Difference between start-up and SME loan or IDFC Bank Business Loans
IDFC Bank offers loans for a business that are tailor-made to suit the needs of your business. IDFC Bank, having the lineage of IDFC, understands the importance of finances in running and expanding businesses. In line with one of its main objectives of lending to small businesses including SMEs and MSMEs, the bank offers business loans to satisfy a variety of financial needs of the SME and MSME sector. IDFC Bank has also partnered with Capital Float, a Bangalore-based online-lending platform to offer digital lending to small businesses throughout India.
The different types of loan for business especially the SME loans and the MSME loans include
IDFC Bank extends these loans under various terms and conditions. The features of these loans are as follows
The cash/credit overdraft is a product that helps existing businesses to overcome the short-term requirement of credit for various uses such as the purchase of raw materials, paying for utilities, paying salaries and rent. This is essentially a short-term extension of credit and the bank uses the following parameters to decide on the extent of overdraft
The bank offers affordable SME loan interest rates and also provides working capital advisory services from its expert pool.
The term loan is an excellent product that you as a small or medium business can avail of for your future expansion. Since you have a relationship with the bank, you can easily avail this facility and expand your business in a timely fashion. The favourable terms include
This is one of the most useful facilities from IDFC Bank that you can avail of for achieving your future expansion goals.
FD backed loan
The FD backed loan is a convenient product that allows you to use any FD you may have with IDFC Bank. This is the quickest way to obtain a loan from IDFC Bank for meeting your emergency requirements. In fact, the loan is almost like an ‘over the counter’ product.’ The salient features of this loan includeb
If you have an FD with the bank and also have a business relationship, this is the simplest and cheapest form of loan you can avail of from the bank.
Business installment loan
A business installment loan is an unsecured loan that you can avail of just like an EMI loan where you can take a loan for a fixed tenure and repay through EMIs or other convenient repayment options. All types of business entities can avail this loan irrespective of their ownership type. The main features of this loan are
The business installment loan works like any personal loan which is easy to obtain and repay because of the EMI facility.
The IDFC Bank business loans are almost paperless and easy to obtain. Typically, the loan documents required are as follows
You can monitor your SME loan online quite easily using the 24/7 service through the IDFC Bank Mobile App. The features of the 24/7 access include
You can have the loan details at your fingertips anywhere, anytime through the app.
The IDFC Bank’s business loan product is a boon to SMEs and MSMEs to meet all their financial requirements in a one-stop fashion. You can get all the facilities through the technology that IDFC Bank employs besides the much needed funds for your business needs.