Business loans can be availed basis the need or requirement of the business. There are several types of business loan under different names. The categorization is done basis the business requirement, amount limit, tenure of loan, interest, etc.
Business loans are either for expansion of existing business, starting your own, up gradation of machinery in case of a particular profession, loan against your bills or invoices, term loans or working capital. Depending on the loan amount and business requirement you can avail the best deals.
Getting a loan is easy when you have a repayment plan ready to pay the comfortable EMIs, have a sufficient income and all your documents are up to date.
Here are some of the mandatory documents required to get a loan on existing business in India:
- PAN card of the firm or the individual running a business.
- ID proof – Voter ID, Driving license, Ration card, passport and Aadhar card
- Account statement
- Business proof
- Permission to practice certificate
- ITR along with balance sheet, profit and loss statement, income details
- Partnership deed the business is running in partnership
Eligibility for a Business Loan
Business loans considers some eligibility factors before offering a loan. For example, it might be difficult for a newly setup business to get a loan whereas the older business gets loan easily. The loan is easily available to self-employed professionals practicing their profession and making an income out of it along with the degree of profession. The self-employed non-professionals are also eligible for a loan depending on the years of business.
Here are some of the must have requirements for a business loan:
Age: 21 years
Age of current business: At least 3 years
Business profit: minimum profit of 2 lakhs for two consecutive years
Business turnover: Up to 50 lakhs
Business experience: Up to 5 years or more
ITR: Last 3 years
*The above mentioned eligibility criteria are subject to change with different lenders and are generic. The numbers might change and every lender has its owns terms and conditions of offering a loan.
Home Credit one such NBFC that offers loan upto 2 lakhs that can be used for business purposes. You can use Home Credit personal loan for business expansion, upgrading technology, to increase inventory or add to your raw material etc. Home credit personal loans have different requirements and eligibility to offer personal loans.
Here are the requirements for Home Credit personal loans up to 2 lakhs :
Age: Must be above 19 years
Documents: PAN card, one more ID proof
Bank account with net banking facility
Mobile number linked with Aadhar
Home credit personal loans are fast, simple and easy. Try now, experience the easiest loan journey with Home Credit personal loans and fulfill your needs. These loans can be used for any purpose you need to fulfill. Know your need and apply now!
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