Fullerton India Credit Co. Ltd. is Now SMFG India Credit Co. Ltd.

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Collateral Free Business Loan

Managing a relatively new business can get challenging, giving the highly volatile market conditions as well as a constantly changing business environment. In fact, it is very likely that as a business owner, you may feel obligated to tap into your own personal funds due to the lack of adequate funds. Alternately, you may try looking for a business loan. However, wondering whether you may have to pledge collateral may make you hesitate. This brings us to a very pertinent question.

How can one get a Collateral-free Loan?

The term collateral refers to an asset that a borrower gives a lender to secure a loan. In a situation when a borrower defaults on a loan payment, the financial institution issuing the same has the right to seize the collateral that was put up by the borrower as security to recover any sustained losses.

Collateral has a financial value. Collaterals are usually assets like real estate, machinery, vehicles, stocks, etc.

What are collateral-free loans?

Simply put, collateral-free loans are loans for business without security. Such loans are called business loans without collateral.

Collateral free business loans are hassle-free and make unlimited opportunities accessible to those availing it. They not only help us meet our business goals but also satisfy personal requirements, for example, expenses towards a wedding, a foreign holiday, higher education, medical emergencies and more.

At SMFG India Credit, we understand your needs, and hope to become your preferred financial partner for facilitating your business aspirations. Hence, we offer collateral free business loans upto Rs 75 Lakhs* at competitive Business Loan Interest Rates with flexible repayment options.

Collateral Free Loans: Features and Benefits

The flexible features of collateral free business loans from SMFG India Credit allow our customers to meet business goals and contribute to the country’s economic growth. Here are a few benefits and features of business loans:

Upto INR 75 Lakhs* of unsecured business loans -

We offer upto Rs 75 Lakhs* of collateral free business loans at reasonable interest rates to help you meet short and medium term business goals.

No collateral -

These loans are collateral-free, which means that one does not have to pledge one’s personal or business assets. This makes the process extremely fast and with minimal documentation.

Pre-approved Offers -

One can get pre-approved offers for an instant loan without security like top-up loan or an interest rate reduction on one’s business loan. This also however, depends on the company’s prevailing policy as well as your credit and repayment history.

Online business loan EMI Calculator option -

An EMI calculator can help you calculate monthly payments on a business loan. SMFG India Credit’s free online business loan EMI calculator assists you in predetermining the amount that is needed to pay towards repayment on a monthly cycle. You can also use our business loan eligibility calculator in understanding the approximate business loan amount you may be eligible for which can help you make an informed decision.

Online Account Access -

One can access the business loan statement online anytime and from anywhere.

Business Loan Eligibility Criteria

  1. Age should be between 22-60 years
  2. The business should be a minimum of three years old
  3. Previous year’s filed Income Tax returns need to be submitted
  4. Previous year's turnover should be duly audited by a CA

How to Apply

  1. One can check Business loan eligibility online
  2. One can calculate EMI online through the online business loan EMI calculator
  3. Fill the form online
  4. Fill in the details and click on submit
  5. Our representative will get in touch with you within 72 hours*

* Please note that loans are disbursed at the sole discretion of SMFG India Credit. Final approval, loan terms and disbursal process will be subject to SMFG India Credit's policy at the time of loan application. If you are an existing customer and wish to foreclose your loan, please note that foreclosure terms and charges will be applicable as per our policy at the time of loan foreclosure.

FAQs

Which businesses should apply for collateral free loans?

Small businesses/startups, women entrepreneurs, doctors, chartered accountants, manufacturers, and shop owners should apply for collateral-free loans.

What are the documents I require to avail a collateral free loan?

The documents required to avail a collateral-free loan typically include PAN Card, business address proof, business registration proof, account statements, income tax returns, financial statements, and KYC documents of business owners/partners/directors.

Is MSME Loan Collateral Free?

Yes, MSME loans can be collateral-free, especially short-term startup loans at SMFG India Credit, where businesses can borrow up to INR 75 Lakhs* without pledging collateral.

How is the interest rate calculated on a collateral free business loan?

The method for calculating the interest rate on a collateral-free business loan depends on the lender's policies, but it is typically based on factors such as the loan amount, tenure, and the borrower's creditworthiness.

Who is eligible for a collateral-free loan?

Individuals between 22 to 60 years old, running a business for at least 3 years, and having audited income tax returns are eligible for collateral-free loans. They can check eligibility online, use a business loan EMI calculator, fill the online form, and get in touch with a representative after 72 hours*.

What is the maximum & minimum limit of a collateral-free loan?

The maximum and minimum limit of a collateral-free loan is from INR 50 Thousand to INR 75 Lakhs*.

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Have a query? You can contact us through any of the channels listed below.

 
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1800 103 6001 Timings: 9:00 AM to 7:00 PM (Monday to Saturday excluding public holidays & fourth Saturday of every month).
 

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