[email protected]
AadhyaFinancialConsultancy > Business Loan

Mumbai’s Best SME Business Loan

Business loan in Mumbai

Attention, ambitious entrepreneurs! Are you a small or medium-sized business owner based in “आमची Mumbai” looking for financial support to grow your business? There’s nowhere else to look! With Aadhya Finance Consultancy’s Unsecured Business Loan Service for SMEs, you can get the financial support you need without the hassle of providing collateral. 

Our service is designed to cater to the dynamic needs of entrepreneurs. Whether you want to seize new opportunities, expand your operations, or overcome temporary cash flow challenges, AFC is here to help. 

Acknowledging the challenges that these businesses encounter in meeting conventional banking criteria for getting a Loan – we offer personalized guidance, quick processing, and flexible unsecured business loan financing options.  

With AFC on your side, financing is no longer a challenge. You can get the money you require when you need it. 

Calculate SME Business Loan Eligibility and EMI

Features and Benefits of SME Business Loan with AFC

  • Fitment expertise in home loans

Benefit from expert advice to maximize your SME loan eligibility. 

  • Flexibility to Choose the Best Financing Option 

Whether you prefer the structured repayment of a term SME loan or the flexibility of a dropline overdraft facility, we provide you with the versatility to manage your finances effectively.  

  • Comfortable Repayment Tenure 

Enjoy a repayment tenure tailored for your comfort, spanning from 12 to 48 months. 

  • Competitive Interest Rates on Unsecured SME loans 

Secure the best SME loan interest rates for your unsecured business loan needs. 

  • Deadline-Oriented Approach 

Trust in our commitment to meeting deal deadlines with precision. 

  • Hassle-Free and Transparent Procedures 

Experience a seamless and transparent SME business loan process from application to disbursal. 

  • Post-Disbursal Support 

Receive ongoing support and guidance even after SME business loan disbursal for a worry-free experience. 

Eligibility Criteria of SME Business Loans

Loan eligibility criteria for SME business financing are generally assessed by banks or NBFCs based on the following parameters: 

Repayment capacity for small and medium-sized enterprises can be measured in various ways, including: 

Traditional

The conventional way of determining an applicant’s loan repayment capacity is through formal financial documentation and direct evidence of income. This method relies on standardized criteria and a thorough documentation process to assess the creditworthiness of SMEs. Here’s what it typically involves: 

  • Income Proof. 
  • Business Stability. 
  • Promoter or Owner Age. 
  • Bank Statement. 
  • Debt to Income Ratio. 
  • Repayment History. 

Non-Traditional 

When traditional evidence of income is inadequate to accurately represent the borrower’s genuine financial situation, banks and non-bank financial companies (NBFCs) turn to the non-traditional or surrogate method as an alternate evaluation technique for collateral free SME loans.  

The assessment is done based on any of the below parameters. 

Average bank balance. 

  • Average bank balance. 
  • Gross Turnover. 
  • GST Returns. 
  • Average EBITA. 

Employment Status 

Maintaining a positive repayment history, marked by on-time payments and responsible handling of various credit types, can enhance chances of being approved for a loan, significantly. 

Here’s what it typically includes: 

  • Timely loan repayments 
  • Utilisation of other credit facilities 
  • Frequency of late payments 
  • Duration of credit history 
  • History of defaults 

Unsecured business loans can be availed for a minimum tenure of 1 year and a maximum tenure of 4 years.  

An Easy and Quick Unsecured Business Loan is waiting for you

Apply Now

Documents Required for SME Business Loans

a. Three years financials complete set including: 

  • ITR acknowledgement (Saral Copy). 
  • Computation of Income. 
  • Profit and Loss account and Balance Sheet will all annexure and schedules. 
  • Tax Audit Report, including Form 3CA and 3CD. 
  • Auditor’s Report. 
  • Form 26AS 

b. 12-month bank statement Current account and Savings account in PDF format (download as PDF from Internet banking)

c. Proof of other income if other income is to be considered for enhancing loan eligibility (Rent agreement and reflection in bank statement). 

e. Sanction letter of all loans and facilities.

f. GST Registration certificate

g. GST 3B for the last 12 months. 

h. Copy of PAN Card. 

i.  Residence Proof – Aadhar Card/ Driving License/ Passport/ Voter ID Card

  1. Three years complete financial set, including: 
    • ITR acknowledgement (Saral Copy). 
    • Computation of Income. 
    • Profit and Loss account and Balance Sheet with all annexures and schedules. 
    • Tax Audit Report, including Form 3CA and 3CD. 
    • Auditor’s report. 
    • Form 26AS 
  2. 12-month bank statements of current account and OD or CC account in PDF format (download as PDF from Internet banking). 
  3. Proof of other income if other income is to be considered for enhancing loan eligibility (Rent agreement and reflection in bank statement). 
  4. Sanction letter of all loans and facilities.
  5. GST registration certificate of the partnership firm. 
  6. GST 3B for the last 12 months of the partnership firm. 
  7. Copy of the PAN card of the partnership firm.
  8. Partnership Deed. 

Additional Documents for Partners: 

  • Copy of PAN card. 
  • Residence Proof – Aadhar Card/ Driving License/ Passport/ Voter ID Card. 
  1. Three years complete financial set, including: 
    • ITR acknowledgement (Saral Copy) 
    • Computation of Income 
    • Form 26AS 
  2. Six months’ salary slip/salary certificate. 
  3. 12–month bank statement for the savings account in PDF format, downloaded from Internet banking. 
  4. Proof of other income (if applicable) to enhance loan eligibility, including: 
           a. Rent agreement and corresponding entries in bank statements. 
  5. Latest sanction letter of all existing loans and facilities. 
  6. Copy of PAN Card. 
  7. Residence Proof (one of the following): 
    • Aadhar Card 
    • Driving License 
    • Passport 
    • Voter ID Card 

Additional Documentation for Private Limited Company: 

  1. Three years complete financials set, including: 
    • ITR acknowledgement (Saral Copy) 
    • Computation of Income 
    • Profit and Loss Account and Balance Sheet with all annexure and schedules 
    • Tax Audit Report, including Form 3CA and 3CD. 
    • Auditor’s Report 
    • Form 26AS 
  2. 12–month bank statements for the current account and OD or CC account in PDF format, downloaded from Internet banking. 
  3. Proof of other income (if applicable) to enhance loan eligibility, including: 
    • Rent agreement and corresponding entries in bank statements. 
  4. Sanction letters of all existing loans and facilities. 
  5. GST Registration Certificate of the private limited company. 
  6. GST 3B for the last 12 months of the private limited company. 
  7. Copy of PAN Card of the private limited company. 
  8. Memorandum and Articles of Association. 
  9. Latest shareholding pattern and list of directors. 

Additional documents of owners (Major Shareholders) 

  • Copy of PAN Card. 
  • Residence Proof – Aadhar Card/ Driving License/ Passport/ Voter ID Card. 

Sanction Process of SME Business Loan

commercial property purchase loan

Get Your SME Business Loan in Lowest Interest Rate.

Apply Now

FAQs About SME Business Loans

  • An unsecured business loan is a loan obtained by Micro, Small and Medium Enterprises (MSMEs) or SMEs without any collateral security, basis the individual creditworthiness of the Business.

  • Businesses with good credit history and positive cash flow can avail of unsecured business loans. Following are the types of businesses that can obtain an unsecured business loan: Sole Proprietorships, Partnerships, Limited Liability Companies, Private Limited Companies, Unlisted Limited Companies, (Subject to meeting the lender's criteria.)

  • It’s not mandatory to avail of credit insurance, however, it’s good to have as in case of any eventuality immediate family members are protected from financial obligations.

  • Generally, foreclose charges on unsecured SME business loans range from 3% to 5% of the loan outstanding at the time of the closer of the loan.

  • Interest rates range between 14.00% to 20.00% p.a. depending on credit worthiness of the borrower. Type of interest rates linked to unsecured business loan: Unsecured business loans are generally given on fixed interest rates hence it does not change during the tenure of loan.