Business Loan In Rajahmundry

Rajahmundry is one of the famous cities in the state of Andhra Pradesh. The official name of the Rajahmundry is Rajamahendravaram. One can easily guess the historical relations of the city by the very name. The city was named after Chaulakya King Raja Narendra who used to rule the region. Rajahmundry, the seventh most populated city in Andhra Pradesh is fondly known as the cultural capital of the state.

The city is mostly known for its history and culture and thereby attracts many tourists as well. Apart from the tourism industry, the city’s economy is greatly dependent on floriculture. The city is known to produce a variety of flowers and one can witness the existence of a large number of nurseries in the main city. Rajahmundry, the garden of flowers, surely offers people to deal in flower-related businesses.

The city is not limited to the cultivation business. It is an industrial hub accommodating many big firms in the region. It serves as the headquarters for GAIL and ONGC. Rajahmundry is also famous for petrochemical industries around the Godavari region.

The city is all set to be an IT hub in the upcoming years as the Government itself is taking initiatives to develop the city’s industrial and IT capabilities. Many Industrial parks have been set up by the Government in Rajahmundry.

One can say that all these initiatives are going to help the businesses in the region to get a boost. It is a good idea to explore new business horizons, set up new ventures and expand the existing businesses in the area. One can surely get a great future and a profitable business opportunity ahead in the city.

Moreover, Rajahmundry is connected to other parts of the state and country and also to major cities through roads, airways, waterways and railways. Any business definitely yields profit at a place that has really good connectivity to other parts of the country. A well-developed transport system places the city among the desired locations for a business.

Rajahmundry is an industrial hub, cultural town, historical heritage, garden of flowers, and an upcoming IT hub that is going to give many growth opportunities to businesses. Investing in your business in the city at the right moment can produce huge profits.

The city offers you transport and connectivity and opportunities to grow your business. Now all you are required to do is an initial investment. And if you are wondering how to arrange for the investment, then you are going to get all the financial assistance for the business to run smoothly through Lendingkart. We provide business loans to assist the businesses in Rajahmundry financially so that the business can grow, bloom and run in a manageable way.

Business loans are a preferred and easy option for investment purposes. We provide hassle-free business loans in Rajahmundry at reasonable interest rates.

Why do You Need a Business Loan?

Rajahmundry is a city of flowers known for its nurseries and floriculture. People here are aware of the fact that to harvest a good crop one needs to sow healthy seeds. Investment in a business is like sowing seeds. One can expect a good yield afterward with hard work and proper management. But one needs to buy good quality seeds from a trusted person for a sweet harvest. Similarly, one requires a business loan for investment into a business to earn profits in the end.

Lendingkart provides you with those healthy seeds, aka business loans for investment into your business or in a start-up. A business loan ensures that the enterprise can stand and run smoothly. To earn money from a business first one needs to put money into it. Every business needs to make use of business loans at one or another time for good reasons including business expansion.

Businesses generally apply for a business loan for the following reasons:

  1. To buy land for offices, workshops, mills, or manufacturing plants
  2. To manage the expenses of business license, registration, necessary paperwork, and official formalities
  3. For buying equipment and raw materials
  4. For repairing and maintenance of the existing machine
  5. Developing and establishing infrastructure
  6. Processing of goods
  7. Transportation or logistics charges
  8. Working capital
  9. Business expansion

Lendingkart in Rajahmundry provides you with financial help to achieve the business targets.  We support you to chase your dream of becoming a successful entrepreneur and invest freely through business loans.

Types of Business Loans in Rajahmundry

Depending upon your business requirements one can consider different options or types of business loans in Rajahmundry.

  1. Term Loan: Term loans are granted for a fixed time duration. The duration of a term loan generally depends upon if the loan sought is secured or unsecured. The duration of an unsecured loan is about 1 to 5 years, and a secured loan is sanctioned for a duration of 15 to 20 years.
  2. Start-Up Loan: Rajahmundry is going to be the desired place to start new business ventures. Government initiatives to develop the city into an industry and IT hub is surely going to give a boost to start-ups as well. If started and implemented properly, these ideas can turn into successful businesses. And to implement a start-up, we offer you a start-up loan. A business registration slip and the recent credit history of the owner are required to approve a business loan.
  3. Working Capital Loan:working capital loan helps the existing businesses and the newly sprouting enterprises to maintain a proper cash flow in the organization. A working capital loan ensures the smooth functioning of the business all the time. It balances the cash requirements of the organization during periods of cash crunch or in the off-season.
  4. Loan Against Property: Sometimes one can borrow a business loan in lieu of a property. By mortgaging your property for a defined time period, a business loan can be easily obtained. However, the mortgaged property needs to be free of litigation.
  5. Invoice Financing: Many small enterprises sometimes experience a lag between invoice filing and receiving payments from clients. It is a common scenario and one does not want to hamper the working due to late payments. To avoid problems due to delayed payments from clients, businesses can opt for a loan against invoices on specified interest rates. The loan against invoices can be paid off by the borrower once the payment is received.
  6. Equipment Financing: Firms and enterprises dealing with manufacturing or goods processing business have to deal with expensive equipment. They also require purchasing new machines. Also, the older equipment, tools, and machines need to be repaired. For such scenarios, one can take equipment financing loans. Equipment financing loans are a preferred choice of manufacturers as it is relatively inexpensive. 
  7. Overdraft: An overdraft facility can be provided against collaterals or securities. The overdraft limit is decided according to the credit history of the borrower. In an overdraft, the applicant uses only the required amount from the set limit. The interest is paid only on the used amount from the overdraft.
  8. Merchant Cash Advance:merchant cash advance is approved if the borrower wants to repay the loan on a daily basis. One can pay a large amount when making a profit. They can repay less if the business is not doing well.
  9. Business Credit Card: This is not preferable, but one can apply for a business loan on credit cards. When a business loan is sanctioned on a credit card, the processing is even quicker. It is generally preferred for a short time period when there is an immediate money requirement. The rates of interest are generally high.
  10. Women Business Loan: To motivate and boost women entrepreneurs, women dedicated business loans are also provided.

One should choose a business loan as per the company’s performance, goals, and as per the monetary needs of the business.

Eligibility Criteria to Apply for a Business Loan

One can get business loans in Rajahmundry at lower interest rates from Lendingkart. We provide hassle-free loan processing. However, the applicant must fulfill certain eligibility criteria to apply for business loans.

  1. Age limit: The applicant should be no less than 21 years old and older than 65 years old to apply for a business loan.
  2. Business duration: The business should be in legal existence for at least a period of six months preceding the business loan application.
  3. Turnover of the company: The business should have a minimum turnover of Rs. 90,000 in the last 3 months preceding the loan application.
  4. Exclusions: Trusts, NGOs and charitable institutions are excluded from taking business loans.
  5. Small Business Administration (SBA) finance list: Any business which is physically located in a negative location or businesses excluded by the SBA finance are excluded from availing a business loan.
  6. A bank statement must be provided to apply for a business loan.

Documents Required to Apply

Eligible businesses in the cultural city of Rajahmundry can apply for a business loan easily by submitting some necessary documents to Lendingkart.

A list of the documents required to apply for a business loan (by individual businesses, LLCs, private limited companies, partnership firms or proprietorships) is given below.

  1. Credit history or bank statement of business for the last 12 months
  2. Address proof and identity proof of the applicant
  3. Business registration proof or license
  4. Partnership deed for a firm under partnership
  5. PAN card and Aadhar card for the proprietor
  6. Nonobjection certificate from the municipal corporation

Start-ups need to provide the following documents to apply for a business loan

  1. Identity card of the borrower.
  2. Income proof or a bank statement of the borrower for the last 2 years.
  3. Business ownership documents like proof of association with the business for which loan is sought, including sole proprietorship declaration, certified copies of memorandums, etc. need to be submitted by the applicant.

Features of Business Loan

Availing a business loan through Lendingkart in Rajahmundry offers the following features

1. Loan amount: One can avail of a business loan with a loan amount ranging between Rs 50,000 to Rs 2 crores. Small and medium enterprises can seek any possible value in the given range for investment into their business. The loan range is also suitable for start-ups.

2. Rate of Interest: Reasonable interest rates are offered to the client. One do not feel if a hole is burnt in their pockets while repaying the amount. Interest rates are tabulated below

Type of Loan

Interest Rate, duration

Business loans

1%  to 2%, monthly

Start-ups loan

15% to 27%, annually

Commercial loan

15% to 27%, annually

3. Loan Processing Time: Lendingkart has a fast document verification process. The loan sanction and disbursement time is really quick. We disburse the sanctioned loan amount within 72 hours after the approval of a business loan.

4. Tenure: The business loan can be repaid at monthly or bi-annual modes. The time duration/tenure for repayment of loans is tabulated below

Type of Loan

Tenure

Business loans

Upto 36 months

Start-up loans

Upto 24 months

Commercial loans

Upto 24 months

5. Collateral: No collaterals are required if the borrower meets all the eligibility criteria and is able to provide the required documents.

6. Loan processing charges: No hidden costs are there in the process of the business loan. The loan is processed at a standard fee which ranges between 1 to 2 percent of the sanctioned loan amount.  No pre-closure charges are applicable. The applicant needs to repay the loan even before the tenure without any additional charges at any given point of time.

7. Extension of loan duration: An extension on the tenure can be given for up to a period of 6 months. This is subject to the guidelines set at that time.

Easy documentation, quick money disbursal, no collaterals and flexible tenures makes Lendingkart an easy and flexible option to borrow money for your businesses. If you are planning to start a new business in North 24 Parganas or are willing to expand the existing enterprise, then Lendingkart is there to provide financial assistance.

Business loans in Rajahmundry FAQs:

1. What type of business loans can I get in Rajahmundry?

Lendingkart offers business loans, start-up loans and commercial loans to clients in Rajahmundry.

2. How much amount can I get through a business loan from Lendingkart?

One can avail a business loan amount ranging between Rs. 50,000 to Rs 2 crore.

3. Can I get an extension on repayment of loan?

Yes. Lendingkart provides you with an extension of about 6 months on repayment. The extension depends upon the guidelines set at that time.

4. What are the pre-closure charges on business loans?

No pre-closure charges are levied on a business loan.

5. What are the loan processing charges?

A loan processing fee of 1 to 2 percent of the approved business loan amount is charged.

6. What is the loan processing time?

After approval, the loan amount is disbursed within 3 working days.

7. Is there any age limit to apply for a business loan?

Yes. Anyone between 21 years to 65 years of age is eligible to avail a business loan provided other eligibility criteria are met.

8. What documents are required for a start-up loan?

Business registration proof, borrower’s credit history and government-approved identity.