HDFC Bank Business Loan – Eligibility, Charges, and How to Apply

HDFC Bank Business Loan

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HDFC Bank is an Indian banking and financial services company. HDFC Bank is one of the India’s largest leading private sector banks by assets and world’s 10^th largest bank by market capitalisation as of April 2021. It is the third largest company by market capitalisation as of Rs 122.50 billion on the Indian stock exchanges.

HDFC Bank Business Loan

HDFC offers business loan offers both secured and unsecured business loans to self-employed individuals, private companies, business enterprises, partnership firms that are involved in trading, manufacturing, or services^[1].

Also Read: ICICI Bank Business Loan

Benefits and Features of Business Loan

• Helps to start and grow your own business
• Helps in expanding your business
• Strengthens business credit score
• No collateral required
• Attractive and competitive interest rate
• Simplified documentation process
• Higher loan disbursal amount

Advantage of taking HDFC Bank Business Loan

• HDFC Bank business loan can be availed without having to submit any collateral or security
• Competitive rate of interest
• Quick disbursal of loan
• Hassle-free and easy documentation process
• Doorstep services
• Overdraft facility is also available

Types of HDFC Business Loan

• Loans for Self-Employed Professionals

HDFC Bank Business Loan for Self-Employed is an unsecured business loan. Whether you are a doctor or architect or any other specific profession can avail for this loan.

• Loans for Self-Employed Non-Professionals

Whether you are non-professional business person like new entrepreneurs, start up or an old hand in the business can avail for this loan to finance their working capital needs, purchasing machinery equipment’s, business expansion etc. The loan application process is hassle-free and you require minimal documentation.

• Loans for Traders

HDFC Business Loan for Traders is an unsecured business loan facility, which enables businesses to finance their working capital needs, purchasing stocks for further sale, etc. The bank also provides an unsecured dropline overdraft facility under this business loan scheme. You can get up to Rs 40 to 50 lakhs in this loan scheme.

• Loans for MSMEs

Lons for MSMEs is for the one who own a medium or small enterprise in construction, education or infotech. Boost your business with HDFC customised Business Growth Loans to meet your every business requirement.

• Loans for Chartered Accountants (CA)

This loan is basically designed for the chartered accountants. It is an unsecured business loan to finance their working capital needs, office construction or renovation, expansion of their practice through new branches, etc. The bank also offers overdraft facility. You can get loan amount up to Rs 40 to 50 lakh with flexible loan repayment tenure up to 4 years.

• Loans for Traders

HDFC Bank Business Loan for Traders is an unsecured business loan facility, which enables businesses to finance their working capital needs, purchasing stocks for further sale etc. The bank also provides an unsecured dropline overdraft facility under the business loan facility. Existing borrowers of business loans for traders can exercise the balance transfer facility to transfer their existing business loan to HDFC Bank.

Interest Rates, Loan Amount and Other Charges

Eligibility Criteria

• One’s age should lie between 21 to 65 years of age
• Sole proprietorship, partnership, private and public limited companies involved in manufacturing, trade or services
• Business experience of 5 years, and individuals who have been in the current business for a minimum of 3 years
• Business making profits for the last 2 years
• Minimal annual income of Rs 1.5 lakh
• Business should have a minimum turnover of Rs 40 lakh

Documents Required

• PAN Card
• Identity proof
• Address proof
• Bank statement of the previous 6 months
• Balance sheet and profit and loss account for the previous 2 years
• Proof of continuation
• Certified copy of partnership deed
• Sole proprietorship declaration
• Certified copy of memorandum and articles of association
• Other mandatory documentation

How to apply for HDFC Bank Business Loan

Before applying for the loan you will have to be eligible for the loan. You will have to check the lender’s eligibility criteria. The lender will only approve your business loan application if you meet the specific eligibility criteria.

You can apply online through the HDFC Bank website by filling up the application form and by submitting all the necessary documents required. Once you submit the online application form, a bank representative from the bank will contact you. Once your loan application is approved, the loan amount will be disbursed into your savings bank account.

However, you can also apply for the loan by visiting the nearest bank branch and by submitting the form and the required documents.

FAQs

1. What is a business loan?

Ans: Business Loan is a loan which can be availed by any person who wants to start their own business or any individual who wants to expand their business.

2. How is business loan processing fee calculated?

Ans: Processing fee is calculated 2% + GST which is standard across all the products.

3. Who is eligible for business loans?

Ans: Self-employed individuals, proprietors. private ltd. co. and partnership firms involved in the business of manufacturing trading or services can avail for business loans.

4. What is the maximum tenure for business loan in HDFC Bank?

Ans: Maximum tenure for business loan in HDFC Bank ranges between 12 months to 48 months.

5. What is the minimum CIBL score for business loan?

Ans: Minimum CIBL score for business loan is 650 or higher.

6. What are the documents required to avail business loan?

Ans: Documents such as id proof, address proof, bank statement, etc., are required to apply business loan.

Dev Kirtonia

Hi, I’m Dev Kirtonia, Founder & CEO of Dev Library. A website that provides all SCERT, NCERT 3 to 12, and BA, B.com, B.Sc, and Computer Science with Post Graduate Notes & Suggestions, Novel, eBooks, Biography, Quotes, Study Materials, and more.