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Business loans for startups from SMFG India Credit aim to assist young entrepreneurs in achieving their ambitious dreams.
Whether you're a small or medium-sized enterprise, our loans for startup businesses are designed to support a wide range of financial needs. You could use the funds as a working capital loan to manage day-to-day operations during growth phases, or as an equipment purchase loan to invest in new machinery, tools, or specialised equipment critical to your business.
In order to qualify for an SMFG India Credit business loan, your enterprise should have been operating for at least 3 years, with a record of stable income and profits for the last 2 years.
Keep reading to learn more about how a startup loan can empower your business journey.
Startup loans for new businesses are different from other financing loans for established companies and have various benefits and specific features.
Flexibility - Startup business loans are designed with more flexibility to allow the business owner to concentrate on growth than just worry about repayment. At SMFG India Credit, we offer customised packages with flexible repayment tenures for your convenience.
Collateral - At SMFG India Credit, our short term startup loans do not require collateral. You can avail up to INR 75 Lakhs* of unsecured business loans.
Availability of Funds - We ensure swift disbursal as soon as your loan is approved.
Documentation Required - To avail a startup business loan from SMFG India Credit, you will only need to submit basic documents without too many hassles.
To avail a startup loan for new business from SMFG India Credit, some of the eligibility criteria are as follows:
Click here for detailed eligibility criteria for business loans.
The documents required for obtaining a startup business loan from SMFG India Credit are as follows:
When you opt for an unsecured business loan for startups, the interest rates and the associated charges (such as processing fees) can have a significant impact on your overall borrowing cost. To ease your enterprise’s growth journey, SMFG India Credit offers competitive interest rates tailored to your unique business profile.
However, the final interest rate for your startup loan is influenced by several factors, including the loan amount, credit score, net income, business stability, current financial obligations, and more.
Here’s a quick overview of the charges that may apply to your loan for startup businesses*:
Fee Type |
Applicable Charges |
Interest Rate |
Minimal and competitive interest rates (depending on several factors, including location, net income, business stability, collaterals, existing monthly obligations, etc.) |
Processing Fees |
Up to 5% of the total loan amount + GST |
Late Payment Charges |
Up to 3% per month (36% per annum) on overdue amount calculated on day to day basis payable from the relevant due date till date of actual payment. |
Collection of Cheque/Cash |
NIL |
Cheque or ECS Dishonour Charges |
Rs. 300 to 1000 |
Foreclosure Charges |
Up to 7%* of the principal outstanding |
Here’s how you can easily apply for an unsecured business loan at SMFG India Credit:
Begin your online application here and choose the ‘Business Loan/SME Loan’ option. Enter the required information, upload relevant documents, and choose your preferred startup loan amount and tenure. To ensure smooth processing, double-check that all submitted details and documents are accurate and up to date.
Once your application is submitted, you'll receive an instant update on whether your startup business loan is eligible for further processing. If eligible, a reference number will be generated – keep it easily accessible for future communication. An SMFG India Credit representative may connect with you for any additional information.
Your application will undergo various standard checks, such as document verification and address confirmation. Once everything is validated, you’ll receive a customised loan offer detailing the sanctioned amount, applicable interest rate, and other key terms. After final approval, the loan amount will be disbursed directly into your account.
With a streamlined online application process, competitive interest rates, and flexible repayment tenures ranging from 12 to 60 months*, we make it easier for entrepreneurs to access the funding they need. Apply online today or reach out to our expert team to explore your business financing options. Let us be your trusted financial partner in building a successful business venture.
With the rustic flair of desi music and subtly infused humour, this video tells a story of a small retailer who was able to grow his small business with a loan. Watch now and enjoy!
* 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.
To qualify for an unsecured business loan from SMFG India Credit, your business must be operational for at least 3 years, with a track record of consistent income and profitability for the last 2 years.
The maximum amount of the startup business loan depends on your business, its turnover, and profitability as well as your credit history. At SMFG India Credit, we offer collateral free startup business loans upto INR 75 Lakhs*.
The majority of lenders will request a business plan from the founders looking to avail of a startup business loan. This enables the lender to do a deep dive into the vision of the company and how it will turn into a profitable entity within a stipulated period of time.
From the borrower’s perspective, the business plan should be detailed, stating clear objectives and targets and what the mechanism is to achieve them. The plan should also highlight the schedule of activities and how the business loan funds are going to be used.
Securing a business loan with no revenue can be an upheaval task because most lenders including SMFG India Credit will require prospective borrowers to have a minimum yearly revenue and a record of stable revenues for the past 2 years in order to be eligible for a business loan in the first place. However, in the backdrop of the startup environment mushrooming all over the country, there are select investors who may extend funding to startups even if they are at a pre-revenue stage based on their assessment.
There are two main types of Startup business loans.
One is a short term working capital loan or a line of credit – used for paying salaries, or other expenses needed to maintain the funds for the day to day running of the business. This loan may require no collateral, and give an initial interest-free period.
The other kind is an Equipment Financial Loan – which is used to fund expansion or growth. It is a longer-term loan and would require the business as collateral. It is used for purchasing heavy or expensive machinery. At SMFG India Credit, we offer collateral free business loans upto INR 75 Lakhs*. For amounts greater than that, we offer business loans that can be secured against property.
Your venture must be operational for a minimum of 3 years if you wish to apply for an SMFG India Credit business loan.
You can apply online through the lender’s website or visit the nearest branch with the necessary documents. The online application typically involves filling out a form and uploading required documentation, such as KYC details, bank statements, and income proof.
Yes. SMFG India Credit offers unsecured business loans of up to INR 75 lakhs*.
SMFG India Credit offers competitive interest rates on unsecured business loans for startups. The final rate offered will depend on factors such as business stability, credit score, net income, existing liabilities, and so on.
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