A business loan is financing that a lender (usually a bank, non-banking financial company (NBFC), or online lender) provides to a business to help it meet its financial needs. The borrower (the business owner) agrees to repay the loan in regular, monthly payments, usually with interest.

📄  What paperwork is needed in India for a business loan?
  • ✅ Commonly needed paperwork:
  • KYC: Proof of business registration (PAN, Aadhaar).
  • Udyam registration, or GST certificates. 
  • ITRs (one to two years).
  •  Bank statements (Last 6–12 months).
  • Provide evidence of address .

📌 Typical Applications:

  • Starting a new enterprise
  • Expanding business operations.
  • Acquiring machinery, tools, or vehicles.
  • Overseeing daily expenses or cash flow. 
  • Recruiting personnel or promoting the business.