5 Key Reasons to Get A Machinery Loan for Your Business

If you have a business, you must have some machinery that helps you in producing and delivering finished products faster and smoother. What if any of the machinery breaks down, or you need to upgrade it?

You may need a large amount of money to do that. But liquidating your assets and savings is not a smart solution for it. It is because you can always rely on a machinery loan facility under SME finance in India.

Do you want to know the reasons to apply for the machinery loan? Read on this post and know more!

Here’s why the machinery loan is an ideal solution for you

A large loan amount made possible

The cost of investing in modern equipment or machinery may be higher. It is where the machinery loan may let you avail of an amount as high as up to Rs.45 lakh. The amount is sufficient to help you get any machinery as per the requirements of your business. However, the final loan amount may depend on your eligibility for the loan. You can use the machinery loan eligibility calculator available on the website of lenders for free to know the exact amount you can avail of.

The loan comes to you without collateral

Another reason for applying for the machinery loan as a viable solution to get funds for your business is the unsecured nature of the debt. Yes, you don’t have to provide any collateral or security to get the loan approval. If your CIBIL score is good and fulfils the basic eligibility criteria laid by your lender, you can get loan approval in no time and at a lower rate. By making timely repayments towards your loan and other debts, you can improve your credit score.

Flexi loan facility

One of the key reasons business owners applying for SME financing in India facilities like a machinery loan is because of the Flexi loan feature. Modern-day lenders let you avail of the unique facility called Flexi loan these days. Under this, you can withdraw an amount as many times as per your loan limit, depending on your needs. The best part is that you only need to pay the interest on the utilised amount and nothing extra. You can also opt to pay interest-only EMIs for the initial part of the tenor. This way, it may be possible to save up to 45%* on EMI payments.

Easy to meet eligibility conditions

Another advantage of applying for a machinery loan from a known lender in India is meeting easy eligibility conditions. Let’s take a look at the standard loan eligibility criteria, which may vary from lenders to lenders:

  • You need to be aged between 25 to 65 years.
  • You must have a business vintage of a minimum of 3 years.
  • You must have filed the ITR for your business for at least 1 year.
  • KYC documents.
  • Financial documents.
  • Business ownership proofs.

Most lenders have their eligibility terms mentioned on their websites. One can go through it beforehand and work towards meeting it. In turn, it may help you get loan approval faster.

Instant approval and funds disbursements

If you are the ideal loan candidate, you don’t have to wait for loan approval and get funds disbursed into your bank account.

With so much going for the machinery loan, you can surely apply for it online and save your time and efforts.

Bajaj Finserv presents pre-approved deals on business loans, home loans, personal loans and more. It can simplify the loan processing and make it faster.

You can share your basic details like your name and mobile number to unlock your pre-approved loan offers right away.