Bank Loan for Startup
For entreprenuers securing funds for startup is one of the toughest challenges while starting a new business.
It is important for entreprenuers to understand the advantages and disadvantages of each funding methodology, estimating the required value of funds, application of funds, and projected financial position of a business which include revenue generation in order to approach and secure the funds.
Banks are one of the largest funders of startups in India. There are varied types of funding available from banks as loans to cater each unique business requirements.
Bank Loan for Startup Business
You can avail a Bank Loan for Startup business loan from a bank or a financial body in order to raise funds to start a business of your own or expand your current business. The rate of interest charged by the bank will depend on the loan amount availed by you and the repayment tenure.
You can avail a startup business loan from a bank or a financial body in order to raise funds to startup a new business. Startup business loans come with attractive interest rates.
However, the interest rate charged by the bank will depend on the loan amount and repayment tenure selected by you.
Some of the most popular and well-known schemes offered by the Indian government for startup are as follows:
Bank Credit Facilitation Scheme: This scheme aims to target meeting the credit needs of MSME sector. The repayment period of the scheme ranges between 5 years to 7 years.
Pradhan Mantri Mudra Yojana (PMMY): Under this scheme, all kinds of manufacturing, services, and trading sector units are The scheme has been categorized into 3 different categories namely Shishu, Kishor, and Tarun that facilitate loans between Rs.50,000 to Rs.10 lakh.