Top Features of a LendingKart working capital loan

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    Loan amount from 50 thousand to 2 crores

    Your requirement may be small or large,we cater to them all – from 50,000 to 2 crores.

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    Superfast processing

    We process all loan applications within 72 hours on an average.

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    Completely online processing

    There is no need to visit physically or wait in long queues. The application is very simple & is processed online.

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    No collateral required

    An unsecured working capital loan that reduces the risk of asset loss for your business.

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    Fair interest rates

    Interest rates range from 1.25% to an average of 2% per month, depending on your credit profile.

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    Loan tenure

    We sanction loans with a tenure varying between 1 and 24 months, for easy & convenient repayment.

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    Processing fee

    One-time processing fee of 2%, no other hidden costs or charges.

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    Flexible repayment

    Monthly or bi-weekly instalments available for your convenience.

Benefits of Working Capital Loan by Lendingkart

- Faster processing:

You can get a working capital loan within 3 days by submitting all documents.

- Preserving your ownership:

These loans help you avoid equity divestment by providing quick and easy access to credit without collateral.

- Streamlines your cash flow:

Our loans allow you to operate normally during cash crunch and cyclic upheavals in sales and revenues by providing ready cash at hand.

- Improve your credit score:

If your business was denied a bank loan due to low credit score, Lendingkart helps you improve your credit rating as well by reporting your loan transactions to the Credit Bureau.

Working Capital Loan Fees & Interest Rates

Customized Interest Rates 15 to 27% *
Processing Fees 1-2% (One time)
Loan Tenure up to 2 years
Pre-closure Charges Nil**
Eligibility Criteria > ₹ 90,000 turn over for 3 Months
Loan Amount ₹ 50,000 – ₹ 2 crore
Installments Flexible Monthly / Bi-weekly

*Based on the health of your business, revenues and annual turnover

**Pre-closures are only allowed after the first EMI is paid in full

Eligibility Criteria

  • A business that has been in operation for more than 3 months.
  • A minimum turnover of ₹90,000 in the 3 months preceding your loan application.
  • The business should not fall under blacklisted / excluded list for SBA finance.
  • The physical location of your enterprise should not be in the negative location list.
  • Trusts, NGOs and Charitable institutions are not eligible for small business working capital loan.

Documents Required for a working capital loan

Proprietorship Partnership Pvt. Ltd. / LLC / One Person Company
Bank statement (12 months) docs docs docs
Business registration proof docs docs docs
Proprietor(s) PAN Card Copy docs docs docs
Pre-closProprietor(s) Aadhar Card Copy docs docs docs
Partnership Deed Copy docs docs docs
Company PAN Card Copy docs docs docs

We accept any of the following as a Business registration proof

1)Business Registration Certificate2)GST filing3)Gumastadhara4)Trade License5)Drug License 6)TIN7)VAT registration

3 simple steps to your working capital loan

  • Submit Application

    It just takes 60 seconds

  • Upload Documents

    Completely online process

  • Get Sanctioned

    We evaluate your application and give you a fair sanction

Working Capital Loan types

  • Bank Overdraft / Credit Line:

    This is a pre-approved withdrawal limit which a bank or financial institution gives you on your current account. Prerequisites include a long working relationship, good credit score, and a reasonable loan amount. Interest is only paid on the amount withdrawn, even if the sanctioned limit is higher. However, interest rates are generally 1 to 2 percent higher than the prime rate of the lending institution.

  • Equity Funding

    Equity funded working capital loans are acquired through personal resources or investors, such as investment from friends or family. These working capital loans are mostly taken by start-ups and businesses with a less than ideal credit score.

  • Short-term Loans

    These are one of the most popular sources of working capital finance for Indian SMEs. These are normal working capital loans, granted at a fixed interest rate with a short repayment period of up to one year. Generally, these are secured loans that may also have other policy requirement such as revenue/sales targets for you to follow.

  • Loan on Accounts Receivables

    Granted against confirmed sales order value, this kind of debt is ideal for your business if you have a reliable customer base as there is always a risk of invoice defaults. In lieu, financial institutions are also hesitant to provide these working capital loans to new businesses.

  • Factoring / Advances

    Like an accounts receivable loan, this loan is given against future credit card receipts instead of confirmed sales. However, this type of debt is only suitable for a business that accepts credit card payments.

  • Trade Creditor

    A trade creditor working capital loan is provided by a current or new supplier. This facility is generally offered on placing bulk orders. However, trade creditors usually have strict policy parameters to be followed by the borrower.

Do’s and don’t’s

Have you explored all other options for managing your working capital?

While working capital finance is one of the best ways to manage your operational requirements, there are several other measures you can take to streamline your cash flow. For example, identifying and cutting back unnecessary expenses, optimizing your invoice cycle, reducing stock of slow-moving inventory items, etc. So, before going for a loan make sure you have tried every measure to streamline your finances.

How do you intend to use the loan money?

If you do not have a plan to utilize the funds, you might end up putting your business in a poor financial situation. Working capital loans are not meant for financing expansions and long-term assets. Make sure you carefully consider the usage of your working capital loan before applying for one.

Does it benefit your business?

A healthy business with streamlined supply chain and operations will no doubt benefit from a working capital loan. But if you are a relatively new business, you should also know about the ultimate advantages of taking a working capital loan along with its usage. This includes having the ability to service the loan. If your business needs a working capital infusion but your current revenues are not enough for EMI payments, you should consider alternate means of stabilizing before applying for the loan.

FAQs:

Cities we serve

Delhi NCR: Delhi, East Delhi, Gurugram, Faridabad ,Ghaziabad, New Delhi, South Delhi, Noida, Rithala
Haryana: Chandigarh, Rohtak, Palwal ,Gurgaon, Rewari, Panipat, Kaithal, Karnal
Jammu and Kashmir: Srinagar, Leh Ladakh, Gulmarg
Himachal Pradesh: Shimla, Mandi, Manali, Chamba, Kullu, Rampur
Uttarpradesh: Lucknow, Agra, Kanpur, Allahabad, Varanasi, Meerut, Jhansi
Punjab: Amritsar, Ludhiana, Jalandhar, Patiala, Firozpur, Lahore
Uttarakhand: Dehradun, haridwar, Mussoorie, Roorkee, Kichha

Odisha: Bhubaneswar, Cuttak, Sambalpur, Berhampur
West Bengal: Kolkata, Hooghly, Howrah, Kalyani
Bihar: Patna, Sasaram, Nalanda, Aurangabad, Jahanabad, Siwan, Darbhanga, Buxar
Jharkhand: Ranchi, Jamshedpur, Dhanbad, Deoghar

Gujarat: Ahmedabad, Vadodara, Surat, Jamnagar, Gandhinagar, Deesa, Porbandar, Bharuch
Goa: Panaji, Madgaon , Mapuca , Ponda
Rajasthan: Alwar, Jaipur, Ajmer, Behror, Dholpur
Maharashtra: Mumbai, Palghar, Pimpri, Ulhasnagar, Thane, Ahmednagar, Aurangabad, Nashik, Nanded

Telangana: Hyderabad, Ranga Reddy, Khammam, Secunderabad, Warangal, Nalgonda, Karimnagar, Nizamabad, Adilabad
Karnataka: Bangalore, Mangalore, Hubli, Mysore, Shimoga, Davanagere, Gulbarga, Bellary, Belgaum
Andhra Pradesh: Vijayawada, Visakhapatnam, Guntur, Tirupati, Rajahmundry, Kakinada, Amaravati, Kadapa, Nellore, Kurnool, Anantapur
TamilNadu: Chennai, Coimbatore, Madurai, Trichy, Salem, Vellore, Erode
Kerala: Ernakulam, Kochi, Thiruvananthapuram, Kollam, Thrissur, Malappuram