Business loans are unsecured loans offered by banks and NBFCs to entrepreneurs without the need for collateral. These loans in Vadodara can be used for various purposes such as business growth, travel, shopping, and medical expenses. They are easy to access and can be secured quickly, providing a convenient cash flow solution. 

To apply, you’ll need to provide KYC documents and income records like the last 3 years of IT returns, profit and loss statements, balance sheets, and a 12-month current account statement. The approval process is quick, usually taking 3 to 7 days, depending on your profile and the lender's policies.

 Loan amounts and interest rates vary based on factors like annual turnover, business nature, profits, bank balance, and CIBIL score. Business loans range from Rs. 3 lakhs to Rs. 50 lakhs. Once documents and credit are verified, loans are sanctioned and disbursed after an agreement with the bank and submission of security cheques. 

Repayment begins the month after loan disbursement. If disbursed after the 15th, EMIs start the next month, and pre-EMI interest is deducted. At Prarvi Consultancy, we help you connect with multiple banks and NBFCs, providing you with personalized offers so you can choose the best loan based on your preferences, loan amount, and interest rate.

KYC Documents:

• Identity Proof: PAN Card, Aadhaar Card, Passport, Voter's ID, or Driving License.
• Address Proof: Aadhaar Card, Passport, Voter's ID, Driving License, Utility Bill, or Bank Statement (updated and not more than 3 months old).

Financial Documents:

• Bank Statements: Latest bank statements for the last 6 months.
• Income Tax Returns (ITR): ITR for the last 2-3 years, along with computation of income.
• Financial Statements: Balance Sheet and Profit & Loss Account for the last 2 years, audited by a Chartered Accountant.

Business Documents:

• Business Proof: Certificate of Incorporation, Partnership Deed, or Shop and Establishment Certificate.
• GST Registration Certificate: If applicable.
• Trade License: If applicable.
• Memorandum and Articles of Association (MOA & AOA): For companies.
• Board Resolution: For companies, authorizing the loan application.

Additional Documents:

• Property Documents: If the loan is secured against property, provide title deeds and related documents.
• Business Plan: A detailed business plan outlining the purpose of the loan and repayment strategy.

To qualify for a business loan in India, banks and financial institutions typically consider the following eligibility criteria:

• Applicant Profile: Self-employed individuals, proprietors, private limited companies, partnership firms, and limited liability partnerships (LLPs) engaged in manufacturing, trading, or service sectors.
• Age: Applicants should be at least 21 years old at the time of application and not older than 65 years at the time of loan maturity.
• Business Vintage: The business should have been operational for a minimum of 1 to 3 years, depending on the lender's policies.
• Annual Turnover: A minimum annual turnover of ₹25 lakhs to ₹40 lakhs is often required, though this can vary among lenders.
• Profitability: The business should have been profitable for at least 1 to 2 years.
• Credit Score: A credit score of 700 or above is generally preferred.
• Income Tax Returns (ITR): A minimum annual income (ITR) of ₹1.5 lakhs is often required.
• Business Location: The business should be located in a non-restricted area, and the office location should not be on any negative list.

• Provide the statement of account for any existing loans (if applicable).
•  Submit all documents together in hardcopy format.
•  Additionally, email the soft copies of all documents in PDF format to contact@sathyampariwar.com.

• Compare and Choose: Get loan quotes from various banks and lenders, then analyze them to pick the best option for your needs.
• Listen and Learn: Pay attention to insights shared by vendors; you might uncover useful information you didn't know.
• Honesty Matters: Be upfront about any negative financial aspects with vendors. This will help them steer you towards the right solutions.
• Credit History Conversation: Share your complete credit history with vendors to receive accurate advice and avoid rejections.
• Politeness Pays: Stay respectful with vendors. Building a positive rapport can lead to long-term, beneficial relationships.
• Preparation Pays Off: Ensure all your documents and security cheques are ready before applying. This saves time and smoothens the process.
• Stay Connected: Maintain communication with your vendors until you get a clear status update on your loan application.
• Track Your Progress: Use your application number to track the loan status on the bank's website and stay informed.