RBL Bank Business Loan Interest rates in Ludhiana
| Up To 10,00,000 | 10,00,000 Above | |
|---|---|---|
| Manufacturer | 20.00% | 20.00% |
| Service Provider | 20.50% | 20.50% |
| Trader/Distributor | 20.50% | 20.50% |
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
RBL Bank Business Loan FAQ's
How much loan amount can I borrow in a Business Loan?
You can borrow loan amount from Rs.10 Lakhs to Rs.35 Lakhs depending on your eligibility basis the financial documents submitted, repayment capacity and loan amount limit in your respective location.
How will I repay my Business Loan?
"RBL Bank offer Business Loan as a term loan which can be repaid in easy EMIs (Equated Monthly Installments). EMI can be paid through ECS facility, Standing Instruction to debit your RBL Bank account or though Post Dated Cheques with your EMI amount. EMI amount can be calculated using ‘EMI Calculator’ "
For how many months can I borrow a Business Loan?
RBL Bank offer convenient repayment options from 12 to 36 months.
Is there any security that I need to provide to get a Business Loan?
RBL Bank offers Business loan as an unsecured loan and hence you do not need to provide for any Security or Collateral for availing a Business Loan.
Do I have to pay any Processing Fees or Charges to avail a Business Loan?
A processing fee of a maximum of 2% of the loan amount (plus Service Tax at the prevailing rate) is required to be paid. This fee will be deducted from the Loan amount at the time of the disbursal of your loan.
Is there an option to prepay the Business Loan earlier? Are there any charges?
No foreclosure is allowed before the loan has completed 6 months. However, you can prepay the business loan after having paid 6 EMIs with applicable foreclosure charges (plus Service Tax at the prevailing rate). Foreclosure charges of 5% of the principal outstanding will be charged, if you foreclose the loan before 12 months. Foreclosure charges of 3% of the principal outstanding will be charged post completion of 12 months of the loan. Loan can be foreclosed by paying the foreclosure amount through a Demand Draft / Cheque at any of the RBL Bank branch.
Are there any benefits of having a Current/Saving Account with RBL Bank for my Business loan?
You get the benefit of easier documentation if you have a Current / Savings Account with RBL Bank. You can avail paying your EMI through Standing Instructions to debit your RBL Bank Account for the loan. This will be taken into consideration at the time of disbursal of the loan.
About RBL Bank
RBL Bank offers specialized services for Corporate & Institutional Banking, Commercial Banking, Retail Banking, Agri & Development Banking and Financial Markets.
As of March 2016, RBL Bank has grown to a network of 197 branches and 362 ATMs across 13 Indian states"
RBL 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.