Yes Bank Business Loan

The YES Bank business loan caters to the varying needs of businesses at various stages. Whether it’s getting your new venture off the ground or expanding the business line, the loan can help you get the financing you need to accomplish your goals. 

From purchasing commercial assets to upgrading operations, you can avail the YES Bank business loan for a maximum amount of up to ₹50 Lakhs. Furthermore, you do not need to pledge your assets as security as it is an unsecured loan. 

That’s not all, in terms of the business loan interest rate, YES Bank is one of the leading lenders offering competitive rates. To better understand the YES Bank business loan eligibility criteria and its features, read on.

The YES Bank business loan rate of interest varies according to the business requirements and existing MCLR (Marginal Cost of Funds based Lending Rate). MCLR works as the benchmark for the interest rates at which banks offer loans.

Fixing this rate creates transparency among banks and NBFCs when deciding their interest rates. According to the current data, YES Bank’s MCLR varies from 7.60% to 9.05%. These rates are revised by the bank every month, based on which the bank fixes the interest rates for loans.

In addition, following the charges associated with a YES Bank business loan:

**Disclaimer The above rates are subject to change at the bank’s discretion.

Regarding the charges, note that you can foreclose or prepay the loan only after paying at least 6 EMI payments. Before availing the YES Bank business loan, assess all these charges properly to get a better idea about your borrowing costs. This can then help you manage the loan hassle-free.

The YES Bank business loan calculator is an online tool that helps determine your monthly payments. Thanks to the digital option, you can calculate your EMIs from anywhere and any number of times.

Simply enter the amount you want to borrow, the prevailing interest rate and the repayment tenure. In just a few clicks, you can get the following details on your screen:

• Monthly EMI

• Principal Amount

• Total Interest

• Total amount payable

For a better understanding, consider this example. Assume you avail a YES Bank business loan of ₹20 Lakhs at an interest rate of 17.75% for a repayment tenure of 3 years. Here is an estimate of your repayment using the business loan EMI calculator.

• Principal Amount: ₹20 Lakhs

• Monthly EMI: ₹72,054

• Total Interest Payable: ₹5,93,952

• Total Amount: ₹25,93,952

With this information you can assess your repayment capacity in advance and plan your finances efficiently.

For quick loan approval, you must submit all the paperwork required by the lender. Here are a few essential YES Bank business loan documents to submit and ensure a seamless, hassle-free approval.

• Application form along with recent passport-size photographs

• PAN Card of self or the company

• Voter ID card

• Aadhaar card

• Driving licence

• Passport

• Bank statement of previous 6 months

• Latest ITR copies with financial statements

• Trade licence or other continuation proof (sales tax certificate, ITR, establishment certification)

• Mandatory documents such as Memorandum copy, Partnership Deed copy, Original Board Resolution

Apart from the above YES Bank business loan documents, you may or may not need to submit additional documents. This depends on the type of loan you avail and should be confirmed while applying.

Meeting the YES Bank business loan eligibility criteria is crucial before availing a loan. Here are a few parameters you need to match, per the bank’s norms.

• Minimum age requirement is between 21 and 25 years

• Maximum age limit is between 65-68 years at loan maturity

• CIBIL score of 750 or above

The following entities can avail the YES Bank business loan:

• Sole Proprietorships

• Limited Liability Partnerships

• Self-employed individuals

• Private firms

• Traders

• Manufacturers

• Professionals, including doctors, chartered accountants, architects etc.

Here are a few essential features of the business loan:

• No need to pledge any collateral

• Quick loan disbursement of up to ₹50 Lakhs after approval

• Flexibility in using the loan amount, from purchasing machinery to setting up a new business or even for expansion

• Convenient repayment tenure ranging between 12 and 60 months

• Easy access to the business loan for both small and established enterprises

• Minimal documentation

• Competitive interest rates 

Given below are the prevailing interest rates for business loans from other banks. Be sure to compare these details before you avail a YES Banks business loan to get the best deals.

**Disclaimer: The above rates are subject to change at the bank’s discretion.

When the turnover in a business is good, getting loan approval isn’t difficult. However, various lenders set different criteria to validate the authenticity of your business. Based on the valuation and other factors, banks decide the interest rate for your loan. 

Here are a few factors determining the interest rate for a YES Bank business loan:

• Business type, whether it is a partnership, sole proprietorship, private or public limited

• Business profits

• Business cash flow

• Maximum business turnover

• Business track record

• CIBIL score of the firm

For any query regarding loan eligibility or approval, you can get quick resolutions by calling customer care at 1800 1200 (Toll-free number). Alternatively, you can also contact customer care at +91 22 61219000.

While the business loan application process at YES Bank is easy, make sure to compare interest rates across lenders before selecting the lender. Visit Bajaj Markets to know the business loan interest rates from various lenders and for an easy comparison.