| BANKS/NBFCs | INTEREST RATES | LOAN TENURE | PROCESSING FEES |
| Standard Chartered Bank | 15%-18% (p.a) | 1-4 Years | Upto 2% |
| Deutsche Bank | 16%-18% (p.a) | 1-4 Years | Upto 2% |
| HDFC Bank | 15%-18% (p.a) | 1-4 Years | Upto 2% |
| ICICI Bank | 15%-18% (p.a) | 1-4 Years | Upto 2% |
| Kotak Mahindra Bank | 15%-18% (p.a) | 1-4 Years | Upto 2% |
| Axis Bank | 15%-18% (p.a) | 1-4 Years | Upto 2% |
| RBL | 15%-18% (p.a) | 1-4 Years | Upto 2% |
| IDFC First bank | 15%-18% (p.a) | 1-4 Years | Upto 2% |
| Yes Bank | 16%-18% (p.a) | 1-4 Years | Upto 2% |
| Aditya Birla Finance Limited | 16%-19% (p.a) | 1-4 Years | Upto 2% |
| Tata Capital | 16%-19% (p.a) | 1-4 Years | Upto 2% |
| Hero Fincorp Ltd | 16%-19% (p.a) | 1-4 Years | Upto 2% |
| Bajaj Finance ltd | 16%-19% (p.a) | 1-4 Years | Upto 2% |
| NeoGrowth | 16%-19% (p.a) | 1-4 Years | Upto 2% |
| U Gro | 16%-19% (p.a) | 1-4 Years | Upto 2% |
Business loan in Gwalior: Gwalior, a city located on the periphery of Madhya Pradesh is 321 Km from the Indian Capital and 121 Km from Agra. This Indian city, with a population exceeding 1.2 million, holds the 46th position among the most populated areas in the country. Gwalior has always been in the limelight for its unique contribution to India’s mediaeval history and independence struggle.
Strategically located in the grid region of North India, Gwalior has always been a city of great importance for historical kingdoms. Serving as the administrative headquarters of both Gwalior district and Gwalior division, the city is rich in historical significance.
Central to Gwalior is the Gwalior Fort, constructed by Raja Man Singh Tomar of the Tomar dynasty. This impregnable fortress, situated on an isolated rock outcrop, is surrounded by steep walls, making it virtually unscalable.
The old town of Gwalior lies at the eastern base of the fort, while Lashkar and Morar, initially separate towns that originated as a military camp, are now part of Gwalior Municipality. The city’s history is interlinked with these diverse elements, making Gwalior a perfect blend of heritage and strategic importance.
Prevalent Industries in Gwalior
Gwalior is an attractive destination for businesses of various scales due to factors such as solid infrastructure, excellent connectivity, a skilled workforce, and government support.
Integral to Gwalior’s industrial potential is the establishment of integrated industrial estates equipped with common facilities essential for the industries in the region.
Diverse industries together shape Gwalior’s economy, these include textile mills, artificial silk manufacturing plants, chemical plants, etc. The city also has a significant presence of handicraft and handloom enterprises.
Morar, recognised as the centre of local trade, also hosts the tanning industry, further extending the range of Gwalior’s industrial portfolio.
Types of Business Loan in Gwalior
There are various types of Business Loans offered in Gwalior, some of which include:
| Business Loan Type | Uses |
| Unsecured Business Loans | These are term loans used to finance long-term or short-term business needs and can be used for Business Expansion/Business Operations. |
| Working Capital Loans | They are used to finance short-term business needs and can be used for cash flow management, Business Operations, and to fulfil short-term liabilities. |
| Secured Business Loans | They are usually taken against the security of collateral and used for financing long or short-term business needs. They usually have lower interest rates than an unsecured business loan due to collateral security. |
| Loans against Property | Business Loans against Property are taken against the security of commercial, industrial, or residential property and may have a higher loan amount sanctioned based on the market value of the property and the LTV ratio. |
| Equipment Loans | Equipment Loans are usually taken to upgrade machinery or to buy new equipment. |
| Bill Discounting/Invoice Discounting | Bill Discounting is usually used to finance the working capital needs of a business. |
Business Loan EMI Calculator
Purpose of business loan in Gwalior
The most common reasons for taking out a business loan include:
- Gwalior’s focus on developing and managing industrial estates through independent industrial development corporations presents a clear opportunity for businesses in Gwalior to take loans aimed at expanding existing facilities or establishing new ventures within these industrial zones.
- Businesses in Gwalior may take loans to invest in infrastructure. This could include constructing new manufacturing units, warehouses, or improving utilities.
- Businesses in industries such as textiles, food processing, or pharmaceuticals may require loans for setting up new ventures or acquiring the necessary equipment and resources.
- Gwalior’s emphasis on the pharmaceutical sector as a key contributor to the economy, especially in international exports, might require businesses to seek loans for expanding export-oriented activities.
Documents required for a Business Loan in Gwalior
The documents required for a Business Loan in Gwalior may vary based upon the type of business loan. However, the following documents are usually sought by banks and NBFCs for a small business loan in Gwalior:
| KYC Documents of the owner and the business: The foundation of your journey. For both you and your business, we require: | 1. Personal Identification: PAN Card, Aadhaar Card, Voter’s ID Card, Driving License, etc. 2. Address Proof: Passport, Utility Bills, Lease Agreement, Trade License, etc. 3. Business Legitimacy: GST Registration, UDYAM Registration, Business PAN Card, Licenses issued by Municipalities, Registration certificates from relevant authorities, etc.. |
| Financials: Your economic blueprint, essential for a tailored loan strategy, includes: | 1. Narratives: ITR filings for the last 2 years, complete with Income Computation. 2. Business Health Check: Audited Balance Sheets and Profit & Loss Statements for the last 3 years, certified by a CA. Bank Statements from the last 2 years, revealing your financial journey. 3. License issued by Municipalities, GST Registration Certificate, Registration certificates by appropriate authorities, etc |
| Proof of Ownership or Collateral Documents (In case of secured loans) | 1. Proof of ownership or collateral documents, including property deeds, sale agreements, possession letters, and asset valuation (if applicable). |
Eligibility Criteria for Business loan in Gwalior
To avail Business loan in Gwalior, the borrower must fulfil the following eligibility criteria for business loan:
| Particulars | Requirement |
| Citizenship | The business owner must hold an Indian citizenship. |
| Age | The borrower must be at least 21 years old, and the maximum age must not be more than 65 years old at the time of loan maturity. |
| Business Vintage | The business must be at least 2 years old. |
| Credit Score | The promoter and the business must have a good credit score of over 650. The credit score of co-applicants is also checked wherever applicable. The credit score has a crucial role to play in determining the creditworthiness of the borrower. It determines the limit of the lender’s credit exposure based on the repayment history of the business. |
Interest rates and Charges on Business loan in Gwalior
The interest rates on Small Business Loan in Gwalior can vary from lender to lender. However, here is an overview of the interest rates and charges on various types of business loan in Gwalior:
| Business Loan Type | Interest Rate |
| Unsecured Loans | Starting from 16% p.a. |
| Working Capital Loans | Starting from 9% p.a. |
| Secured Business Loans | Starting from 8.85% p.a. |
| Loans against Property | Starting from 8.85% p.a. |
| Equipment Loans | Starting from 9% p.a. |
| Bill Discounting/Invoice Discounting | As per the financial institution |
Interest rates by various banks and NBFCs for Loan Against Property in Ghaziabad
| Banks / NBFCs | Interest Rates | Tenure | Processing Fees |
| HDFC Bank | Starting 8.80% | Maximum 15 years | 0.50% |
| ICICI Bank | Starting 9% | Maximum 15 years | 0.75% |
| Kotak Mahindra Bank | Starting 9% | Maximum 15 years | 0.75% |
| Axis Bank | Starting 9% | Maximum 15 years | 0.50% |
| IDFC Bank | Starting 9% | Maximum 20 years | 1% |
| Standard Chartered Bank | Starting 9% | Maximum 15 years | 0.50% |
| Deutsche Bank | Starting 9% | Maximum 15 years | 0.75% |
| Bajaj Finance | Starting 9.5% | Maximum 15 years | 1% |
| L&T Finance | Starting 9.5% | Maximum 15 years | 1% |
| India Bulls | Starting 10% | Maximum 15 years | 1% |
| RBL Bank | Starting 9% | Maximum 15 years | 1% |
| Hero Fincorp | Starting 10.50% | Maximum 15 years | 1% |
| HDB Finance | Starting 9.5% | Maximum 15 years | 1% |
| HSBC | Starting 9% | Maximum 15 years | 0.50% |
| Shinhan Bank | Starting 9% | Maximum 15 years | 0.50% |
| AU Small Finance Bank | Starting 9.25% | Maximum 15 years | 1% |
How to apply for Business loan in Gwalior through OneNDF
The process of applying for Business loan in Gwalior may differ based on the type of business loan availed.
Many banks at times provide business loans specifically catering to the business cash flow requirements of MSMEs, however, given the lack of knowledge about business loans offered and the opaqueness in the loan application process, small businesses are often unable to get any financial support and end up running from pillar to post to get a business loan.
To apply for a business loan on OneNDF, please follow these streamlined steps:
1. Sign-Up Process:
- Click on the “Sign-up” button to begin your journey with OneNDF or Click here
- Enter your mobile number to receive a One-Time Password (OTP) for verification.
2. Business Authentication:
- After signing up, provide your PAN number. This step is crucial for verifying your business identity.
3. Registration and Profile Completion:
- Complete the registration process to build your profile on the platform. A comprehensive profile increases the success rate from initial login to loan sanction.
4. Credit Score Check:
- We will conduct a soft-pull of your credit score. This process does not generate an inquiry, thus not affecting your credit score.
5. Financial Information:
- You can upload the Downloaded ITR for your business (detailed PDF) or you can authenticate the credentials for the ITR portal and we will fetch this information and give you a snapshot . This helps in assessing your business’s financial stability.
6. GST Returns:
- Authenticate the GST credentials. Loans are provided to MSME clients, including both self-employed professionals and non-professional business owners based on their GST returns. ((This information can serve as a quick snapshot to help you understand your business better. It allows you to identify your top suppliers and buyers and monitor your returns effortlessly with just a click, eliminating the need to rely on your accountant for this data.))
7. Banking:
- Provide banking details for the last 12 months. This helps in analysing your banking turnover and financial transactions.
Upon completing these steps, we will tailor loan offers from lenders that best fit your requirements. Additionally, a comprehensive profile of your business will be created. This profile not only helps you understand your current business health but also provides recommendations on improving key financial ratios to maintain a healthy bottom line.
Frequently Asked Questions (FAQs)
Can I get INR 50 Lakh of business loan without collateral?
Yes, various banks and NBFCs provide unsecured business loans up to INR 50 Lakhs.
What is the interest rate for unsecured business loan in Gwalior?
Unsecured business loans don’t require collateral and therefore have high interest rates. The interest rates of unsecured business loans typically vary between 16% to 18%.
Can I get a loan for setting up new machinery for my business?
Yes, you can avail an equipment loan or a term loan for setting up new machinery for your business.
What is a Business Loan EMI?
A business loan EMI refers to the monthly installments a borrower needs to pay on their outstanding loan amount. It is calculated based on the tenure of the loan, the outstanding principal amount, and the interest rate of the loan.
What is the maximum age to be eligible for a business loan?
The maximum age required in order to be eligible for a business loan is 65 years.
