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

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Business Loan for Startups

With many entrepreneurs making their mark and moving ahead with path-breaking strides, startups are no longer a derogatory word, in fact, they have become the current buzzword.

At SMFG India Credit, we offer startup loan for new business to assist young entrepreneurs achieve their entrepreneurial dreams. You can avail a startup business loan if you are a small or medium-sized firm for different requirements. Your requirement could be a working capital loan - to finance the working capital requirements during expansion or an equipment purchase loan - for purchase of new machinery or specialized equipment, or any other such expense.

Features and Benefits of Startup Business Loan

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.

Advantages BL

Documents Required for Startup Loan for new Business

The documents required for obtaining a startup business loan from SMFG India Credit are as follows:

  • Identity Proof - Passport, PAN card, Aadhaar card, driver’s license or voters id can serve this purpose.
  • Address Proof - Electricity bills, telephone bills, Passport, Aadhaarcard or voters id can serve this purpose
  • Proof of Age - Can be submitted by way of a copy of the passport or the PAN card.
  • Income Statement - Proof of stable income to be provided
  • Bank Statements - The last 6 months' bank statement to be submitted. You can also give a scanned copy of the canceled cheque to give IFSC code proof.
  • Signature - Proof of signature to be submitted by bank verified statements or PAN card.
  • Photos - 2 copies passport size.
  • Financial statements audited by a CA for the past 2 consecutive years
  • IT returns for the last 2 consecutive years

Eligibility Criteria for Startup Business Loan

To avail a startup loan for new business from SMFG India Credit, some of the eligibility criteria are as follows:

  • You should be a resident citizen of India
  • You should have a CIBIL score of at least 700
  • You should have been engaged in the current business for at least 3 years, with an overall business experience of 5 years
  • Minimum annual income of your business should be INR 2 lakhs
  • You should be between 21 years to 65 years of age

For detailed eligibility criteria for business loans, click here.

How to Avail Startup Business Loans?

Startups can easily avail of business loans from SMFG India Credit by ensuring that they meet the basic eligibility criteria as outlined by SMFG India Credit in order to apply for the loan. Startups must also have access to all the required documentation to support the business loan application at SMFG India Credit. 

Startups can avail of a business loan between Rs 50 Thousand to Rs 75 Lakhs* at competitive interest rate. The SMFG India Credit business loans come with flexible repayment tenures ranging between 12 and 48 months. 

Page also available inहिन्दी - Hindi

* 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

What are the types of Startup Business Loan?

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.

What is the maximum amount that can be availed as a Startup Business Loan?

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*.

Is a business plan mandatory for availing of a startup business loan?

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.

Can you get a business loan with no revenue?

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.

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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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