Key Steps to Getting a Small Business Loan with Low Interest Rate

If you are looking for business loans with low interest rates, you should narrow down lenders in order to get the best possible deal for yourself. There are several lenders out there who offer small business loans. However, there are often high interest rates charged or there are collateral requirements. These are things that often deter small businesses who urgently require funding for future growth or consolidation.

The first thing to do is do some research into why you need a business loan. The purpose of the business loan should be clearly defined. You should be able to present a clear plan of how you plan to use the funds to your lender. You can use the business loan for the following reasons:

• Expanding your business and growing operations

• Consolidating business operations and taking care of daily operational expenditure

• Building up inventory for meeting seasonal/peak customer demand

• Buying or upgrading equipment/machinery

• Arranging funding for new projects

• Arranging funds for advertising/promotional expenses

Once you have zeroed in on the purpose of the collateral free loan, you should then do your research on how much you can actually afford. You should be clear about what you are eligible for and the total cost of the loan over a prolonged period of time. You can use an online eligibility and EMI calculator to work out the amount that you are eligible for. Check the eligibility criteria of your lender and see whether you match the same. Work out the monthly EMI that you have to pay on the amount that you desire and see how much you can afford in this regard.

These are things that have to be done before applying for a small business loan. The next step is to arrange all the required documents. You can apply for a small business loan from Bajaj Finserv. You can easily apply online by filling up the form and uploading the necessary documents. You will be instantly approved online should you meet the eligibility criteria. Company representatives will contact you with details of pre-approved loan offers.

Funding is disbursed swiftly and there is minimal documentation. The eligibility criteria for getting a Bajaj Finserv business loan is as follows:

• Age between 25-55 years

• IT Returns for past year

• CA-audited last year’s turnover

• Business vintage for at least 3 years

The following customer profiles are considered:

• Self-employed professionals

• Self-employed nonprofessionals

• Chartered accountants/allopathic doctors/architects/company secretaries

• Limited liability partnerships/partnerships/closely held limited companies/private limited companies

• Retailers/manufacturers and traders/service providers/proprietors

The documents required for the loan include the following:

• KYC documents

• Passport size photograph

• Necessary financial documents

• Certificate of business existence/Business Proof

• Bank account statements for last month