The quickest way to obtain a business loan is to apply for it online. Most of the lenders and providers of a loan for business are reachable on the internet. Visiting the official websites of these companies and providers will give you a fair idea about their financial products. In order to apply for online business loan, you can visit and apply on https://www.loanbaba.com/business-loan/ and get to understand the business loan schemes by top providers in India.
To know about other online sources to apply for a loan for business in India, read the following post below.
- Banks and NBFCs
Most of the non-banking financial companies and banks have their own website with product information. The borrower can easily check out the details and other terms and conditions pertaining to a particular financial product, before purchasing it. The banks and NBFCs providing business loans will definitely provide information about various loan products they have to offer. The landing page will also have the application form, which one has to fill and submit. This will be considered as the person’s loan application, where the candidate has to also submit soft-copy of the documents asked.
Some of the these financial companies may just ask for basic contact information like the applicant’s phone number, address, loan amount needed, age, employment/business history etc. The applicant will then receive a call or communication from the customer care team, after submission of the form. The customer personnel will understand the candidate’s requirement in detail and suggest the best available business loan option as per the borrower’s needs.
- Peer-to-Peer Platforms
Another online source for business loans are the peer-to-peer platforms. Here, individual lenders and borrowers can register and interact between themselves to strike a deal. For instance, ‘A’ registers as a lender and can lend up to Rs. 1 lakh at an interest of 12% per month. Now a borrower ‘B’ wants Rs. 1 lakh as loan for business and registers on a peer-to-peer platform, where he finds ‘A’ as the perfect provider. ‘B’ is happy with the loan amount and interest rate offered by ‘A’. Both can then through a legal process, become suitable lender and borrower for each other on P2P platform.
Peer-to-peer platforms are regulated constantly. All the loan procedures are legal and transparent in nature. The only drawback the platform has is, the interest rates could be higher than those charged by regular banks and NBFCs. However, the eligibility criteria could be less stringent and the loan amount could be flexible.
- FinTech Firms
Just like NBFCs and banks, there are several FinTech firms that offer small business loans to businesspersons. Many FinTech firms even allow customers to connect with other major providers such as banking and non-banking companies, without charging any access or service fee. These companies have a presence online, so that it is quicker to connect with probable customers. Special schemes and discounts are available for existing customers.
For instance if the FinTech firm provides insurance policies and loans, and if a person has already taken an insurance policy from the particular organization, then he/she may get better facilities for business loan taken the next.
- Micro Lenders
The micro lenders offer small loans to low income individuals or groups. They often finance start-ups or individuals who wish to establish business in a rural area and agricultural sector. A micro lender can provide small amount of capital, which may not seem cost-effective for a traditional bank or lender, thus the former is a better option for businesspersons who are looking for microfinance for their firm or company. There are several popular micro-lenders that are leading the finance sector. Many of them today even provide higher amount loans to eligible candidates.
It is advisable to take a business loan from a registered finance company or lender online, so as to prevent any fraud or malicious practice.