Urban Money

Tata Capital Financial Services LTD Business Loan

Tata Capital Financial Services LTD
4.5

Business loans are a perfect solution for when you need finance to expand your business, upgrade your machinery, or boost production. Apply for a Tata Capital business loan which offers a loan of up to Rs. 75,00,000 at an interest rate of 19% onwards. You can repay the loan amount in 12 to 36 months.

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Business Loan Banks

Interest Rate

Processing Fee

Loan Amount/Tenure

Tata Capital Financial Services LTD Business Loan Interest Rate

19%

1.5% - 2.5%

₹5L - ₹75L

Tenure(1 - 3 Years)

Details

Features & Benefits of Tata Capital Business loan

Multi-purpose Loans

You can customise the Tata Capital business loan as per your requirements. Fund your capital, update your machinery or add to your enterprise’s finance with the unique multifunctional loans.

No Security

With Tata Capital, you can avail of business loans without any security. You do not need to provide your financial or personal assets as collateral to secure finance.

Organised EMI Plans

Tata Capital provides an extended loan tenure from 12 to 36 months, ensuring that you can easily repay the funds. You can also choose your instalment period and amount per your cash flow.

High Eligibility and Simple Documentation

Tata Capital business loan eligibility criteria are relaxed, making it easier to get the loan. The application and approval process is simple and requires basic paperwork.

Tata Capital Business loan Overview

Business loans are a perfect solution for when you need finance to expand your business, upgrade your machinery, or boost production. Apply for a Tata Capital business loan which offers a loan of up to ₹75,00,000 at an interest rate of 19% onwards. You can repay the loan amount in 12 to 36 months.

  • Women entrepreneur’s loan to fund businesses led by women
  • Collateral free business loans 
  • Simple application and documentation process

Tata Capital Business Loan Eligibility

  • The age of the applicant must be between 25-65 years 
  • The business should be making a profit for the past 3 successive financial years
  • The business turnover must display a rising trend
  • A registered Chartered Accountant should examine the balance sheet
  • Your CIBIL score must be 700 or more

Factors Affecting Tata Capital Business loan Eligibility

Applicants must be aware that the banks and NBFCs are able to reject the application if it does not meet their requirements. These parameters affect the Tata Capital business loan eligibility:

Age

Tata Capital offers business loans to individuals at least 25 years of age at the stage of loan approval and 65 years of age at loan maturity. 

Loan Amount

The Tata Capital business loan amount ranges from ₹5 lakh to ₹75 lakh. 

Revenue and Profitability

Your business should be in profit for the last 3 years. The business turnover should be of a minimum of ₹1,00,00,000.

Stability of Business

The track performance of the business must be of at least 36 months. The bank also verifies the minimum upsurge in three years' sales before approving the loan. A declining pattern in sales or below a certain number might affect your Tata Capital business loan eligibility.

Banking and ITR

Your bank statements and ITR are also double-checked by the bank. ITR details of 24 months and the bank statements of 2 years are a prerequisite to applying for a Tata Capital business loan. 

CIBIL Score

Tata Capital will scrutinise your credit history and repayments for all past credit cards and loans. A 700 CIBIL score or above is considered a benchmark by the bank.

Tata Capital Business Loan Fees and Charges

Tata Capital business loan requirements include fees and charges other than the interest rate. Have a look at the table below to learn about the charges.

Category/Services/Type Fees & Charges
Processing Fee 1%-2.5% of the loan amount
Foreclosure charges 4.5% of the principal outstanding on the ongoing business loan
Penal Interest 3% on Overdue Amount every month + GST
Loan Cancellation Charges 2% of the loan amount or Rs. 5750, whichever is higher + GST
Bounce Charges Rs. 2000 for every Payment Instrument Dishonour/Cheque + GST
Mandate Rejection Service Charge Rs. 450 + GST
Document Processing Charges Rs. 1,999 + GST
Swapping Charges Rs. 550 + GST
Post-dated cheque charges Rs. 850 + GST

Factors Affecting Tata Capital Business Loan Interest Rates

CIBIL Score

CIBIL score plays an important role in determining the business loan interest rates. A higher CIBIL score means higher creditworthiness and that you can repay the loan. The lender considers you a low-risk borrower.

Company Tenure

Whether small or midsize, any business must have an exceptional track record. The credit must be handled responsibly, and timely repayment must be assured. With a good business history, you will be able to bag a lucrative interest rate on business loans.

Annual Turnover

The annual turnover of your business has a significant impact on the interest rate you will be offered. A higher business turnover means that you will be offered a lower interest rate, leading to lower EMIs.

Revenue and Profit

Before deciding on the business loan interest rate, a bank always cross-checks your business’s annual, quarterly and monthly revenue. Businesses that show an upward trend and healthy financials assure the lenders that you are not likely to default on EMIs. Hence, you will be charged with lower interest rates.

Tata Capital Business Loan Interest Rates

Interest Rate 19% onwards
Loan Amount Min. ₹5 lakh & Max. up to ₹75 lakh
Collateral Not required
Repayment Tenure Min. 12 months & Max. 36 months
Processing Fee Up to 2.50% of the loan amount + GST

Documents Required for Tata Capital Business Loan

Photo Identity Proof

  • A carefully filled application with a passport size photograph
  • A copy of your passport/driving licence/Voter ID/Aadhaar card

Business Proof

  • Copy of ownership papers
  • Sales Tax certificate/Trade Licence/Establishment
  • Sole Proprietorship declaration and a certified copy of Partnership Deed agreement

Income Proof

  • Last 2 years computation and ITRs
  • Balance sheet, which a registered CA audits
  • Profit and Loss Statement for the past 2 years

Bank Statements

  • Certified bank statement of the company for the past 6 months.

KYC Documents

  • Copy of PAN card
  • Registration of incorporation
  • Memorandum & Articles of Association documents

How Does the EMI Calculation Work for Tata Capital Business Loans?

An EMI calculator for business loans helps you understand the monthly amount you will have to pay for your loan. You can learn about the monthly EMI by simply filling in your interest rate, tenure, and loan amount. Hence, you can easily plan your instalments while managing your expenses and pay off the loan comfortably.

The formula to calculate loan EMI is

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

Here, the variables are:

P – Total loan amount

R – Interest rate levied on the principal amount (monthly)

N – Loan tenure of repayment (in months)

How Does Tata Capital Compare with Other Lenders?

Lenders Rate of Interest (per annum)
SBI 8.30% onwards (on SME Loan)
Kotak Mahindra Bank 14% onwards
FlexiLoans 16% onwards
Axis Bank 17% onwards
Fullerton Finance 17% onwards
Bajaj Finserv 17% onwards
HDFC Bank 11.90% to 21.35% 
ICICI Bank 18% onwards
Lendingkart Finance 18% onwards
ZipLoan 16% onwards
IIFL Finance 18% onwards
Hero Fincorp 18% onwards
Indifi Finance 18% onwards
NeoGrowth Finance 18% onwards
Tata Capital Finance 19% onwards
RBL Bank 19% onwards
SMEcorner 19% onwards
IDFC First Bank 20% onwards
HDB Financial Services Ltd. 22% onwards
PNB Business Loan Based on the Business’s Profile
Bank of Baroda Based on the Business’s Profile

Tata Capital Business Loan Customer Care Number

For any query on applying for a Tata Capital business loan, you can contact customer service at the toll-free number 1860-267-6060. You can also mail them at contactcommercialfinance@tatacapital.com

FAQs

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

What is loan foreclosure?

Loan foreclosure is to repay the remaining or outstanding loan amount in a single payment than repaying it in multiple EMIs.

Is part payment allowed for Tata Capital business loans?

Yes, part prepayment of business loans is allowed with Tata Capital. However, you will have to pay a certain fee to make this payment.

Does Tata Capital check for CIBIL score for business loans?

Yes, banks and financial institutions check your CIBIL score before approving your business loan.

What is the maximum and minimum business loan amount I can get from Tata Capital?

Tata Capital offers business loans ranging from ₹5 lakh to ₹75 lakh.

How can I speed up my loan approval?

To get an instant loan, you should apply for your loan online, know your credit score and apply for a loan in your bank, among other things. 

Get your latest Credit Score, FREE

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