Urban Money

IIFL Finance Business Loan

IIFL Finance
4.5

IIFL Finance Limited (previously IIFL Holdings is one of the foremost financial services players in the country. With its subsidiaries, namely Samasta Microfinance Limited and IIFL Home Finance Limited, it offers a vast range of mortgages and loans to customers.

  • IIFL Finance
  • Business Loan
Loan Amount:₹1L - ₹50L
Interest Rate:12.75% - 32%
Processing Fee: 2% - 4%
Tenure:4 Years
Details
BanksInterest RateProcessing FeeLoan Amount/Tenure
IIFL Finance

12.75% - 32%

2% - 4%

₹1L - ₹50L

Tenure(1 - 4 Years)

Details

Features and Benefits of IIFL Finance Business Loan

Check out some of the attractive features and benefits of an IIFL Business Loan.

High-Value Loans IIFL Finance offers high-value business loans of up to INR 30 lakhs. Business owners can use it to finance their working capital requirements and expand their business.
Flexible Loan Tenure IIFL Finance provides a flexible loan tenure of up to 5 years. It allows you to opt for a loan tenure according to your repayment capacity.
Zero Collateral IIFL Finance provides unsecured business loans. The applicant is not required to mortgage his asset or property against the loan.
Swift Disbursal IIFL Finance offers easy processing and quick disbursals. Upon approval, loans are disbursed within 48 hours.

IIFL Finance Business Loan Eligibility Criteria

Business vintage A minimum of 2 years in the industry
Credit history A positive credit score above 750
Type of business Proprietorship firms (in business of manufacturing, trading and services)
Zero Defaults The applicant’s credit history shouldn’t have any defaults with other financial institutions
Citizenship The applicant should be an Indian citizen with no criminal records
Age The borrower’s age shouldn’t exceed the age limit of 60 at the time of maturity.

IIFL Finance Business Loan: Fees and Charges

Processing Charges 2% - 4% on loan amount + GST
Cheque return charges INR 500 + GST per instance
Cheque swapping charges INR 500 + GST per instance
Duplicate statement/ Amortisation/Repayment schedule/sanction letter INR 200 + GST per instance
Penal Interest 24% per annum
Repayment or foreclosure charges (approval required)
  • 1-6 months: 7% + GST
  • 7-24 months: 5% + GST
  • 25-36 months: 5% + GST
Loan cancellation Interest will be charged for the period between loan disbursement and loan cancellation
Document charges At actuals
Security creation and perfection charges At actuals
Property valuation charges At actuals
Legal collection charges At actuals
Stamp duty charges At actuals
Inspection charges At actuals
Incidental charges At actuals
Any other charges (depends on the case) At actuals

IIFL Finance Business Loan Interest Rates

IIFL FINANCE business loan interest rates vary from individual to individual. It primarily depends on the age, financial standing, annual turnover of the business, and the nature of the organisation of the applicant. IIFL FINANCE offers attractive and customised interest rates ranging from 12.75% to 32% p.a.

Factors Affecting the IIFL Finance Business Loan Interest Rates

The IIFL Business Loan interest rates are determined via scrutinising the below factors concerning the borrower. 

CIBIL Score

The CIBIL score determines an individual’s credit repayment ability. A CIBIL score above 750 can lead to attractive interest rates at IIFL.

Loan Amount

Higher loan amounts result in lower interest rates and, in turn, lower EMIs. IIFL Finance offers business loans of up to INR 30 lakhs.

Annual Turnover

A high annual turnover reflects the profitability of the business and repayment capacity of the applicant. This augments the trustworthiness of the borrower, fetching them more affordable interest rates.

Business Vintage

To avail of a business loan with IIFL Finance, your business must have a minimum vintage of 3 years. If your business has been operating for more than three years, you can get a loan with lower interest rates.

IIFL Finance Business Loan Repayment Schemes

IIFL Finance allows you to repay your business loan with ease. You can opt for a repayment mode that suits your convenience in the comfort of your home. IIFL Finance provides you with three options:

Payment Modes How?
Branch Repayment You can pay your loan through the traditional method by going to the nearest IIFL branch.
Online Repayment You can opt for the net banking services provided by IIFL FINANCE for business loan repayment online.
Repayment by App You can also use the official app of IIFL Finance (both Android and iOS compliant) to repay your business loan EMIs. In the app, you will also be able to view your account summary, complete statement, access interest certificate and submit a query from the app.

IIFL Finance Business Loan: Documents Required

The applicant is required to submit the following documents to avail a business loan with IIFL Finance:

Identity proof
  • PAN card
  • Aadhaar card
  • Voter ID
  • Driving Licence
  • Valid passport
Address Proof
  • PAN card
  • Aadhaar card
  • Voter ID
  • Driving Licence
  • Valid passport
Bank Documents
  • Bank statements of the previous 3 months of the main account
  • The latest ITR
  • Income statement of the past 2 years
  • Balance sheet of the past 2 years
  • P&L account of the past 2 years
  • PAN card of the firm, company, or the individual
Note: all the above documents should be verified and audited by a Chartered Accountant
Business Documents
  • ITR records
  • Trade Licence
  • Establishment proof
  • Sales tax certificate
  • Signed copy of standard terms
  • GST registration certificate
  • Sole Proprietorship Declaration or certified copy of partnership deed
  • Certified copy of Memorandum of Association and Articles of Association

IIFL Finance Business Loan EMI Calculator

A business loan is a crucial commitment. Before availing of the loan, you should first decide on the loan amount required. You can get estimated repayment figures with Urban Money's Business Loan EMI Calculator. 

Feed the loan amount, tenure and interest rate in the allocated spaces. An estimate will be displayed on your screen.

 Alternatively, you can calculate the EMI manually using the formula given below. 

EMI= [P x R x (1+R)^N]/[(1+R)^ (N-1)] 

Here,

  • P = Principal loan amount
  • R = rate of interest
  • N = tenure of the loan (in months)

How Does IIFL Finance Compare with Other Lenders?

IIFL Finance 12.75% - 32% p.a.
DHFL 17% p.a. onwards
Magma Fincorp 15% - 26% p.a.
Tata Capital 19% p.a. onwards
Standard Chartered Bank 17.25% p.a. onwards
Axis Bank 14.25% – 18.50% p.a.
RBL Bank 17.25% - 25% p.a.
Bajaj Finserv 17% p.a. onwards

IIFL Finance Customer Care

To enquire about IIFL Finance business loans, you can reach out to the IIFL customer care number at 1860-267-3000/ 7039-050-000. You can also drop an email at [email protected]

FAQs

From refinancing to reducing your interest, we have the answers right here.

Will I be sanctioned the same loan amount as estimated during the online application?

The loan amount sanctioned by IIFL primarily depends on your credit history, business vintage, and annual turnover.

What if I don't submit the required documents while applying for a business loan online?

If you don’t submit the documents, the company won’t be able to determine your eligibility for availing of the business loan. Hence your loan application will be on hold.

How quickly can we get the funding?

After a successful verification process of your documents, IIFL disburses your loan in 48 working hours.

What is the maximum business loan amount I can get from IIFL Finance?

IIFL Finance provides high-value business loans up to INR 30 lakhs.

What are the documents required for an IIFL Finance business loan?

To avail of an IIFL Finance business loan, you are required to submit KYC documents (address proof and identity proof), bank statements, business registration documents and other financial documents specified by IIFL to verify your financial stability.

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