A business loan is any type of financing that’s used to fund business expenses — from paying staff wages to purchasing inventory. Businesses require an adequate amount of capital to fund startup expenses or pay for expansions. As such, companies take out business loans to gain the financial assistance they need. A business loan is debt that the company is obligated to repay according to the loan’s terms and conditions. A business loan is borrowed capital that companies apply toward expenses that they are unable to pay for themselves. Some business owners use business loans to pay for salaries and wages until their new company gets off the ground, while other companies put borrowed funds toward office supplies, inventory or business projects. Lenders want to know how the business intends to use the borrowed monies, so business owners must make sure to have a clear outline for how the money will be spent.

Loans are not given out for free. Lenders charge interest on loans as the price paid for borrowing the money. It is important to know whether the interest is fixed or variable. A fixed interest rate means that the interest rate remains the same for the duration of the loan and its payback period. A variable interest rate indicates that the interest rate can fluctuate based on a variety of determinants. Other features of a loan to pay attention to are the payback period (months or years) and what the lender will use as collateral if the business is unable to pay the loan back timely.

Businesses that take out loans with high interest rates should make plans to pay the loan back as quickly as possible, so the interest owed does not accrue into an exorbitant amount. High-interest loans are best used for short-term financing needs.

KYC Documents
Home related documents
Copy of last 2 years Income Tax Returns of the applicant along with computation of income duly attested by a Chartered Accountant
Copy of last 2 Years Balance Sheet and Profit & Loss Account of the firm duly attested by a Chartered Accountant
Bank Statement for the last 6 months for the Savings Account & Current Account,
Copy of either Shop & Establishment License / VAT Registration or GST registration any other mandatory license / Registration
Copy of the Partnership Deed, Memorandum of Associations, Articles of Association (if applicable)
Copy of Tax Deduction Certificate / Form – 16A (if applicable)
Details of Contract (if applicable)
Copy of Advance Tax paid / Self Assessment Tax paid challan
Copy of Educational Qualification Certificate
Copy of Professional Practice Certificate
Salary Certificate (in case of doctors having salaried income)

Rashan Card
Electricity Bill
Mobile Bill
Land Line Bill
Passport
Mool Niwas Patra
House Tax Slip
Water Bill Gas Bill
Aadhaar Card

Pan Card ( Compulsory )
Aadhaar Card ( Compulsory )