Business owners have many credit options at their disposal and are looking to scale up their enterprises to cater to increasing demand from within the country and overseas.
One of the credit options is an MSME loan. To apply for an MSME loan, you need to provide certain documents that prove your eligibility and creditworthiness. These documents are necessary to ascertain your business, the industry, and the long-term growth prospects before the loan is sanctioned.
You can get access to financing up to Rs. 80 lakh with the business loan from Bajaj Finance in 48 hours*. However, the key to obtaining funding quickly is to produce the correct documents required for an MSME loan at the time of application.
Lenders thoroughly examine your MSME loan documents as this paperwork reveals aspects like profitability, nature of business, ownership, physical address, and business vintage. Having these handy ensures that discrepancies are kept at bay, and your application gets approved without any hiccups. Here are the documents required for MSME loans so you can secure fast funding to grow your business.
Additional read: Benefits of MSME loan
General documents required for MSME loans
When applying for an MSME loan, the required documents normally include KYC documents, entity documents and financial statements.
Here is a list that can serve as a general MSME loan document checklist.
- Identity proof: PAN card, Aadhaar card, driving licence, passport, voter’s ID, etc.
- Address proof: Ration card, electricity bill, lease agreement, trade licence, etc.
- Financial documents: Last two years ITR, audited balance sheets, profit and loss statement, the last 6 months’ bank statements, projected turnover, etc.
- Business proof: Registration certificate, memorandum, and articles of association, other certificates of business’ existence
Specific documents as per your business type
The documents required for MSME loans differ as per business type.
- Sole proprietorships: A registration certificate, ITR, or another proof of business identity. In case you are a self-employed professional (SEP), you should produce proof of your qualification. For self-employed non-professionals (SENP) like retailers and traders, proof of business suffices.
- Companies: Certificate of incorporation, memorandum of association, articles of association
- Partnership firms: Registration certificate, partnership deed
- Private limited companies: Registration certificate, articles, and memorandum of association
How to get an MSME loan from Bajaj Finance
The actual list of documents required for MSME loans that you need to produce depends on the lender you apply to. For instance, when you choose Bajaj Finance, you can obtain an MSME loan by producing just two documents. This collateral-free loan comes on cost-effective terms with powerful features like the Flexi Loan facility. It allows you to borrow from your sanction in parts, as per your needs, and pay interest only on the amount withdrawn. This way, you can improve your business cash flow and tackle regular or irregular expenses with ease.
Further, you can check your pre-approved loan offer before applying and streamline the application process and expediting disbursal. Single-step verification gives you instant financing that you can use to decongest bottlenecks in your supply chain and scale your business quickly.
