IndusInd Bank Business loan
IndusInd Bank provides a wide range of financial products in the form of business loans to support various business needs. These loans can be utilized to meet working capital needs, expand existing business operations, and establish new ones on a medium, short-term, or long-term basis. The interest rates for IndusInd Bank business loans range from 16-22%, providing flexibility to borrowers to choose the loan that best suits their financial requirements.
Table of Contents
Types of Business loans offered by IndusInd Bank
1. Working capital loan (Secured Business Banking)
| Fund-based facilities | Non-Fund based facilities |
|---|---|
| Working capital finance | Bank guarantee (Inland and Foreign) |
| Pre-shipment finance | Letter of credit (Inland and Foreign) |
| Post shipment finance | Advisory and Handling of capital account transactions |
| Medium/Long term loans | Forward contract derivatives |
| Lease rental discounting |
Value-added services include
- Quick trade processing
- Forex and Derivative support
- Cash management services
- Investment and Insurance offerings
- Competitive fixed deposit rates
- Bills for export and import transactions
Features and facilities availed
- Companies availing business loans can be private, public, partnership and proprietorship.
- IndusInd Bank offers everything from initial loans to expansion funds
- Business should be 3 years vintage
- Business loan limits to INR 50 lakhs – INR 25 crore
- Business profitable for the last 2 years
- Expected turnover of INR 4 crore to INR 250 crore
- Collateral in the form of industrial, commercial, liquid and residential assets
2. Loan against securities
IndusInd Bank offers an overdraft facility contrary to approved securities such as mutual funds/ shares/ bonds. A maximum loan can be availed against the investment without liquidating securities.
Benefits of availing of Loan against securities
- Single scrip lending
- High loan amount against security
- Wide range of approved securities
- Third-party DP securities are acceptable
- No prepayment charges
- No charges/penalty for funds not used
Eligibility Criteria
| Individual | Non-Individual |
|---|---|
| Resident of India | Indian corporations (who are registered as per the Indian Companies Act) |
| Aged between 18–70 years | Loans only against approved debt mutual funds and bonds |
| Holds approved securities |
Documents required
| Individual | Non-Individual |
|---|---|
| Filed application form along with loan agreement | Filed application form along with loan agreement |
| Identity proof, Address proof and signature proof of the applicant | Identity proof, Address proof and signature proof of the applicant |
| Demat account statement / Statement of Holdings | Demat account statement / Statement of Holdings |
| Annexure W / lien request letter for security pledge | Annexure W / lien request letter for security pledge along with Board resolution |
| For loan amounts of more than Rs 50 lakhs: – Last two years ITR – Computation of Income – Last three-month bank statement |
– Audited balance sheet – Bank statement – Profit & loss account – Last two years ITR |
3. Loan against property
Indusland bank offers few variants when it comes to loan against property
- Loan against residential or commercial property
- Loan for purchase of commercial property
- Additional finance
- Balance transfer
- Lease rental discounting
Benefits of loan against property (LAP)
- Funds can be used for multiple purposes like personal and professional.
- Higher loan amount
- Doorstep services
- Faster mode of availing long term funds
LAP Rate of Interest
| Annual Percentage Rate Data | Bank ROI | ||
|---|---|---|---|
| Min | Max | Min | Max |
| 7.60% | 15.10% | 7.50% | 15.00% |
- Processing fee charged is 2% of the amount
- Repayment tenure is 15 years
4. Loan against card receivables
This is an easy-to-afford financial result for short and medium-term capital needs
- An overdraft facility without any security
- Limit set in the separate current account which decreases monthly till the end of tenure.
Unsecured loan INR 5 lakhs till INR 50 lakhs Secured loan Upto 3 crores - Tenure is 2-3 years
- Interest is paid only on the amount used for the duration
- Easy documentation and rapid disbursals
- No collateral till 50 lakhs
- The facility of the current account without any extra payment
Rates and Fees
| Charges | Details |
|---|---|
| Interest Rate | Minimum – 14% Maximum – 20% |
| Processing Fee | Up to 2% of the amount sanctioned |
| Documentation Charges | According to applicable state laws |
| Foreclosure Charges | 3% on outstanding DP at the time of closure |
| Insurance Charges | As applicable |
Eligibility and Documentation required
| Type of companies | Partnership, private, proprietors & self-employed individuals who are in service, trading and manufacturing. |
| Turnover | Minimum 1 crore |
| Age required | 21 years at the time of application and 65 at the time of maturity |
| Business vintage | 3 years and more |
| Other factors | Must be a profit-generating business with no CIBIL default |
- Identity proof such as Aadhar card, Passport, PAN card, Driving license
- Address proof
- Business firm proof (ITR/Trade licence/Sales tax certificate)
- Banking statement of previous 6 months
- ITR with income computation, balance sheet and P&L for 2 years
5. Unsecured Business loans
IndusInd Bank understands businesses require innovation in entrepreneurship and provide banking/ finance solutions to help companies built. It is a business instalment loan – an unsecured loan, and it avails the requirements like
- Short term cash needs,
- New Inventory
- Salary commitment to employees
- Working capital requirements
- Purchasing of new essential tools/equipment
- Ensuring funding to cover the gap in deferred credit limit improvement
- Expanding existing business or acquisition of other business
fees and Charges of IndusInd Bank Unsecured Business loan
| Charges | Details of Applicable Charges |
|---|---|
| Interest Rate | 13% – 22% |
| Foreclosure Charges | 1. As per terms & conditions in the sanction letter. 2. Up to 5.5% depending on scheme and tenure completed. |
| Processing Fee | Up to 3% plus applicable taxes |
| Cheque Dishonour Penalty | Rs 500/- (plus GST and other statutory charges) per instance |
| Stamp Duty / Other Statutory Charges | As per applicable state laws |
Eligibility required
1. Financial Eligibility
| Particulars | Details |
|---|---|
| Minimum Turnover Required | INR 1 crore in the fresh financial year along with audited financial documents for the last 3 years |
| Paid Up Capital | More than INR 10 lakhs |
| Profitability | Progressive PBDT in the latest 3 years |
2. Non-Financial Eligibility
| Particulars | Details |
|---|---|
| Past Payment History | One year of positive track for minimum ₹4 lakhs loan |
| Ownership | Property ownership must be required |
| Age | 25–70 years (for 2nd Gen business people – minimum age is 21 years) |
| Business Vintage | Minimum 3 years |
3. Co-lending Partners
| Framework | Specifications |
|---|---|
| Loan Amount | 1. Up to ₹5 lakhs for new customers 2. Up to ₹10 lakhs for top-up customers |
| Product Category | Small ticket business loan (unsecured) with easy monthly EMIs |
| Rate of Interest | Anywhere between 21%–30% depending on Zipscore |
| Tenure of Repayment | Up to 3 years |
6. Easy Credit for Business
IndusInd Bank offers small ticket business loans it assures quick and feasible access to short and medium funds requirement in just a few clicks with the digital loan application and rapid disbursal.
Characteristics offered
- Loan amount is between INR 2 to 20 Lakhs
- Repayment tenure is 1-3 years
- Short and medium term loan requirements
- Simple documentation and rapid process
- Zero collateral
Here, you can check your credit score for free.
Eligibility and Requirement
| Basis | Details |
|---|---|
| Type of Business | Sole proprietor / Self-employed individuals / Small entities into service, manufacturing, retail, or wholesale trade |
| Vintage | Minimum 2 years or above in the same business |
| Age | Applicant must be at least 25 years old and not older than 70 years at the time of maturity |
| GST | Sanction amount above ₹2 lakhs requires GST |
IndusInd Bank Business loan EMI Calculator
*Disclaimer*
The information contained in this website is according to information available on different means on internet and does not guarantees complete accuracy. The given numbers, schemes and products offered may change.
For any loan requirement for more than 25 crore please contact @+91 7290041855
Frequently Asked Questions
Is IndusInd Bank a government bank?
IndusInd Bank is the new generation private bank of India.
Is Induslnd a Safe Bank?
IndusInd bank is a reliable and secure bank that assures customers of safe and balanced returns.
Why is IndusInd Bank falling?
The prime reason behind the decline of the IndusInd Bank share price is because Reserve Bank of India’s directive.
Is IndusInd Bank a strong bank?
The past 10 years’ financial track records of IndusInd Bank determine a positive growth. Hence it is a quality financial institution.
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