₹5 Lakhs Business Loan

Running a small business often involves expenses that cannot be delayed—whether it is managing daily working capital, purchasing inventory, or investing in growth opportunities. A ₹5 Lakh business loan provides the financial support needed to meet these demands efficiently.

Here is how the monthly repayment could look like, if you opt for it:

• For a 36-month tenure at 14% interest rate p.a.: The EMI will be ₹17,089, and the total interest outgo will be ₹1,15,197

• For a 72-month tenure at 14% interest rate p.a.: The EMI will be ₹10,303, and the total interest outgo will be ₹2,41,807

Shorter tenures help reduce the total interest paid, while longer ones ease the monthly repayment burden. You can easily apply for a business loan through Bajaj Markets and benefit from quick disbursal and minimal formalities.

Secure a ₹5 Lakh business loan from leading lenders available on Bajaj Markets. Refer to the table below to compare interest rates and other details:

The tenure you select will significantly impact your EMI amount and total repayment cost. To understand this clearly, consider an example. Suppose you take a loan of ₹5 Lakhs at an interest rate of 15% per annum. Based on the chosen tenure, the instalment amount can vary, as shown in the table below:

By understanding the amortisation schedule of your loan, you can plan for its repayment more efficiently. A ₹5 Lakh business loan at a 15% interest rate for 6 months is shown in the following table:

You can compare fees and charges of different lenders to make an informed choice. Here are the fees and charges for a business loan of ₹5 Lakh:

To secure a ₹5 Lakh loan for business, applicants need to meet specific criteria that assess their financial stability and business credibility:

• Citizenship: Applicants must be Indian citizens

• Credit Score: A good CIBIL score is mandatory

• Professionals: Self-employed professionals like doctors and chartered accountants are eligible

• Non-professionals: Traders, manufacturers, and other self-employed non-professionals can apply

• Age: Applicants must be between 21 and 60 years

• Business Type: Partnerships, LLPs, and private limited companies qualify

• Current Experience: A minimum experience of 1 year in the current business 

• Income: Annual income of ₹1.5 Lakh+ as per ITR is mandatory

Submitting the correct documents is essential to ensure a smooth and hassle-free loan application process. These may include:

Identity Proof: (Any one of the following)

• PAN card

• Aadhaar card

• Passport

• Driving licence

• Voter ID

Address Proof: (Any one of the following)

• Aadhaar card

• Passport

• Utility bills

• Lease agreement

Income Proof: (Any one of the following)

• Bank statement for the last 6 months

• ITR, in addition to certified copies with details, such as income computation

• Profit and Loss (P&L) statement and balance sheet for the last 2 years

Business Proof: (As applicable)

• Sole Proprietorship Declaration 

• Authenticated copy of Partnership Deed

• Certified copy of Memorandum and Articles of Association

With a business loan of ₹5 Lakhs, you can elevate your business and take it to the next level. Here is where you can use the loan amount:

• As Working Capital

Manage daily operational expenses like rent, utilities, and salaries. It helps keep essential business functions running smoothly during tight financial periods.

• For Inventory Purchase

Stock up on raw materials or finished goods, especially during peak seasons. Ensuring adequate inventory prevents stockouts and lost sales opportunities.

• For Equipment Purchase or Upgrade

Purchase or upgrade machinery, tools, or technology needed for business operations. Modern equipment can improve efficiency, reduce downtime, and enhance product quality.

• For Business Expansion

Renovate the existing space or scale up operations. Expansion efforts can help when tapping into new markets and increase revenue streams.

• For Hiring and Training Staff

Recruit skilled professionals or train current employees. A capable and well-trained workforce drives productivity and customer satisfaction.

• To Carry Out Marketing and Advertising

Run campaigns, build a brand, or promote new products or services. Effective marketing boosts visibility and helps attract and retain customers.

• Managing Cash Flow

Maintain steady cash flow during off-seasons or when clients delay payments. This provides financial stability and prevents disruption in business operations.

You can easily apply for a business loan by following these steps:

1. Select the ‘Check Eligibility’ option available on this page

2. Fill in your personal and business information accurately

3. Specify the loan amount and tenure that suits your needs

4. Complete and submit the application form