Poonawalla Fincorp Limited Business Loan

Features and Benefits of Poonawalla Fincorp Limited Business Loan

Poonawalla Fincorp Limited is among the greatest companies that offer unsecured business loans. No security or several documents are required to acquire the loan. Poonawalla Fincorp Limited business loan ensures a hassle-free experience and optimised every step of the process. A borrower can apply for a Poonawalla Fincorp Limited business loan in just a few minutes and have the entire sanction disbursed. A borrower won't need to worry about running out of money thanks to the Poonawalla Fincorp Limited Business Loan.

The features and benefits of the Poonawalla Fincorp Limited Business Loan are mentioned below:

• A business loan up to INR 50 lakhs may be approved.
• Another benefit is faster and more seamless disbursement. Poonawalla Fincorp provides rapid loans online, so you can always get the money you need for your business without fuss. 
• It offers a low-interest rate to increase profits.
• It provides an unsecured business loan which eliminates the need to present collateral.
• The company requires most fundamental business loan paperwork to shorten processing times and speed up loan approval. 
• It provides speedy approvals on business loans. You can apply for a loan online, which will be processed quickly, allowing you to receive an immediate business loan.

In five easy steps, one can apply for a Poonawalla Fincorp Limited business loan online, receive quick approval, and instantly have the money credited to their account.

Eligibility Criteria Poonawalla Fincorp Limited Business Loan

A borrower must glance through the Poonawalla Fincorp Limited business loan eligibility criteria to avoid inconsistencies in the loan application, guarantee a quick approval of the request, and provide the longest possible loan term. To qualify for an unsecured business loan, the applicant must meet the following Poonawalla Fincorp Limited business loan eligibility criteria.

• Applicant must be between the age of 22 and 65 at the time of loan maturity 
• The business must be at least two years old 
• The annual turnover of the business must be a minimum of INR 9 lakhs

Factors Affecting Poonawalla Fincorp Limited Business loan Eligibility

Various factors affect the Poonawalla Fincorp Limited business loan eligibility. A borrower must go through the following factors to increase their chances of getting approved for the loan.

Documents

The lenders ask for documentation of your identity, the background of your company, your salary, and your residence. Consequently, you must affix all necessary documentation to the back. Your request for a business loan may be denied if you are unable to provide the supporting documents for the proofs mentioned above. As a result, the documentation can also affect your ability to get a bank loan for your business.

Cash Flow

The money flow in business activities is a crucial element in determining eligibility. The eligibility restrictions will be eased if your company has a healthy cash flow. It would help if you successfully managed your cash flow so that there is still liquidity in the business.

Turnover

The annual turnover of the business determines the size of your business loan. If you are willing to take out a long-term, sizable company loan, you must have a high turnover rate. Your eligibility for the loan will be impacted by the turnover, which will decide the loan amount.

Business Age

If you are unable to provide evidence of the length of your company's history, there is a good chance that your loan application will be rejected. A prerequisite is the company's age. Some banks require a significant vintage period, which you may prove using your ITR.

Poonawalla Fincorp Limited Business Loan Interest Rates

A borrower must choose the Poonawalla Fincorp Limited business loan as the loan payments are affordable, and the interest rate ranges between 15% and 28%. Poonawalla Fincorp Limited's business loan interest rate depends upon your financial standing and creditworthiness. Businesses can dabble with capital cost as allowed by their financial standings. The company is proud of its unsecured business loan interest rates.

Factors Affecting Poonawalla Fincorp Limited Business Loan Interest Rates

Some factors influence an interest rate. These elements are also very important in determining various interest rates and EMIs. The factors affecting Poonawalla Fincorp Limited business loan interest rate are explained below.

CIBIL Score

The likelihood of getting a loan approved increases with a higher credit score and lower interest rate. It will be beneficial if the credit score lies between 650 and 900.

Business Vintage

When a company can demonstrate that it has been in operation for two years or more, Poonawalla Fincorp Limited will grant a loan to that company. A company operating for a while qualifies for a business loan with a lower interest rate. 

Business Type

The kind of business you are in greatly affects the interest rate that is being given. You can be required to pay a higher business loan interest rate if your company is considered to be of greater or moderate risk.

Business Plan 

The lender will need a copy of your business plan to ascertain how you intend to expand and repay the loan. So, to improve your chances of getting a loan, you must have a solid vision and business plan. Your loan will also be authorised at a cheaper interest rate. If you don't make a compelling case for your firm, you can have to pay higher interest rates. Your monthly income is important in calculating the rate because it will demonstrate your ability to make payments.

Poonawalla Fincorp Limited Business Loan Fees and Charges

There are various fees a lender charges to carry out the process of a loan. To meet the Poonawalla Fincorp Limited business loan requirements, the loan provider has the following fees and charges.

Interest Rates	15% - 28%
Amount	INR 1 lakh - 50 lakhs
Processing Fees	Up to 3% plus applicable taxes
EMI (Per Month)	Starting from INR 3,467 per Lakh
Tenure	12 - 36 months
Prepayment/Foreclosure Charges	5% of the outstanding loan amount plus applicable taxes
Late Payment Charges	3% per month
Cheque Bounce Charges	INR 1000 plus applicable taxes per bounce
Stamp Duty	Varies as per State

Note: The information provided in the table above is dated 18.11.22. The company has no other hidden charges.

Documents Required for Poonawalla Fincorp Limited Business Loan

A borrower must have the knowledge of the documents required for Poonawalla Fincorp Limited business loan, as it makes the whole process run smoothly. The following are the documents that each person applying for Poonawalla Fincorp Limited business loan must produce to be considered for an SME or a business loan.

• For KYC: Firm or company’s documents like address proof, GST Registration Certificate (if applicable), PAN Card, and other applicable registration certificates.
• For KYC: Aadhaar card, PAN card, utility bills, Index II, rent agreement, etc., of the partner, director, or proprietor
• Documents of income
• Receipts of GST returns
• Profit/loss statement and balance sheet of the last two years.
• Last two years of Income Tax Returns (ITRs)
• Bank account statement for the past six months

How Does the EMI Calculation Work for Poonawalla Fincorp Limited Business Loans?

Equated Monthly Instalment (EMI) is a predetermined monthly payment paid by a borrower to a creditor on a predetermined date each month. A borrower must calculate EMI before applying for Poonawalla Fincorp Limited business loan as the result assists in making financial decisions. Calculate the EMI of Poonawalla Fincorp Limited business loan using the following three ways.

Online EMI Calculator 

Poonawalla Fincorp provides a free EMI calculator for business loans in India to simplify loan planning. You can use it to compute the Business Loan EMI, determine the overall interest expense, and view the amortisation schedule to understand payments better.

Manual

If a borrower refuses to use the online calculator for EMI calculation, they can use the following formula to do the required calculations. However, this is a time process and is prone to errors.

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

Here, ‘P’ represents the loan amount, ‘R’ represents the interest rate, and ‘N’ represents the tenure. 

Microsoft Excel 

A borrower can get the desired result by inputting the ‘PMT’ formula in an excel file. Again, this method has room for errors and can be confusing. Once the formula is in place, the borrower will need to enter the data in the below-mentioned variables.

• "Rate": This is the interest rate calculated on a monthly basis (interest rate / 12).
• "NPER" denotes the loan tenure in months.
• PV: This stands for primary value or loan amount.

Make sure to input these details with the parameters "FV" and "Type" set to 0 and 1, respectively.

How Does Poonawalla Fincorp Limited Compare With Other Lenders?

Several companies offer business loans. An applicant must go through each company and select the one that caters to their needs the most. A comparison has been drawn in the below table based on the Poonawalla Fincorp Limited business loan interest rate and other lenders.

Bank or NBFC Offering Business Loan	Interest Rate (P.A.)
Poonawalla Fincorp Limited	15% - 28%
HDFC Bank	10.00% - 22.50%
Axis Bank	14.65% - 18.90%
IDFC First Bank	14.50% onwards
Kotak Mahindra Bank	16% - 19.99%
Fullerton Finance	17% - 21%
Bajaj Finserv	15% - 24%
RBL Bank	17.50% - 25%
ICICI Bank	17% onwards
Tata Capital Finance	19% onwards
NeoGrowth Finance	19% - 24%
Hero FinCorp	Up to 26%

Note: The interest rates provided in the table above are dated 18.11.22.

Poonawalla Fincorp Limited Business Loan Customer Care Number

A business loan is a weighted decision but an absolutely important one. Various queries need to be addressed when applying for a Poonawalla Fincorp Limited business loan. The company provides its clients with the best customer service that aids them in resolving their problems. An applicant or a client can contact the customer service mentioned below:

Registered and Corporate Office

Address: 201 and 202, 2nd Floor, AP81, Koregaon Park Annex, Mundhwa, Pune, 411036

Phone Number: +91 20 67808090

E-mail ID: info@poonawallafincorp.com

Toll-Free Number: 1800-266-3201 (9.00 AM - 7.00 PM) (Monday to Saturday)

The number can not be contacted on public holidays and Sundays

E-mail ID: customercare@poonawallafincorp.com