Kotak Mahindra Bank Business Loan Interest rates in Ludhiana
| Up To 10,00,000 | 10,00,000 Above | |
|---|---|---|
| Manufacturer | 17.50% | 17.00% |
| Service Provider | 18.00% | 17.50% |
| Trader | 18.00% | 17.50% |
Features of Kotak Mahindra Bank Business Loan Ludhiana
| Type | Features |
|---|---|
| Processing Fee | 3.0% |
| Pre Closure Charges | 5.0% |
| Part Payment Charges | Nil |
| Min Tenure | 1 Years |
| Max Tenure | 4 Years |
| Min Age | 24 Years |
| Max Age | 60 Years |
| Min Loan Amount | Rs.5,00,000/- |
| Max Loan Amount | Rs.30,00,000/- |
Kotak Mahindra Bank Business Loan Ludhiana Charges
| Type | Charges |
|---|---|
| E M I Bounce Charges | Rs. 750.00/- |
| Part Pre Payment Charges | allowed |
| Penal Interest | 3% p.m. on overdue amount |
| Duplicate Statement Charges | Rs. 500/- |
| Insurance Cover | Upto Loan Amount |
| Cheque Swapping Charges | Upto Rs. 500/- |
| Issue Amortization Schedule Duplicate | Rs. 250 /- |
| C I B I L Report Issuance Charges | Rs. 50/- |
| N O C Issuance Charges | Free |
| Duplicate N O C Issuance Charges | Rs. 500/- |
Documentation For Business Loan
For Proprietorship Firm
- Filled Application form
- Identity Proof (PAN CARD)
- Address Proof
- Last 2 years of Income Tax Documents
- VAT/CST/ST Registration copies (if any)
- 1 Passport Size colour Photographs
- 6 months Bank Statements
- Latest year business performance related documents.
- Other loansanction letters and their Track (If existed)
For Partnership Firm
- Filled Application Form
- Partnership deed
- Firm PAN Card & Address Proof
- All Partners Identity Proof
- All Partners Address Proof
- Last 2 years of Income Tax Documents
- Last 6 months of Bank Statements
- VAT/CST/ST Registration copies (if any)
- 1 Passport Size colour Photograph for applicant
- 6 months Bank Statements
- Latest year business performance related documents
Private Limited And Limited Companies
- Filled Application Form
- MOA/AOA and Incorporation certificate
- Commencement of operation (if it is a Public Ltd Company)
- Company PAN Card & Address Proof
- All Directors Identity Proof
- Last 2 years of Income Tax Documents
- Last 6 months of Bank Statements
- VAT/CST/ST Registration copies (if any)
- 1 Passport Size colour Photograph for applicant
- 6 months Bank Statements
- Latest year business performance related documents
- Other loansanction letters and their Track (If existed)
Identity Proof Of Partners/Directors
- Passport
- Driving License
- PAN card
- Photo credit card (with embossed Signature and last two months statement)
- Banker's sign verification
Age Proof Of Partners/Directors
- PAN Card
- Passport
- License
- School leaving certificate
- Voter card
- Birth Certificate
- LIC policy (only for age Proof)
Address Proof For Personal Loan
- Latest salary slip
- Current dated salary Certificate with latest form 16.
- Latest year IT Returns with Tax Audit reports(For Self Employed applicants)
Income Proof Of Partners/Directors
- Latest year IT Returns with Tax Audit reports(For Self Employed applicants)
Banking History For Business Loan
- Bank statements of latest 2 months
- 3 months bank passbook
Kotak Mahindra Bank Business Loan FAQ's
What are Magma SME Loans all about?
"At Kotak Mahindra Bank., we understand the unique needs of small and medium enterprises (SMEs) and are keen to support them in their growth. We fund short-term loans up to Rs. 2 crores without any primary or collateral security for business needs, and with payment options for 12 to 48 easy installments. We also offer options of advance installments and structured repayment schedules to match your credit cycle requirements. Kotak Mahindra Bank provide loan without adequate lead-time within seven working days to facilitate seamless forward movement for your company. With competitive SME loan interest rates, flexible repayment options and a team of dedicated professionals bringing our services to your doorstep, any dream is possible. "
What are the different types of SME loans we provide?
"Working capital: To bridge the working capital gap and foster growth of businesses. Business Expansion: For expansion of manufacturing facilities, increasing product lines, geographical expansion, technology upgrades, forward/backward integration, augmentation of project loan etc. Margin Money Funding: Margin money required for machinery purchase/LC/BG, purchase of business premises, etc. "
What is the loan process?
"Step 1: Submit loan application with required documents. Step 2: Personal visit from credit manager. Step 3: After clearance of queries, if any, decision is made Step 4: Disbursement after submission of agreement and PDCs All key internal processes are handled by a dedicated and knowledgeable in-house team to ensure your application is given due attention and to maintain the highest level of confidentiality. "
How do i apply?
"• Leave your contact details • Write to us • Visit any of our branches. "
What documentation is required for an sme loan?
"• Financial statements from the last three years. • Bank statements for the past 6 months. • Incorporation documents. • Proof of address for factory and/or office. • Proofs of age, address and signature for all parties involved in the agreement. • Validation proof and tax receipts for the current year’s turnover. "
Is there a pre-payment option for your product?
Yes. You can prepay the loan any time after 6 months with a pre payment fee as per loan agreement.
What is the maximum loan I can borrow?
Kotak Mahindra Bank maximum Loan of upto Rs 2 Crore without collaterals.
What are my tenure options?
Yes. You can choose tenure options between 12 months to 48 months. Self employed Doctors can get loans upto 60 months.
Can I get an SME Loan without a bank account?
You would need to show a bank statement for the past 6 months.
I stay 75 km from your nearest branch office. Can I still get the SME Loan?
Yes. You can take SME loan upto 125 kms from the nearest branch.
About Kotak Mahindra Bank
Kotak Mahindra Bank Highlights
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Why Business Loans?
Owning a business is an exciting journey. When starting off there are many odds and ends to be met, once the business is set things will begin to takeoff. However nothing is possible in the business world without the right financing. Many business owners will review the financing options available to them, Business Loans are the best suitable for kind of your requirements.
As a business owner, your most difficult task is finding the money to operate your business. Taking the necessary steps to prepare for a small business loan can minimize the difficulty.
Learn what you need to know to clinch the loan deal.
You can get a loan for your business by proper preparation. The main requirements of attaining a business loan are your credit history, business plan, experience, education, and feasibility of the business you are expanding.
The most important task to obtain a business loan is to improve the business. Your business plan must answer the questions, a lending institution would ask for following.
The factors which will affect your business loan eligibility and rate of interest:
Interest rates
Rate of Interest will be based on bank/financial Institutions internal policies and terms. Generally Bank account conduct, reputation of the entity, repayment capability, credit history, Promoters Back ground and other credit related factors which can be evolve for Business Loans.
Tenor: from min of 12 months to Max of 48 months.
Interest Rate: from min 16(percent) to 22 (percent) .
Age: Min of 24 years to max of 55 years.
Repayment: Monthly EMI to be paid till the loan closure.
Repayment mode: By way of PDC, ECS or Standing Instructions.
Pre-Closure Charges: Will be applicable as per bank norms.
Expert Advice
Best Practices for Business Loan
Things not to do for Business Loan
Important points to be remember for Business Loans
Business Loans Vs Working Capital Facilities
| Business Loans | Working Capital Facilities |
|---|---|
| Generally Business Loan are small tenor unsecured loans offered by the bank based on the requirement, conduct and credit history of the entity. | Working Capital loans are related to business day to day operations, there is no limitation for the working capital facilities as per the entities financial performance and collateral capacity. |
| Business Loans are by nature it is a loan and need to repay the regular instalment till the loan will be cleared. | Working capital Facility is a facility you can avail the regular day to day transactions for your business purpose, generally WCF will be sanctioned for 12 months tenor. |
| Business Loans can be used for any related works, and there is no restriction for usage of funds. | WCF will be used only for business and business related purpose, there is a restriction on usage for facilities. |
| Business Loans will be only provide the fund based limits. | Working capital facilities can be sanctioned for fund based or non fund based requirement. |
| Only one type of facility can be availed from the Business Loans from the bank | Various types of facilities can be offered by the bank under WCF facilities. |
| Business Loans can be availed by small business owners. | WCF facilities can be availed by small business owner to big corporate. |
| Maximum tenor of loan is 48 months offered by the banks. | Maximum tenor will be 12 months based on the facility requirement. |
| Business Loans are costly than the WCF loans. Generally interest rates will be very from 18% to 21%. | WCF are relatively cheaper than the Business Loans. Generally interest rates will be vary 13% to 15% as per bank internal policy. |
| Minimum of 3 years vintage will be required for the business loans. | Min of 1 year vintage for calculation of eligibility will require for WCF. |
| Generally Business Loans will be used for unexpected requirement in business.. | WCF will be used for regular activities of business. |
| Loan disbursement will be max 7-15 days from the date of application. | Min of 15 days to max of 90 days will require for process the WCF request from the date of application. |
| Banks/Financial Institutions will prefer to provide the business loans to WCF customers. | Banks will prefer to take more collateral to fund the WCF. |
| Interest will be on total loan outstanding and will be calculated on monthly basis. | Interest will be calculated on daily basis outstanding and will be debited in account on monthly basis. |
About Ludhiana
Ludhiana is namely the Lodhi Dynasty,Ludhiana is a city and a municipal corporation in Ludhiana district in the Indian state of Punjab, and is the largest city north of Delhi. It is situated on the banks of the Sutlej River.
Ludhiana city is a well known Industrial hub in Northern India, especially for manufacturing bicyles, cycle parts, sewing machine, hosiery, etc. The city is well connected by direct rail service with all parts of India.
Ludhiana city is believed to be founded way back in the year 1480 by the Lodhi dynasty. Two of Lodhi Chiefs Nihang Khan and Yusuf Khan, had come to the region on the orders of Sikandar Lodhi with a purpose to reinstate order in the area. They stayed in a village called Mir Hota which was situated at the present site of Ludhiana. While Yusuf Khan had gone across Sutlej River, Nihang Khan stayed back and founded the city at the spot of the village. The new town, thus, came to be known as ‘Lodhiana’, meaning ‘the town of Lodhis’. Subsequently, the name was amended to Ludhiana.
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Places To Be Visited In Ludhiana
Phillaur Fort
During the reign of Sher Shah Suri, a Sarai (inn) was constructed at Phillaur near Ludhiana. During the reign of Shah Jahan the inn was converted to a military fort and a post office. The fort was later used by the British as a part of the military cantonment. The fort now houses a police training academy and a finger print bureau.
Lodhi Fort
Lodhi Fort was built by the Muslim monarch Sikandar Lodhi around 500 years ago. The fort is located at the banks of the Sutlej River and also came under the British in 1809. The fort was once a majestic residence of the great Muslim king and displayed his military power. However, in the wake of neglect the fort stands in ruins and has badly suffered by nature’s elements.
Punjab Agricultural University Museum
Also known as Ajaib Ghar, Punjab Agricultural University Museum is a definitive visit if you like to learn about the people’s life in Ludhiana in the 18th and the 19th centuries. The museum becomes a stage to the colorful festival of the Kisan Mela held annually. The museum houses various rural and farming tools and objects and several other artifacts from the 18th and 19th century.
Tiger Zoo
Located at the GT road, the Tiger Zoo is spread across a massive 25 acres of land. The zoo was established in 1993 and has been a favorite tourist spot in Ludhiana ever since. The safaris are conducted inside safety vans and one can watch the tigers in the open from inside the vans.
Maharaja Ranjit Singh Museum
The Museum is located at GT road and is named after Maharaja Ranjit Singh whose statue depicting him sitting on a throne is located at the entrance. The museum has 12 galleries in total with sections like ancient history and post independence.
Nehru Rose Garden
This beautiful rose garden was established in 1967, over an area of 30 acres with more than 17,000 plants and 1,600 varieties of roses. It is one of the largest rose gardens in Asia, which serves open for the visitors from morning till evening. The blooming surroundings of this park are worth viewing, especially for people who love roses and really like to check its varieties that are spread here across a vast expanse of land. The garden organizes a Rose festival every year to offer a priceless display of flowers to the flower lovers all across the city.
Shivala Sangliwala Temple
This magnificent temple is believed to be around 400 years old and is located in the Old Ludhiana, attracting tourists from all over the world. It is dedicated to Lord Shiva and every year during Shivratri, pilgrims from distant areas visit this temple to offer holy water of River Ganges to the idol of Lord Shiva. During Shivratri, the temple witnesses long queues, waiting to catch a glimpse of Lord Shiva. A lot of people take a difficult journey of Kanwar from Haridwar to Ludhiana to offer holy water of River Ganges to Shivalingams.