Business owners take loans to meet their immediate financial needs or fund their expansion plans. The following are the features and benefits of business loans:

1. Flexible Loan Facility: Business loans are offered with a flexible repayment tenure. Business persons can plan a convenient repayment schedule that matches their cash flows. These long-term business loans can be repaid in a tenure of up to 48 months as per the borrower’s convenience. 

2. No collateral: Business owners can apply for an unsecured business loan. They need not pledge their personal or business assets to fund their business requirements.

3. High Loan Amount: There are numerous expenses in a business, like, long-term asset purchases, working capital, and others. Varied financial needs can be met with a business loan easily. The loan amount can be as high as Rs.50 lakhs with renowned lenders against minimal business loan documents.

4. Prepayment: Many lenders allow borrowers to prepay the loan without additional charges. When business cash flows are more favourable, one can foreclose the loan.

5. Fast Disbursal: Businesses need quick financing options to grab opportunities. Reputable NBFCs (non-banking financial companies) can process a business loan within 24 hours. Therefore, most businesses prefer to apply for a business loan with renowned NBFCs.

6. Minimal Documentation: Long-term business loans are available against minimal eligibility criteria. The business loan application can be made with minimal documentation. The common set of business loan documents asked by most lenders are as follows:

• Proof of Business Existence (Incorporation Certificate, etc.)
• Income Proofs 
• Income Tax Return (ITR) or GST 
• Bank Statements 
• Address Proof
• Identity Proof

With adequate credit availability against such beneficial loans, businesses can reach new heights.

Must Read: Apply for Unsecured Business Loan in Kerala