Business Loan
Overview
Whether you plan to upgrade your machinery or expand your team, a business loan helps you fuel your company’s growth.
Business loans are unsecured loans specifically designed for a business’s growth and expansion needs. Looking to ramp up your marketing activities? Eyeing a new office space? Or perhaps you need working capital to meet operational expenses? A business loan comes to your rescue whenever you’re strapped for cash. DK Finsage Consultancy acts as a true partner in your loan search and application journey. We understand just how important your venture’s growth is to you.
We also understand that the right amount of capital at the right time is the fuel that propels business success. To help you scale at speed, we bring you the best business loan products from our channel partners – leading banks and NBFCs across the country.
Our experienced business loan agents in India help you compare business loan products, find competitive offers, compute EMIs, and a lot more. With DK Finsage Consultancy, you get 360-degree support to find the best bank for business loans in no time.
Get expert loan assistance and give wings to your business today!
Uses of Business Loan
Different types of business loans are available to help you meet various capital needs. You can use these versatile loans to plug funding gaps or solve cash flow worries.
Purchasing Inventory
Companies use business loans to purchase new inventory and stocks, so they can continue offering its product(s) to customers. Because these loans typically do not require collateral, they are an excellent option for small businesses that do not possess many assets.
Hiring Employees
A growing business needs a solid team that drives it to success. However, the cost of hiring and training employees can be significant, especially for a small company. Business loans allow you to expand your team without feeling the pinch. Use these loans to recruit and train new employees.
Upgrading Machinery
The most advanced machinery for your business comes at a high price. A business loan can help you purchase the latest equipment to boost output at scale. With the right loan product, you can finance these expensive yet important purchases without affecting cash flows.
Marketing Spend
Effective marketing is the road to expanding your business. What’s more, marketing is an exercise that must go on to continually attract new customers. This means you have to invest in hiring top talent or specialist agencies. Pay for all your marketing expenses with a business loan.
Managing Operational Expenses
It takes a lot to keep a business running day in and out. This is why companies use a business loan to meet daily operational expenses in case of a liquidity crunch or irregular cash flow. Instead of burning your revenue on operational costs, use a loan to tackle them smartly.
Eligibility Criteria
A Business Loan can be availed of by anyone, whether you are a salaried employee, government employee, or a working professional. All you have to do is fulfill basic eligibility conditions laid out by banks and NBFCs. While personal loan eligibility conditions can differ across banks and NBFCs, here are some standard criteria you must be:
Salaried or a working professional
Aged between 21 and 60 years
Having a job and a minimum of 3 months experience
Having a minimum of Rs. 25,000 net income per month.
Business loan
Processing Fee
The processing fee on business loans is the amount charged by the lender to process your application and cover various administrative costs. Usually, lenders charge a processing fee of up to 2% to 3.5% of the business loan amount + GST. This is just a one-time fee you pay the lender at the time of disbursement. With DK Finsage Consultancy, you can find business loans with the lowest processing fees that meet your growth needs!
Business Loan Balance Transfer
A business loan balance transfer happens when a borrower transfers the outstanding loan amount from the existing lender to a new one for the following reasons:
⬤ To get a lower interest rate
⬤ To get a lower EMI
⬤ To get a longer tenure
⬤ To get add-on benefits like a top-up loan
If you aren’t satisfied with your current lender for some reason, you can transfer your business loan to another one offering more favourable terms. However, this decision has to be an informed one where you weigh the pros and cons of switching to a new lender well. Take factors like new rate of interest, flexibility in repayment, eligibility criteria, etc. into account.
At DK Finsage Consultancy, we guide on the best time to go for a balance transfer. We hand-hold you through the entire process so you get the best terms on your new loan!
Documents required for a balance transfer
- Identity proof – Passport, Aadhar Card, Driving License, etc.
- Address proof – Aadhaar Card, Passport, Voter’s ID, etc.
- Bank statements – Last 12 months’ statements for current and savings accounts
- Income proof – Balance sheet and Profit/Loss Account audited by a registered CA for the last two years, last three years of ITRs – both company and individual
- Business proof – PAN Card, Partnership Deed agreement, GST Registration Certificate, Registration of Incorporation, Business address proof, AoA and MoA, Professional Practice Licence for Consultants, Doctors, etc.
- Eligibility
- Different lenders have their own eligibility criteria. These are some basic conditions you need to meet to be eligible for a business loan:
Aged between 21 years to 65 years old
Having an annual turnover of at least Rs. 40 lakhs
Having a running business for at least 3 years
Having a profit-making business for the last 2 years
Proprietors, self-employed individuals/professionals, private limited companies, limited liability partnerships, HUFs, and partnership firms doing business in either trading, manufacturing or services are eligible
Having a minimum annual income as specified by the lender, typically Rs. 2 lakhs.