How Long Does It Take to Get a Small Business Loan?

A small business loan is an extremely handy credit instrument for entrepreneurs who are looking to establish a new venture or expand an existing one. Due to the advancement in the Banking and Finance sector, you can avail a small business loan easily through a hassle-free online application process. With the help of leading financial institutions, you can avail a new small business loan at a competitive rate and with favorable terms and conditions. It is advisable that you compare business loan offers provided by different lenders before making the final decision. This will help you avail a business loan that best suits your needs.

With reputed online lenders, you can avail a business loan online within a short span. Let us have a look at the steps regarding how to apply for small business loans:

Online Form Filling

Visit the official website of the lender and fill the online application form. The online application process makes it easier to apply for a small business loan business. All you have to do is fill in your personal and employment details to get started with the process.

Specify Loan Details

You will be required to provide your loan details, specifically the loan amount you require for your business and the repayment tenure of the loan.

Approval & Disbursal

The representative will process your loan application within a few hours after you submit it. Post this, your loan will be approved and you can expect to get the money credited in your bank account within 24 hours.

Business Loan Disbursement

Quick loan disbursement allows entrepreneurs to carry out their business operations without any hindrance. With leading financial institutions, your loan amount would get disbursed within a few hours after you are done with the final paperwork and sign the contract. It is essential you read the terms and conditions of the loan agreement carefully before signing it. This will help you avoid any inconvenience in the later stage.

To sum it up, you can avail the loan amount within a short duration with leading financial institutions. Also, make sure that you have all the documents available with you before starting the application process. This will help you avoid any inconvenience in the later stage.

Let us have a look at the basic documents required to avail a Business loan.

  • Identity proof :(Passport/Id card/voter card/driving license/Aadhar Card)
  • Residence proof :(Passport/voter card/driving license/Aadhar Card/Ration Card).
  • PAN card
  • Salaried applicants may have to submit salary slip of the last three months and bank statements of the last six months
  • Self-employed applicants have to submit the ITR for the last three years.

After availing the business loan you must ensure that you make its timely repayment. Calculating your business loan EMI before availing the loan can prove to be extremely helpful in making timely repayment. You can easily calculate your business loan EMI by using an online business loan EMI calculator.

Let us have a look at how the monthly EMI is calculated using a business loan EMI calculator.

The basic formula used by business loan EMI Calculator is:

E = P x r x (1+r)^n/ ((1+r)^n-1),

Where,

  • E stands for monthly installments, basically the EMI.
  • P is the amount that you want to borrow.
  • R is the rate of interest
  • N is the loan tenure in months.

Now that you have a fair idea of the various aspects of small business lending, ensure that you make the most of it to take your business to greater heights. If you are in need of urgent funds for your business, it is essential that you opt for a business loan form online lender rather than opting for small business bank loans. With online lenders, you will be able to receive the loan amount quickly and conveniently.

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