Unsecured Business Loan

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

• Upgrading technology

• 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.

Following is a list of unsecured business loan interest rates and charges levied by lenders:

• Interest Rate

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.

• Processing Fees

This is a fee that is charged by the lender to cover the expenses incurred during the loan process.

• Convenience fees

These are the fees charged by lenders, which are paid to digital payment companies for transactions.

• Bounce Charges

Bounce charges refer to the penalty applied in case the payment cheque bounces.

• Penal Interest

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

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.