-free Business Loan for Sole Proprietors
A sole proprietorship business is one of the most common forms of self-employment in India. It is an unincorporated business entity that is owned and run by only one individual. Examples of sole proprietorship businesses include small traders, kirana shops, medical stores, travel agents, artisans, etc.
To help sole proprietors invest in business expansion, Poonawalla Fincorp provides unsecured Business Loans for Proprietorship at favourable interest rates. Additionally, our Proprietorship Business Loans are collateral-free and come with great features and benefits, such as flexible repayment tenure, minimal documentation, and quick disbursal. Apply now!
Reasons to Apply for a Proprietorship Loan
The Proprietorship Business Finance can be used to meet various business-related expenses. Some of the common reasons for which you can take a Business Loan for Proprietorship include:
- Maintaining a healthy cash flow
- Renting, purchasing, or renovating business premises
- Upgrading business equipment and infrastructure
- Expansion or diversification of business
- Procuring inventory
- Hiring and training of staff
- Paying overhead costs
Proprietorship Business Loan EMI Calculator
-
EMI Amount = *
Sole Proprietorship Business Loan Interest Rates and Charges
| Types of Fees | Applicable Charges |
| Rate of Interest | 15% to 28% p.a.* |
| Processing Fees | Up to 3% plus applicable taxes |
| Repayment Instrument Dishonour Charges | ₹500 per bounce plus applicable taxes |
| Default Interest | 2% per month |
| Loan Amount | ₹5 Lakh to ₹75 Lakh |
| Lowest EMI per Month | Starting from ₹2,783* per Lakh for 48 months |
| Loan Tenure | 6 to 48 months |
| Prepayment/Foreclosure Charges | 5% on principle outstanding plus applicable taxes |
| Stamp Duty | At actuals (as per state) |
| Penal Interest | 2% monthly on the defaulted EMI amount |
Eligibility Criteria for Proprietor Business Loan
With Poonawalla Fincorp, you can apply for a quick and hassle-free loan for your business. All you need to do is fulfil some basic eligibility guidelines.
Below are our eligibility criteria for Proprietorship Loans:
Age
Between 24 and 65 years
Nationality
Indian
Business Vintage
At least two years
Business turnover
₹6 Lakh or more
Please note that the above-mentioned eligibility criteria are indicative in nature. Additional information may be required by our team during loan processing as per policy.
Documents Required
Lengthy, unending paperwork can dampen your overall borrowing experience. With Poonawalla Fincorp, you can get a Business Loan with minimal documentation.
Here’s a list of required documents to apply for our Business Loan for Proprietorship:
-
Address Proof (PAN Card/Aadhaar Card/Driving Licence/Voter ID/Passport)
-
Address proof for the place of business (Rent agreement/Electricity and water bills, etc)
-
Financial documents (Six months Bank Statement)
Note: This list of documents is indicative. We may ask for some additional documents during loan processing.
Features and Benefits of Business Loan for Proprietorship
By availing of a Poonawalla Fincorp Business Loan for Proprietorship, you can take your business to great heights. Our loans are customizable to suit the specific needs of every business owner.
-
Easy online application
-
No collateral required
-
Competitive interest rates
-
Transparent loan terms
-
Simple eligibility criteria
-
High loan amount of up to ₹75 Lakh
-
Flexible repayment tenure of up to 48 months
Apply for an Instant Business Loan for Proprietorship 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
Submit the application for verification and assessment
Frequently Asked Questions on Proprietorship Loan
You can conveniently apply for our Proprietorship Loan online or offline. All you need to do is follow the five simple steps mentioned below:
- Step 1 – Visit our website or your nearest branch and check your eligibility for our Proprietorship Loan.
- Step 2 – Fill up the loan application form.
- Step 3 – Submit the required documents.
You will receive the approved loan amount in your bank account post successful verification.
Poonawalla Fincorp provides Business Loans for Proprietorship with easy eligibility criteria and minimal documentation. All proprietorship business owners with a minimum experience of two years and an annual turnover of more than ₹6 Lakh can apply for our Proprietorship Loans.
Our interest rates for Proprietorship Loans are competitive and affordable. Other applicable charges include a one-time nominal processing fee of 3% on the loan amount, plus applicable taxes. These nominal charges help us in countering the administrative charges and providing best-in-class services to our customers.
A good credit score (750 and above) will help you get quick approval as well as the best interest rate on your Proprietorship Loan.
Poonawalla Fincorp’s Proprietorship Loans are approved and disbursed quickly. Depending upon the verification process, in some cases, you can get the loan amount in your bank account quickly within a short time.
You can use our online Proprietorship Loan EMI calculator to know the EMIs you need to pay for your loan repayment. To calculate your EMIs, you need to visit the calculator page, enter the loan amount, interest rate, and tenure, and click on the ‘Check Repayment Schedule’ option.
Generally, a Sole Proprietor includes a local clothes store, a local grocery store, etc. If you are looking for a Sole Proprietor Loan, you can apply for one with Poonawalla Fincorp. This type of unsecured Business Loan is offered to sole proprietors looking to meet various financial requirements. You can use the funds for maintaining a healthy cash flow, renting, purchasing, or renovating business premises, upgrading business equipment and infrastructure, etc.
*Terms & Conditions Apply
