Best Banks for Startup Loans in India

If you are an entrepreneur then finding the best bank for a business loan is very challenging. Business owners have many types of issues during their startup journey such as a lack of funds, an explanation, starting a new project, purchasing a new property, etc. Loan is one of the best solutions to face these types of problems.

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Loan is a word that prompts everyone to do a brief statistical analysis in their mind before borrowing from the best bank for business loans. Before deciding on taking a loan, it is very important to analyze various factors. Business loans are very helpful for business owners. So in this Article, we will see some best banks for business loans.

Here is the list of the Best Banks for Startup Loans in India

HDFC Bank Business Loan

HDFC is one of the largest banks in the private sector, The platform offers business loans up to Rs.40 lakhs without any collateral or guarantor. They easily approve loans as well and they run some attractive offers also.  

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Eligibility Criteria to get loans

• The turnover of the business should be a minimum of Rs. 40 lakh
• Business should be in profit from last two years.

Fee and Charges

Up to 2.50% + GST as applicable

SBI Simplified Small Business Loan

SBI is one of the biggest and largest public sectors in India. It has over 24000 bank branches and more than 59000 ATMs in all over the country. The Bank’s main aim is to support startups and small businesses.

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Eligibility Criteria to get loans

• Business should be at least five years old.
• current account should be a minimum of 2 years old
• At least Rs. 1 lakh should be the Minimum average monthly balance

Fee and Charges

2-3% + GST as applicable 

ICICI Bank Business Loan

ICICI Bank is one of the biggest and oldest private Banks in the Country. Their loan structure is designed in such a way that business owners can easily select the loan option according to their business needs. It is an excellent option for those who are looking for a loan.

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Eligible Criteria

• The age group should be at least 28-65 years
• Turnover should be Rs. 40 LPA for non-professionals and RS. 15 LPA for professionals
• Tax return from Last year
• Bank statements from the last six months

Fee and Charges

Up to 2% + GST as applicable

Axis Bank Business Loan

Axis Bank is also one of the biggest private banks, it is also one of the best options for those who are looking for loans.  The platform offers required funds in the form of loans for your business requirements. Small and micro-business owners can easily apply for loans.

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Eligibility Criteria

• At least three years of business experience 
• The age group should be between 21-65 years

Fee and Charges

Up to 2% + GST as applicable

Citi Bank Business Loans

Citi Bank is one of the largest Business Loan providers in India. The platform offers a wide range of business loans for efficient working capital management. It is the best option for those who want to expand their business outside the country. The bank is available in more than 100 countries.  Business owners can get loans within 48 hours.

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Eligible Criteria

• Age should be between 21 to 65 years
• Types of the category are Manufacturing, service provider, or trader 
• business should be at least 3 years old

Fee and Charges

Up to 2% + GST as applicable

IDFC First Bank Business Loans

IDFC First Bank is one the best options for taking a loan. It provides business loans for equipment purchases, business upgrades, or any other business need. Before taking a loan from IDFC Bank, always remember that you will have to repay the amount in equal monthly installments. Their loans are available for professionals and non-professionals.

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Eligibility Criteria

• Business should be at least three years old
• Only Sole proprietorship firms, partnership firms, and self-employed individuals can apply for loans

Fee and Charges

1.5% + GST as applicable

Kotak Bank Business Loan

Kotak Bank is one of the best options for the loan it was founded in 1985, and it is the fourth largest private bank in the country. The platform has more than 650 branches all over the country. It is one of the best options for taking a loan because it offers reasonable rates and policies.

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Eligibility Criteria

• Age should be at least between 25-65 years.
• Minimum turnover should be Rs. 40 Lakhs
• Business should be in profit form for last year
• Types of the category are Manufacturing, service provider, or trader 

Fee and Charges

Up to 3% + GST as applicable

Standard Chartered Bank

It is one of the famous and best options for those who want to take loans for their business. Users can get loans simply and quickly because their loan application is very easy. It is the best option for business loans because it is the perfect combination of local knowledge with worldwide experience.

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Eligible Criteria

• The business should be a sole proprietor or a partnership firm
• Age should be between 21-60 years
• Rs 18000 should be Applicant’s minimum income 

Fee and Charges

Up to 2% + GST as applicable

Tata Capital

Tata Capital is one of the best options for commercial loans in the country. It Provides loans with low interest rates. The Bank provides loans up to Rs 5lakhs to Rs75 lakhs. It provides various types of loans such as Working capital loans, equipment loans, Entrepreneurship loans, and Microloans. The Best thing is the loans they offer do not require any collateral or security. 

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Eligible Criteria

• CIBIL score should be more than 700 
• The age limit should be above 21-65 years
• For the last three years, the company should be in Profit

Fee and Charges 

1.50% -2.50% + GST as applicable

IndusInd Bank

IndusInd Bank is a one-stop solution for all of your banking needs. The Platform offers lower interest rates along with security and transparency in their operations. The Bank has over 380 branches in the country. 

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Eligible Criteria 

• The business should be a minimum of Rs. 1 crore 
• Profitability Should be at least from the last three years 
• Capital Should be More than 10 lakh 

Fee and Charges 

0.5% + GST as applicable

Conclusion

Most Business owners who run their business try to earn money on their own and invest it in their business and grow it. If you go back to people in olden times who had loans, only a few people could use the money that was given to them. Taking a Bank loan is one of the biggest problems for some people, the only requirement is how to use this facility properly. With the growing startup culture day by day, the need for business loans is also increasing.

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This was our selection of the Best Banks for Startup Loans in India. We hope this is useful to you. The order of this list is random.

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