A business loan is a lending product offered by various banks and financial institutions. The borrowed amount can be utilized for several purposes including purchasing new inventory or business expansion and other business-related purposes. No matter whether the borrower is a wholesaler, manufacturer or retailer, a business loan can help the borrower to meet the daily operational needs of the business.

1. Business Loan In India

2. Business Loan In India
• Basically, every business faces a monetary or financial
crisis at a certain period of development to meet their
financial requirements. There may be various reasons
for getting these loans which depend on the type of
business.
• The borrowed funds are used for upgrading or
installing plants, hiring new employees, the growth and
expansion of a business, revamping old machinery,
restructuring the debt, marketing, and promotion of a
business, managing cash flow, purchasing the
inventory, buying raw materials, and many more.

3. • The business expenses obtained to maintain &
run operations can be removed from the entire
business revenue to avail taxable income.
• There are many business expenses which are not
a part of revenue i.e., wages paid to the staff and
employees, bonus paid to employees, gifts, meals
and entertainment expenses, rental cost of office
premises, advertising & marketing expenses,
office supplies like stationery, daily maintenance
cost, etc...

4. • Many banks and NBFCs provide business loans for
new and existing business at an attractive rate of
interest @14.50% onwards per annum with the
flexible repayment tenure.
• Business funding are of many types like letter of
credit, working capital loan, bill discounting,
overdraft facility, equipment finance, machinery
loan, small business finance, micro loan, term
loan, merchant cash advance, farm, or
construction equipment finance.