Business Loan
Working capital or expansion funding for your business — machinery, inventory, a new outlet, or simply smoothing cash flow.
A business loan gives your business working capital or expansion funds without diluting ownership — unlike raising equity, you keep full control and simply repay over time. It can fund inventory, machinery, a new location, staff, or bridge the gap between paying suppliers and collecting from customers.
Lenders assess your business differently from an individual: turnover, banking history, GST filings and profitability all matter alongside your personal credit profile. With 90+ banks and NBFCs on our panel — including lenders who specifically work with smaller and newer businesses — we help you find one whose criteria your business genuinely fits.
Who is a business loan for?
- Business owners looking to expand, restock, or bridge a cash-flow gap
- Proprietorships, partnerships, and private limited companies
- Businesses with at least 2–3 years of operating history (varies by lender)
Who is eligible for a business loan?
- Business vintage typically 2+ years, though newer businesses may qualify with select NBFCs
- Minimum annual turnover as set by each lender
- Regular banking activity and a reasonable CIBIL score for the business/proprietor
- Existing loans and their repayment record are reviewed
What documents do you need for a business loan?
- PAN and Aadhaar of the proprietor/partners/directors
- Business registration proof (GST certificate, Udyam/MSME registration, or equivalent)
- Bank statements, typically 12 months
- ITR and financial statements for the last 2 years
How much would a business loan EMI cost?
For example, ₹10,00,000 over 5 years at an indicative 11% works out to about:
₹21,742/month
Indicative only — your actual EMI depends on the amount, tenure and rate you're offered.
Try the full calculatorBusiness loan without collateral
Many business loans genuinely don't require collateral — up to a threshold, lenders assess your business's turnover, banking history and repayment track record instead of taking property or other assets as security. Beyond that threshold, most lenders start asking for collateral or at least a personal guarantee from the proprietor or directors, since the loan amount is now bigger than what your cash flow alone can reasonably secure.
Where that threshold sits varies quite a bit — by lender and by loan structure. A smaller unsecured loan is easy for a lender to justify without security; a large equipment or expansion loan usually isn't. NBFCs on our panel who specialise in smaller and newer businesses in particular tend to be more flexible about staying unsecured, sometimes at a modestly higher rate to offset their own risk.
What actually determines whether you qualify unsecured is your GST filings, roughly a year of bank statements, and your last two years of ITR and financial statements — the same documents we ask for on every business loan application, just weighted differently depending on the amount you need.
Business loan for a low CIBIL score
Yes — your personal CIBIL score matters for a business loan, not just your business's financials. For proprietorships and smaller partnerships especially, lenders treat the owner's credit history as a direct proxy for how the business itself will behave, since legally there's often little separation between the two.
A weaker personal score doesn't rule you out, but it does narrow which of our 90+ banks and NBFCs will consider the application, and it may mean a smaller sanctioned amount, a personal guarantee, or a somewhat higher rate rather than an outright decline. Strong, consistent business banking activity and steady turnover can meaningfully offset a middling personal score in a lender's eyes.
We'll look at both sides of your profile — personal score and business financials — before approaching any lender, so you're applying to the ones where you genuinely have a realistic chance rather than collecting rejections that dent your score further.
Common questions about business loan
Do I need collateral for a business loan?
Not always. Many business loans are unsecured up to a certain amount, based on your turnover and banking history. Larger amounts may require collateral or a personal guarantee, depending on the lender.
My business is less than 2 years old. Can I still apply?
It's harder but not impossible. A few NBFCs on our panel work with newer businesses that show consistent revenue. Talk to us and we'll tell you honestly where you stand.
What can the loan be used for?
Working capital, purchasing machinery or inventory, business expansion, or refinancing costlier existing debt — lenders generally don't restrict the end use for standard business loans.
Will my personal CIBIL score matter for a business loan?
Yes, alongside your business's financials. For proprietorships and smaller partnerships especially, the owner's personal credit history is usually reviewed too.
Ready to talk about your business loan?
Tell us your need and we'll match you to the right lender from our panel of 90+ banks & NBFCs.