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No Security Required

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14% R.O.I

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Less Documentation

How unsecured Business
Loan works?

An unsecured business loan is a type of loan that is offered by various banks and NBFCs collateral free to the borrower. These loans are often called signature loans, as these loans are granted to the applicant without any collateral with minimal documentation. Unsecured Business Loan in India can be approved online, the borrower can provide online documentation on the portal and enjoy quick disbursal of loans in their respective account quickly.

Unsecured loan for business is a smarter choice when it comes to the successful running of a business in the absence of collateral. The interest rate of unsecured business loans is a little higher than that of secured business loans. As these loans depend on the creditworthiness of a person hence, one should have a credit score of more than 700. Boost your CIBIL score and increase your chances of getting a loan. My Mudra is a one-stop solution for people who are seeking financial assistance for their business and have no security. 


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How unsecured Business Loan works?

Unsecured Business Loan
Eligibility Criteria

The unsecured loan for business is granted by the banks on minimal documentation. This is an additional benefit to the applicant who can apply for the loan with documents that are easily available and accessible. Mentioned below is the list of documents that are required in the process of applying for and approval of an unsecured business loan. 

1.) PAN Card – For Company/Firm/Individual

2.) Identity proof required for unsecured business loan includes documents like Aadhaar Card, Passport, Voter's ID Card, PAN Card and Driving License.

3.) Documents required for unsecured business loan for address proof inclde documents like Aadhaar Card, Passport, Voter's ID Card, Driving License.

4.) Additional documents required for unsecured business loan

a) Bank statement of the previous 6 months'

b) Latest ITR along with computation of income, Balance Sheet, and Profit & Loss account for the previous 2 years, after being CA Certified/Audited

c) Proof of continuation (ITR/Trade license/Establishment/Sales Tax Certificate)

d) Other Mandatory Documents [Sole Prop. Declaration Or Certified Copy of Partnership Deed, Certified true copy of Memorandum & Articles of Association (certified by Director) & Board resolution (Original)

 


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Unsecured Business Loan Eligibility Criteria

Unsecured Business
Loan Process

The process of applying for an unsecured business loan is a cakewalk with My Mudra. Get to know about the process of applying for an unsecured business loan.

1. Apply unsecured business loan online from My Mudra.

2.Get documentation done online on the portal.

3.Get your unsecured business loan approved and disbursed within hours from My Mudra.


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Unsecured Business Loan Process

Which banks to apply for Unsecured Business Loans?

Bank/NBFCs

Interest Rate

My Mudra 

14.00% p.a.

Axis Bank

14.95% - 19.20% p.a.

Bajaj Finserv

9.75% - 30% p.a.

Flexiloans

1% per month onwards

HDB Financial Services Ltd.

Up to 36% p.a.

HDFC Bank

10% - 22.50% p.a.

IDFC First Bank

10.50% p.a. onwards

Indifi

1.50% per month onwards

Kotak Mahindra Bank

16% - 26% p.a.

Lendingkart

12% - 27% p.a.

Mcapital

2% per month onwards

NeoGrowth Finance

19% - 24% p.a.

Tata Capital

12% p.a. onwards

UGRO Capital

14.90% p.a.

Unsecured Business Loan EMI Calculator

Loan Amount

Tenure

MO

Interest Rate in %

%

Your Monthly loan emi Rs:23,537

Monthly amount paid to your loan provider

Interest rate in %

Total Payble Amount

5,64,882
Rs

your loan details as specified by you

Loan Amount
5,00,000
Rs
Tenure
24
M
Interest Rate
12
%

Unsecured Business Loan
Frequently Asked Questions

What is unsecured business loan?
Unsecured Business Loan is a type of loan that is provided by banks, or NBFCs to business owners who have no security. This type of loan is provided on the basis of your creditworthiness.
What is the interest rate on unsecured business loans?
The interest rate on unsecured business loans starts from 13% R.O.I and goes up to 30% R.O.I.
What are the documents required for unsecured business loan?
A person who is applying for an unsecured business loan should have an Aadhar Card, PAN Card, a credit score above 700, a 3-month bank statement, ITR of the company.
Which bank is offering business loans at the lowest interest rate?
SBI Banks offer lowest interest rate on business loan starting from 11.75%.
How we can get the unsecured business loan approved in 5 days?

Besides offering a loan with no security and minimal documentation, there are many benefits of an unsecured business loan. Get to know about the benefits of an unsecured business loan and know how it can help to prosper your business.

  • Easy Apply: The application process for an unsecured business loan is quite easy. Apply online at My Mudra and fill basic details required for filling up the application form.
  • Minimal Documentation: The applicant should submit KYC documents, company financial details, and registration details to apply for the unsecured business loan.
  • No Collateral: Unsecured Business Loan is collateral free and hence an applicant does not need any security to file an application for the loan.
  • Shorter Tenure and Flexible Repayment: The tenure period of an unsecured business loan is a bit shorter as compared to other loans. The applicant has flexible repayment options available for the loan.
  • Fast Amount Disbursal: Enjoy quick disbursal of the loan amount within a day.