It is challenging to manage a business successfully. For, every business thrives on the test of your risk taking abilities and decision making.
It is perfectly valid to have a wish to expand your business when it is going very well, and the consumers have started to like your product. It is possible that you may find yourself in need of funds to expand your business at this point. You may also need funds to introduce something new in the line of your products.
As a businessman, nothing else holds you back other than the lack of funds. In the modern world, however, finding some extra money to expand your business is pretty feasible. You don’t need to rely on third-party loans to raise funds for business expansions. You can do great on your own with a little help in the form of a Business Loan.
A Business Loan is a loan which you can take from a bank to expand your existing business or start a new business. It certainly is the best option for you if you are thinking of reaching out to an altogether, another level in your industry.
There are several banks in India which can help you avail a business loan to take your venture to new heights. In all likelihood, if you maintain a good credit history, you may also get your hands on a pre-approved business loan. You are likely to get a better rate of interest and repayment flexibility besides additional benefits such as overdraft facility and more on a preapproved loan. It is thus recommended to check with your bank if you are preapproved for any credit facility.
The loan is processed much faster and without excessive documentation and formalities in the preapproved cases. It is also advisable to compare other bank offers on loan amount, interest rate and tenure with your pre-approved loan offer.
Here is a quick sneak peek on these parameters of the top 10 business loans in India.
HDFC Bank Business Loan
HDFC Bank provides one of the best business loans offers in India. You can avail HDFC Business Loan for a maximum of Rs.50 Lakh with the interest rate ranging from 15.65 % to 21.20 % per annum. The credit will also entail a processing fee of up to 2.5 % on the loan amount, exclusive of applicable taxes. You can avail fast and convenient business loans from HDFC for 1 to 4 years.
Axis Bank Business Loan
Axis Bank offers an exclusive Business Loan for professionals and self-employed individuals. You can avail loan up to Rs.50 Lakh at attractive interest rates. However, the effective rate of interest depends on a number of factors. Axis Bank charges up to 2 % processing fee on loan. The loan tenure ranges from 1 year up to 15 years.
Bajaj Finserv Business Loan
Bajaj Finserv provides business loans to consumers in the amount ranging from Rs.1 Lakh to Rs.30 Lakh. The interest rate for this business loan ranges from 18 % to 40 %. The NBFC charges up to 3 % processing fee excluding applicable charges. The maximum loan tenure for this business loan is 8 years. The USP of Bajaj Finserv Business Loans is the repayment flexibility they offer to their customers.
IDFC First Business Loan
IDFC First offers Business Loan to consumers on reasonable interest rate ranging from 11.69 % to 15 %. Individuals can acquire this Business Loan for amount up to Rs.40 Lakh for up to 5 years. The processing fee is also nominal at 1.5 % or less.
RBL Bank Business Loan
RBL Bank offers Business Loan for Rs.1 Lakh to Rs.35 Lakh. The interest rate ranges from 16.00 % to 27.00 %. The loan recipient has to bear the processing fee up to 2 % with additional applicable taxes. The maximum loan tenure for this loan is 3 years. If you need a fast loan for a short period, RBL is your choice of bank.
Standard Chartered Bank Business Loan
Standard Chartered Bank offers Business Loan in the amount ranging from Rs.10 Lakh to Rs.75 Lakh with the interest rate ranging from 13.50 % to 20 %. Loan recipient pays the processing fee up to 2 % with additional GST. The maximum loan tenure is 5 years. If you are looking for a big-ticket loan from an international bank, StanChart is your destination.
IndusInd Bank Business Loan
The IndusInd Bank offers Business Loans for interest rate ranging from 10.60 % to 18.00 % per annum. You can acquire this loan for the amount ranging from Rs.1 Lakh to Rs.15 Lakh. IndusInd Bank charges a processing fee of 0.5 % with additional applicable taxes. The maximum loan tenure is 5 years.
Kotak Mahindra Bank Business Loan
Kotak Mahindra Bank also provides Business Loans along with other loan options. Indian citizens can acquire the Business Loan from Kotak Mahindra Bank in the amount ranging from Rs.3 Lakh to Rs.2 Crore. The interest rate for this business loan ranges from 16.00 % to 19.99 %, besides 3 % processing fee is levied. The loan tenure is a little shorter ranging from 1 year up to 3 years.
Yes Bank Business Loan
Yes Bank is one of the top banks in India which offers multiple loan options for consumers. Individuals can take a Business Loan from Yes bank in the amount ranging from Rs.20 Lakh up to Rs.4 Crore. The interest rate of this business loan ranges from 13.25 % to 19.99 %. Bank charges a processing fee up to 2.5 % excluding the applicable taxes. Individuals can acquire this loan for a maximum tenure of 5 years.
ICICI Bank Business Loan
ICICI bank offers big-ticket business loans for up to Rs.10 Crore and the interest rate ranges from 12.90 % to 16.65 % per annum. The minimum limit for a loan amount is Rs.1 Lakh. ICICI bank charges processing fee up to 2 % excluding GST. The loan tenure for this loan ranges from 1 year up to 5 years.
There is no one size fits all offer. Before you choose the loan, do compare and select the best business loan for yourself.