Business Loans India : Traders Easy Loan Scheme from SBI
To get started in your business life you can rely on the small business loans. When you are new in a particular field and have no experience in it then it is better to start with the small. The same thing happens in case of business too. So, for the first time when you decide to be a businessman start your career with a small business and then keep on graduating from that.
A Business Loan may be required if one wants to expand the existing business or diversify it. A Business Loan can be availed by Self Employed Entrepreneurs, Partnership Firms, Private limited companies, Sole Proprietor Firm etc. Loans for business are basically of two types:
Business Loans – These can be availed by pledging any monetary value asset with the bank.
Business Loans – These are primarily small business loans and the business capital is provided without the requirement of any security. These are generally available at a higher rate of interest compared to secured business loans.
Traders Easy Loans Scheme from State Bank of India
This scheme is launched by SBI to provide hassle free loan to Traders.Any business man/ entrepreneur/ Professional and self employed person can avail this loan. Loan under the scheme can be availed to meet normal business requirements and is sanctioned against equitable mortgage of property. Any residential or commercial property in the name of unit/ proprietor/partner OR their close relatives is acceptable. Agriculture property or property outside urban limits is not accepted.
The advance can be availed by way of Loan or Cash Credit limit. It can also be availed for Non Fund Based requirements (for issuance of Bank guarantees or LCs). Cash Credit limit or non fund based limit is renewable every 12 mths.Loan can be repaid in monthly or quarterly, even half yearly installments – as may be suitable to the borrower – in a period upto 5 years.
Minimum and maximum amount of loan is Rs 25,000/- and Rs 5.00 Crore. Margin is 35%. i.e. loan can be upto 65% of the realizable value of the property or the business requirement- whichever is less. Business requirement is assessed on the basis of projected business turnover. Interest at floating rate is charged at monthly intervals on daily reducing balance.
No Third party guarantee is required to avail the loan.