Mumbai is the hub, the heart and the dream city for upcoming entrepreneurs. It provides an ocean of opportunities to everyone seeking to get their idea out there. To cater to this growing demand of new business ideas and ventures, what better than taking up a loan? As the finance capital of India, Mumbai provides the best options for loans for your budding business with minimum requirements, easy procedures and almost no collateral. Some of the documents required are a business loan in Mumbai are company ID proof, IT returns for 3 years, your bank statements, audited financials, address proof, board resolution, etc.
The retail segment of the industry has the highest growth in Mumbai with more and more entrepreneurs entering this city to grow their business. With BKC attracting newer global companies, Lower Parel is becoming the new financial hub and South Bombay holding its heritage with the already existing huge business market the growth in this city for MSME’s has increased to a great extent. With this increasing demand, the loan industry has also adjusted to the market and now availing a loan for your small business in Mumbai has become hassle free.
Benefits of taking up a loan in Mumbai
- Flexibility
With a flexible payment structure, taking up a loan according to your requirements and repayment in line with your business cash flows is a major boost for a loan.
- Instant Approvals
In a fast moving city like Mumbai, where everyone is running for time whilst a loan procedure may seem like a lengthy process on the contrary the loan approval process is a piece of cake provided you fulfil all the eligibility criteria’s.
- Secured
With technology right at its peak and theft increasing by the day, the security provided in the metropolitan city is the greatest reducing the chances of theft or hacking by a manifold.
Eligibility criteria for business loans in Mumbai
A business loan can be provided to an individual, a partnership, limited liability partnership, proprietary firm, self employed. To be eligible for a business loan there are a lot of factors that are considered. Every bank that offers loan will look into many criteria prior to sanctioning it. Few important ones are:
- Age Limit: The applicant should be min 21 years & max. 65 years.
- Income: Business should be profit making at least for the past 1 years.
- Turnover: Rs. 200,000 p.a. should be the minimum annual income.
- Co-applicants: This is optional to the applicant, not mandatory in case of business loan.
Documents required for business loans in Mumbai
Here is the basic documentation required for getting a Business Loan:
- A copy of the PAN card of the person or company
- An identity proof which might include any of Aadhar Card, Passport, Voter ID, PAN Card or Driving License
- An Address Proof which can consist of either of Aadhar Card, Passport, Voter ID or Driving License
- Bank statements from the last 6 months
- ITR statement from the last year as well as audited balance sheet and P&L statement for the past 2 years
- Cash Flow statements
- Debt Obligations
- Application form with a recent photograph of all co-applicants
- Other documents as required which can include declaration of ownership, MoA, Resolutions, Power of Attorney or any other document required by the bank/NBFC or as required by the lender
Interest Rates and charges for business loans in Mumbai
Interest rates for an SME or MSME business are calculated on various aspects and tangents taking in criteria the CIBIL score, net worth, profitability of the business, cash flows, working capital and inventory ratios and the tenure of the loan. Usually a longer dated loan would have a lower EMI while a risky business would have a higher EMI.
Nature and charges on business loans
Why apply for business loans at FlexiLoans?
Here are FlexiLoans it is now extremely convenient to apply for business loans with a full hassle free process. We provide loans in more than 100 cities all over India with innovative product solutions for our customers.
- We are completely paperless so no worry about losing documents and eases convenience. Just fill the form, upload your documents, get approved in less than 48 hours and the loan is yours.
- We provide collateral free loans i.e.100% unsecured loans with no security, making the process less cumbersome for you.
- We have no hidden fees and charges and are completely transparent; securing your trust is what is important to us.
- We grant loans with a lending capacity up to Rs. 1 Crore.
FlexiLoans aims to provide you with the easiest way of securing a loan and that is our number one priority. We want you and your business to grow to the vision you have seen for it.
How to apply for a business loan from Mumbai
If you are a business owner or a company, please do click here to apply today