Unsecured loans for businesses provide budding entrepreneurs and MSME owners with working capital. These unsecured business loans for MSMEs can be used for various purposes, such as:
Purchase, renting, or repairing of machinery and professional equipment
Stocking up on inventory
Hiring seasonal workers
Purchasing raw materials for big orders
Thus, they are incredibly useful for those in need of funding for launching or expanding their businesses.
With a good credit score, you can get competitive rates on unsecured business loans.
A strong business history helps too, and you can see all applicable charges online.
Hybrid-Flexi business loans allow you to lower EMIs by 45% initially.
Choose from flexi or term loans on Bajaj Markets.
Following is a list of unsecured business loan interest rates and charges levied by lenders:
It is the percentage of the amount charged by the lender for lending the unsecured business loan for MSME growth. It usually varies depending on the loan amount, tenure, and the borrower’s history of repayment and credit.
This is a fee that is charged by the lender to cover the expenses incurred during the loan process.
These are the fees charged by lenders, which are paid to digital payment companies for transactions.
Bounce charges refer to the penalty applied in case the payment cheque bounces.
It refers to the penalty applied on the loan EMI if not paid on time. It is usually around 2% of the overdue EMI.
Here are the details about basic unsecured business loan eligibility criteria:
You should be an Indian citizen
A good CIBIL score is a must
You must be between 25-65 years of age
You must have a business vintage of at least 3 years
You need to be self-employed
Remember, when it comes to an unsecured business loan, instant approval depends on you meeting all the eligibility terms.
Document requirements for unsecured business loans differ from one lender to another. However, the following are some of the most common requirements:
Identity proof and address proof of the applicant (Aadhaar card/ Passport/ Driving licence)
Permanent Account Number (PAN) Card
Business registration Proof
Bank statements for the past 6 months
ITR form along with certified copies with details such as balance sheet, profit & loss statement, etc., for the previous 2 years
Here is how you can apply for unsecured lines of credit by following these simple steps:
Factoring in all charges and interest rates, find a suitable lender.
Visit the website of the chosen lender and check the eligibility criteria of the lender for an unsecured business loan.
Check your credit score online and match any discrepancies in the report. You can check your credit score on the Bajaj Markets website for free. A minimum credit score 685, but scores above 750 are ideal to receive an unsecured business loan.
Compile and upload all the necessary documents required by the chosen lender.
Fill in your business details accurately and honestly so that your loan application does not get rejected.
Availing an unsecured business loan with instant approval helps enterprises grab opportunities and meet working capital gaps to keep the business running.
The best way to get quick approval is to meet all the eligibility terms and submit the required paperwork.
If you require an unsecured business loan for MSME growth, then look no further than Bajaj Markets. The unsecured business loans available on Bajaj Markets are processed quickly and disbursed within 24 hours.
They also come with simple qualifying criteria and flexible repayment plans that can be customised to your needs.
The maximum amount that you can get as an unsecured business loan will vary depending on the lender you choose. While some lenders may provide loan amounts of up to ₹50 Lakhs, others may offer up to ₹75 Lakhs.
When it comes to an unsecured business loan, instant approval is possible only when you meet all the requirements. So, choose the lender first and then check the eligibility criteria.
The lender will require you to have a minimum credit score, and you shouldn’t apply if you don’t meet the mark. Now, collect all the required documents and complete the application process.
Since these loans are not secured, banks and NBFCs offer unsecured business loans at higher interest rates than secured loans.
An unsecured business loan is a type of credit where the borrowing individual or firm is not required to pledge any valuable assets as collateral.
No, you cannot avail of an unsecured business loan for new businesses if it hasn’t been operational for at least a few years.