How to Get Instant Business Loans Online Without Any Hassle

Suhana, a hardworking 32-year-old entrepreneur, ran a small boutique in Mumbai. Just before Diwali, she needed ₹8,00,000 to buy new stock for her designs. But getting a bank loan would take time, and she had only 15 days!

A friend gave her a game-changing idea – why not try an online business loan? Suhana quickly applied on a trusted NBFC's website. With a solid 720 credit score, 6 months of bank statements, and GST returns, her loan got approved in just 24 hours at a 14% interest rate.

And just like magic, ₹8,00,000 landed in her account within 48 hours! She placed her stock order on time, and Diwali sales shot up by 40%. With a comfortable ₹18,500 EMI per month, she repaid the loan stress-free in 18 months.

For Suhana, this online loan was a lifesaver – quick, easy, and perfectly timed. Today, her boutique is flourishing, and she happily spreads the word to other entrepreneurs: "When opportunity knocks, open the door fast!"

In this blog, we will explore some amazing tricks to get a business loan without any hassle.

What Is A Business Loan?

A business loan is a financial tool that helps businesses get funds for expansion, working capital needs, or purchasing new equipment. In India, banks and non-banking financial companies (NBFCs) offer different types of business loans tailored to specific business requirements.

Types of Business Loans

1. Term Loan: A fixed loan amount given for a specific period (12 to 60 months). It is used for business expansion, purchasing equipment, or starting a new project.
   
    
2. Working Capital Loan: Helps manage daily business operations like buying inventory or covering short-term cash flow gaps.
   
   
3. Overdraft Facility: Allows businesses to withdraw more than the available balance in their account, with interest charged only on the amount used.
   
   
4. Equipment Financing: A loan for purchasing new machinery or equipment, where the purchased asset acts as collateral.
   
   
5. Government Schemes: The Indian government offers special loan schemes like Mudra Yojana, Stand-Up India, and CGTMSE for MSMEs at lower interest rates.

Comparative Overview of Business Loan Types in India

For a swift and hassle-free online business loan, start by comparing lenders with fast approvals and minimal paperwork. Ensure you meet the eligibility criteria, have all necessary documents ready, fill out the application form, and let the lender handle the rest – approval and disbursal will follow in no time!

1. Compare Lenders and Loan Types

Getting a business loan quickly and without hassle has become easier in today’s digital age. However, choosing the right lender and loan type is crucial for successfully securing a loan.

• Research different lenders: Explore online platforms like IIFL Finance, Bajaj Finance, Poonawalla Fincorp, Shriram Finance, and Axis Bank.
  
  
• Consider loan types: Look at options like term loans, flexi-term loans, and unsecured loans.
  
  
• Check for collateral-free options: Some lenders offer business loans without collateral.
  
  
• Compare interest rates and repayment terms: Evaluate interest rates, repayment tenures, and other fees.

Below is a table showing examples of business loan options from major lenders:

Note: The above information is general and may change over time. For accurate details, contact the lenders directly.

Lender Analysis:

• IIFL Finance: Offers term loans from ₹5,00,000 to ₹50,00,000 at 12%-18% interest. Repayment tenure is 12-60 months. No collateral is required. Processing fees are around 2%.
   
• Bajaj Finance: Known for flexi term loans, offering ₹10,00,000 to ₹45,00,000 at 13%-16% interest. Repayment tenure is 12-48 months. No collateral is needed. Processing fees are about 1.5%.
   
• Poonawalla Fincorp: Provides unsecured loans from ₹3,00,000 to ₹30,00,000 at 14%-20% interest. Repayment tenure is 12-36 months. Processing fees are around 2%.
  
  
• Shriram Finance: Offers term loans between ₹5,00,000 and ₹25,00,000 with interest rates of 15%-22%. Repayment tenure is 12-48 months. Collateral is required. Processing fees are about 2.5%.
  
  
• Axis Bank: Specialises in unsecured loans from ₹10,00,000 to ₹50,00,000 at 11%-17% interest. Repayment tenure is 12-60 months. Processing fees are around 1%.

Select the best loan based on your business needs and financial situation. Consider factors like interest rate, repayment tenure, processing fees, and collateral requirements.

By carefully following this process, you can secure a business loan quickly and without any hassle.

2. Check Eligibility and Required Documents

To get an online business loan quickly and without hassle, it is important to understand the eligibility criteria and gather the required documents.

Know the Eligibility Criteria

Each lender has different eligibility requirements, but the common ones include:

• Business Type: Sole proprietorship, partnership firm, private limited company, or Limited Liability Partnership (LLP).
  
  
• Business Age: Your business should be active for at least 2-3 years.
  
  
• Annual Turnover: Some lenders require a minimum turnover of ₹40,00,000.
  
  
• Credit Score: A good credit score (650 or above) increases the chances of loan approval.
  
  
• Age & Experience: The applicant should be between 21 and 65 years old, with at least 3 years of business experience.

Gather Required Documents

To get a loan, you will need the following documents:

• Identity Proof: PAN card, Aadhaar card, Passport, or Voter ID.
• Address Proof: Aadhaar card, Passport, Electricity bill, or Water bill.
• Business Registration Documents: GST registration, Shop Act license, or Udyam Aadhaar.
• Financial Documents: Audited balance sheet and profit & loss statement for the last 2 years.
• Bank Statement: Bank statements for the last 6 months.
• GST Returns: GST return filings for the last 6 months.

Example:

Saquib is a 30-year-old entrepreneur from Bengaluru. He runs a sole proprietorship that has been operational for 3 years, generating an annual turnover of ₹45,00,000. With a credit score of 720, he seeks a ₹10,00,000 business loan to expand his operations. To apply, Saquib gathers his PAN card, Aadhaar card, GST registration, 6 months' bank statements, and 2 years' audited financials.

Below is a summary of eligibility criteria and required documents from top lenders:

Note: The above information is general and may change over time. Contact the lenders directly for accurate details.

Tips for a Smooth Loan Process

• Complete Documentation: Ensure all documents are ready and keep copies for reference.
  
  
• Verification: Get documents certified by a notary or gazetted officer if required.
  
  
• Digital Submission: Most lenders accept online applications, so scan and store your documents safely for quick submission.

By carefully following this process, you can get a business loan quickly and without hassle.

3. Apply Online and Get Approval

To get an online business loan quickly and without hassle, you must understand the online application process. This process is fast and simple, helping you secure the necessary financial support for your business.

Fill Out the Online Application Form

Most financial institutions offer online loan applications on their websites. You need to fill in your personal and business details, such as:

• Name
• Business Type
• Annual Turnover
• Income Source

Ensure all information is accurate and complete to avoid delays in loan approval.

Submit Required Documents

Along with the application, you must upload important documents, such as:

• Identity proof (e.g., PAN card)
• Business registration documents
• Bank statements
• GST returns

These documents help the lender assess your financial status and the credibility of your business.

Wait for Approval and Fund Disbursement

After submitting the application and documents, the lender will review your details.

• If everything is correct, your loan will be approved.
• The loan amount will be directly transferred to your bank account.
• This process usually takes a few days, but some lenders offer instant approval and quick disbursement.

Here is a comparison of loan application processing and disbursement times for different lenders:

Note: The above information is general and may change over time. Contact lenders directly for the most accurate details.

Tips for a Smooth Loan Process

• Check Eligibility Before Applying: Ensure you meet all lender requirements before submitting your application.
  
  
• Complete Document Submission: Scan and upload all necessary documents correctly to avoid verification issues.
  
  
• Review Loan Terms: After approval, read the loan agreement carefully and clarify any doubts with the lender.

By following this process carefully, you can get a business loan quickly and without hassle.

4. Key Considerations For A Hassle-Free Experience

To get a business loan quickly and without hassle, it is important to keep a few key points in mind.

Minimal Documentation

Choose lenders that require less paperwork.

• For example, Tata Capital offers loans up to ₹90,00,000 with minimal documentation.

Fast Approval & Quick Disbursement

Select lenders known for instant approval and quick disbursement.

• FlexiLoans transfers loan amounts within 48 hours.

Clear & Transparent Terms

Read all loan terms and conditions carefully before applying.

• Open Capital has no hidden charges in its loan agreements.

Customer Support

Opt for lenders with responsive and helpful customer service.

• IndusInd Bank provides 24x7 customer support.

Here is a comparison of key lenders based on important features:

Note: The above information is general and may change over time. Contact lenders directly for the latest details.

Tips for a Hassle-Free Loan Process

• Lender’s Reputation: Research the lender’s history and credibility.
• Repayment Plan: Choose a repayment schedule that fits your financial situation.
• Reliability: Ensure the lender is RBI-approved and trustworthy.

By keeping these factors in mind, you can get a business loan easily and without hassle.

Conclusion

Online business loans have become very easy now, allowing you to arrange money for your business quickly. First, compare different lenders like IIFL Finance, Bajaj Finance, or Axis Bank and check their interest rates, repayment tenure, and processing fees. Collateral-free loans are also available, which are a good option for small business owners.

Checking eligibility is important – your credit score should be 650+, business turnover should be proper, and you must keep documents like PAN card, bank statements, and GST returns ready.

The online application process is fast – just fill out the form, upload documents, and wait for approval. Some lenders even offer same-day disbursement.

Before taking a loan, read the terms and conditions carefully to ensure there are no hidden charges.

If you follow all the steps, getting a business loan will be hassle-free, and you can grow your business easily.

FAQs

1. What is the fastest way to get a business loan online?

The quickest way is to apply through digital lenders or fintech platforms that offer instant approvals. Ensure your documents are ready and your credit score meets the lender’s criteria for faster processing.

2. Can I get a business loan without collateral?

Yes, many lenders provide unsecured business loans without requiring collateral. However, interest rates may be higher, and eligibility depends on credit score and business financials.

3. What credit score is needed for an instant business loan?

Most lenders require a minimum credit score of 650 for quick approval. A higher score improves chances of lower interest rates and better loan terms.

4. How long does it take to receive funds after approval?

Some lenders disburse loans within 24 hours, while others may take 2-3 working days. Fintech companies usually offer faster disbursal compared to traditional banks.

5. Are there any hidden charges in online business loans?

Reputed lenders disclose all charges upfront, including processing fees and prepayment penalties. Always read the loan agreement carefully to avoid unexpected costs.

Apply for Loans Fast and Hassle-Free

Apply Now

About the Author

LoansJagat Team

We are a team of writers, editors, and proofreaders with 15+ years of experience in the finance field. We are your personal finance gurus! But, we will explain everything in simplified language. Our aim is to make personal and business finance easier for you. While we help you upgrade your financial knowledge, why don't you read some of our blogs?