For running a business organization successfully it is very much important to have sufficient and appropriate fund within the organization. Availability of funds gives competitive advantage to the organization and gives edge against competitors. It is not always appropriate to show insufficient funds in the organization by demanding money from shareholders thus in the situation of financial crunch it is beneficial to raise loans from financial institutions.
Borrowing funds gives financial benefit and helps to push working capital requirements of companies. These loans are provided to companies for running business functions efficiently. Bajaj Finance Business Loan is one of the leading business loan providers.
Bajaj Finance Business Loan – Eligibility
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For availing business loan one needs to have following eligibility criteria:
- Business should have been in operation for more than 3 years.
- Business should have filed their Income Tax returns for at least past 1 year.
- The applicant must be minimum of 25 years of age and maximum age limit is 55 years.
Criteria for getting Bajaj Finance Business Loan
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The first and the foremost criteria for getting business loan is to have a good credit score. Without good credit score it is difficult for organization to avail loan. The credit score ranges from 300 to 850 and based in this one can analyze your ability to repay the debt. Higher the credit score better it is.
The business plan should be impressive and can give overall approach about the plans of business of purpose of taking loan, goal of organization, profit maximization plans of organization etc. Based on business plan lender will evaluate the repayment capacity of business organization. The projection done by organization should show positive cash inflows and positive business capacity in order to avail higher amount of loan. A sound business plan is one which includes analysis about its strength and weakness and opportunities and threats, Industry analysis, management and operational strategies etc.
Also to get business loan one needs to give collateral securities to the lender. Collateral security can be anything such as machine, Building, any other equipment, Real estate, Inventory etc. In addition to this personals guarantee is also asked for in many situations. When applying online and for small amount, collateral securities are not needed but personal guarantee is asked for.
Documents Required for Bajaj Finance Business Loan
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The list given here is not a conclusive list but a general list for applying in a normal course.
- Application Form: Complete loan application form with passport size photograph
- Valid Proof of Applicant’s Identity: PAN card, Aadhaar card, Passport etc.
- Proof of Residence: Ration card, Electricity bill, Rent/Lease agreement etc.
- Proof of Age: Voter ID card, License, Birth Certificate etc.
- Financial Documents: Copies of IT returns for the last two years along with the latest Bank statements for 6 months and P & L and balance sheet for last two years audited by a C.A.
All these points should be looked at while applying for the business loan. To give proper push to business organization it is important to fulfill above criteria and then to apply for loan.