HDB Business Loan

Businesses often require financial support to meet their working capital needs, to manage cash flow, or expand and invest in inventories. HDB business loans offer MSME loans or unsecured business loans the right solutions to help them overcome these challenges. With flexible loan amounts of up to ₹30 lakhs, attractive interest rates and comfortable repayment tenure of up to 48 months. Giving businesses timely access to funds which enhances their operational efficiency, growth, and the ability to seize opportunities in the competitive market.

HDB Business Loan Interest Rate & Charges

Taking a loan requires understanding the interest rate involved, as it determines the cost of borrowing and impacts the total amount you need to pay over the loan tenure. HDB offers competitive interest rates as well as minimal charges, making HDB business loans affordable and transparent.

Given below are the HDB business loan interest rate as well as the applicable charges:

HDB Business Loan Calculator

The HDB business loan calculator is an important tool that can help businesses have a clear understanding of the EMI they need to pay every month. The calculator helps you assess your affordability of the loan making it easier for you to effectively plan your finances. Using the Business Loan Calculator helps you align your loan repayments with your cash flow, avoid overborrowing, and manage your finances more efficiently.

Using the calculator is easy, all you need to do is enter your loan amount, the interest rate and the tenure of the loan.

Types of Business Loan by HDB

HDB offers three different types of business loans; Business loans for Professionals, Business loans for individuals, and Business loans for Pvt companies and Partnership Firms.
Below are the different types of loans given in detail.

HDB Business Loan For Professionals

This type of business loan is specifically given to doctors, chartered accountants, architects, and company secretaries. To help them meet urgent financial needs or give them funds for setting up or expanding their office or clinics. The loan can also be used for purchasing equipment or to manage working capital.

Here are the HDB loan details:

HDB Business Loan For Individuals

This business loan for individuals provides financial support to sole proprietors, partners, and directors in the manufacturing, trading, and service sectors. It offers assistance to start a new venture, expand existing businesses, purchase equipment or inventory or manage working capital.

Here are the details of the loan:

HDB Business Loan For Pvt Cos & Partnership Firms

HDB offers business loans for Private Companies and Partnership Firms in the manufacturing, trading, and services sectors. Providing funds for business expansion, working capital, or purchase of inventory.

Here are the details of the loan:

HDB Business Loan Documents

Different documents are required for the different types of business loans, these are given below:

HDB Business Loan For Professionals

• Proof of Identity & Address: Passport, Voter ID, Driving License, PAN Card (for Entity, Proprietors/Partners/Directors, Security providers, and guarantors), Aadhaar Card, and a photo.
• Address proof for Entity, Proprietors/Partners/Directors, Security providers, and guarantors can include: Driving License, Voter ID, Utility Bill (not older than two months, such as electricity, telephone, post-paid mobile phone, piped gas, or water bill), Registered Rental Agreement, Letter of allotment of accommodation from employer, or leave and license agreements with employers allotting official accommodation.
• Date of Birth Proof: Driving Licence, PAN Card, Passport Copy, Birth Certificate, or 10th/12th mark sheet bearing the date of birth.
• Bank Statements: Latest bank statements or bank passbook for the last 6 months.
• Income Tax Returns (ITR): The latest ITR along with computation of income, Balance Sheet, and Profit & Loss account for the last 2 years certified by a CA, including schedules, Notes to Accounts, Tax audit reports, and Statutory Audit reports.

HDB Business Loan For Individuals

• Proof of Identity & Address: Passport, Voter ID, Driving License, PAN Card, Aadhaar Card, or proof of possession of Aadhaar number, and a photo.
• Address proof options include: Driving License, Voter ID, Utility Bill (not older than two months, such as electricity, telephone, post-paid mobile phone, piped gas, or water bill), Registered Rental Agreement, Letter of allotment of accommodation from employer, or leave and license agreements with employers allotting official accommodation.
• Date of Birth Proof: Driving License, PAN Card, Passport Copy, Birth Certificate, or 10th/12th mark sheet bearing the date of birth.
• Bank Statements: Latest bank statements or bank passbook (updated within 90 days).
• Income Tax Returns (ITR): Latest ITR along with computation of income, Balance Sheet, and Profit & Loss account for the last 2 years certified by a CA.
• Proof of Continuation: Trade license, Establishment certificate, or Sales Tax certificate.
• Other Mandatory Documents: Sole Proprietorship Declaration, Certified Copy of Partnership Deed, Certified Copy of Memorandum of Association (MOA), Articles of Association (AOA), and Board Resolution.

HDB Business Loan For Pvt Cos & Partnership Firms

• Proof of Identity: Passport, Voter ID, Driving License, PAN Card, Aadhaar Card, or proof of possession of Aadhaar number (on a voluntary basis), and a photo.
• Address proof: Driving License, Voter ID, Utility Bill (not older than two months from any service provider such as electricity, telephone, post-paid mobile phone, piped gas, or water), Registered Rental Agreement, Letter of allotment of accommodation from employer, or leave and license agreements with employers allotting official accommodation.
• Proof of Date of Birth: Driving License, PAN Card, Passport Copy, Birth Certificate, or 10th/12th mark sheet bearing the date of birth.
• Bank Statements: Latest bank statements or bank passbook that is updated within the last 90 days.
• Income Tax Returns (ITR): Latest ITR along with computation of income, Balance Sheet, and Profit & Loss account for the last 2 years, certified by a CA.
• Proof of Continuation: Trade license, Establishment certificate, Sales Tax certificate, or SSI Registration.
• Other Mandatory Documents: Sole Proprietorship Declaration, Certified Copy of Partnership Deed, Certified True Copy of Memorandum & Articles of Association (certified by a Director), and Original Board Resolution.

Features & Benefits of HDB Business Loan

HDB business loans offer businesses the following features and benefits:

• Flexible Loan Amount: Get short-term, intermediate-term, or long-term financing as HDB Financial Services offers Business Loans up to ₹30 lakh. These funds can be used to invest in infrastructure, expand operations, purchase equipment or inventory, or increase working capital.
• Competitive Interest Rates: HDB business loan interest rate ranges from 10% – 30%, providing businesses with the best low-interest loans.
• Flexible Repayment Tenure: Enjoy business loans with a repayment tenure ranging from 12 to 48 months, allowing you to pay EMIs comfortably without financial strain.
• Hassle-Free Documentation Process: Experience a simplified and efficient documentation process with HDB business loans. Simply submit the necessary documents to get started.
• Doorstep Service: You can get a hassle-free loan process as HDB offers dedicated professionals who will assist businesses with your business loan application right at your doorstep.
• Quick Processing and Speedy Disbursal: Get quick loan processing and rapid disbursal with HDB.
• No Collateral Required: There is no collateral or security required, allowing businesses to utilize the funds without added financial burden.

If you want to compare business loans from other lenders, check for different business loan options from various lenders from the links given below:

Steps to Apply for HDB Business Loan

You can easily apply for an HDB business loan through the HDB website, here are the steps that you can follow:

Apply for HDB Business Loan on Website:

• Step 1: Visit the HDB website and navigate to the ‘Apply Now’ page
• Step 2: Enter your personal details and verify your mobile number with an OTP.
• Step 3: Provide your professional details.
• Step 4: Upload the necessary documents.
• Step 5: Your business loan application will be accepted, and a representative will contact you shortly.

Apply for HDB Business Loan on App:

• Step 1: Download the ‘HDB On The Go’ Android app
• Step 2: Verify your mobile number with an OTP.
• Step 3: Select ‘Apply for a New Loan’.
• Step 4: Enter the required loan and applicant details.
• Step 5: Provide the necessary address information.
• Step 6: Complete the image and signature submission.

Steps to Apply for a Business Loan with Buddy Loan

You can also get an HDB business loan through Buddy Loan, here are the simple steps you can follow:

• Step 1: Visit buddyloan.com or Download & install the Buddy Loan app (Android or iOS).
• Step 2: Open the business loan application page. Enter your mobile number and OTP.
• Step 3: Specify the desired loan amount and email. Next, choose the Business Loan option.
• Step 4: Choose if you have a Business Proof (Yes/ No)
  • If ‘Yes’ (If you have a business proof), enter your business and personal details.
    Or
  • If ‘No’ (If you do not have a business proof), choose the profession type and enter your personal details.
• Step 5: Provide income details and Click the ‘Submit’ button.

Besides HDB business loans, you can check out more on business loans from the links provided below: