Best banks for business loan up to 75 lakh- Taking a loan is a major concern for every business, especially getting a loan is not that easy especially for small businesses, there are many banks listed for this which provide their financial services, the purpose of these financial services is to help you achieve your business goals.
Understand Business loan
It is not difficult to understand a business loan. Simply understand that this loan is given to firms and entrepreneurs to meet their expenditure needs, in which the bank provides a large amount to the borrower, which is later repaid with the interest amount through EMI over time. Once the loan is repaid, the lender gives money to the borrower for business as per the need. This is a type of unsecured loan.
Business loan may be used for several things.
- – New startup
2. – Expand existing business
3. – Buying equipment or inventory
4. – Recruiting staff’s
5. – Marcketing & advertising for business product’s
6. – Improve your cash flow
List of best banks for business loan
Best Banks for Business Loan
| Bank Name | Interest rate | Loan Amount |
| HDFC Bank | 11.90% to 21.50% P.A. | Up to 40 Lakh |
| Axis Bank | 11.50% to 20% P.A. | Up to 50 Lakh |
| ICICI Bank | 12% to 18% P.A. | Up to 2 Cr. |
| Kotak Mahimdra Bank | 12.99% to 15% P.A. | Up to 1 Cr. |
| IDFC First Bank | Start 14% P.A. Based on Cibil Score | 7 lakh to 1 Cr. |
| SBI | As per cibil score staring 9% | 10 lakh to 25 lakh. |
The above list of best banks is given to you only for educational purpose, so before applying for a loan, understand any kind of information or error properly and then apply for the loan, along with this understand the terms and conditions of the bank, understand the RBI guidelines for more information.
Which loan is right for business from best banks.
Best Banks provide many business related loans such as term loan, cash credit, overdraft, secured business loan, these facilities are available.
1. Term loan-
Term loan is a loan in which the bank gives you a fixed amount of money for a fixed period which is usually from 1 to 5 years with a fixed or variable interest rate and repayment is usually done in installments through a fixed EMI, which includes both principal and interest. Which is used to give new momentum and energy to your business
2. Cash Credit (C.C.) & Overdraft
Cash credit and overdraft are both short term loan facilities provided by the bank. There is some difference between the two. Cash credit is mainly provided to meet the working capital requirement of the running business whereas overdraft is provided to meet both personal and business needs. In such a situation, whenever you apply to the bank, you should understand the terms and conditions very well.
3. Secured Business Loan-
Secured business loan is a collateral loan which is given to expand the business by mortgaging the property. If you want, you can use it for marriage, education or investment in any property purchase, but keep in mind to check the terms and conditions thoroughly because it is like a term loan. you get a secured business loan on your living house which is completely completed.
Government Schemes for Startup Loans.
If you are taking a loan for your business or startup, then first contact the employee of government banks and contact your nearest branch for small and small industries like Pradhan Mantri Mudra Yojana, PMEGP. Therefore, you may need a project report, so make sure in which sector you are doing business or are going to do business.
Read more For Best banks Nbfc– Click