LoansBazaar India • Startup & MSME Finance Assistance

Startup Business Funding Loans in India

Explore startup business funding options from Commercial Banks, NBFCs and Small Finance Banks. Review indicative loan amounts, interest rates, repayment tenures, fees, eligibility factors and documents before submitting a loan enquiry.

Bank & NBFC Options Startup & MSME Funding Application Assistance
Page information date: 24 October 2026
Important rate note: Interest rates, loan amounts, tenures and processing fees shown on this page are reproduced from the supplied information and have not been independently verified against current official lender documents. They are indicative only and are not a lender quote or an assurance of eligibility or approval. Please confirm current terms directly with the relevant lender before applying.

Startup Business Loan Options at a Glance

Commercial Banks

May offer competitive pricing for eligible applicants with suitable credit history, documented income, business activity and lender-specific eligibility.

View Bank Rates

NBFCs & Fintech Lenders

Funding options for eligible businesses with varying credit, cash-flow and business-vintage requirements. Pricing and fees can differ significantly.

View NBFC Rates

Small Finance Banks

Options for eligible micro and small enterprises, subject to each bank's products, geography, credit checks and underwriting policies.

View SFB Rates

1. Commercial Banks (Public & Private)

Commercial banks may offer a range of business finance products. Eligibility can depend on business activity, credit profile, financial records, collateral or scheme rules.

Bank NameLoan AmountTenureInterest Rate (p.a.)Processing FeeNext Step
State Bank of India (SBI SME / Udaan)₹10 Lakh – ₹50 Cr+Up to 10 years9.00% – 13.50%0.50% – 1.50% + GST
HDFC Bank (HDFC Business Loan)Up to ₹75 Lakh – ₹1 Cr1 to 4 years9.99% – 21.00%Up to 2.50% + GST
ICICI BankUp to ₹1 Cr (Unsecured)1 to 5 years11.00% – 18.00%1.00% – 2.00% + GST
Axis Bank (Axis Business Loan)Up to ₹2 Cr6 to 60 months11.00% – 25.00%Up to 2.00% + GST
Kotak Mahindra BankUp to ₹1 Cr1 to 5 years9.50% – 20.00%Up to 2.00% + GST
Bank of BarodaUp to ₹5 Cr+Up to 7 years9.25% – 14.50%0.50% – 1.25% + GST

2. NBFCs & Fintech Lenders

NBFC and fintech business finance products may have different underwriting models and repayment terms. Faster processing is not guaranteed; eligibility, documentation and final decisions vary by lender.

NBFC NameLoan AmountTenureInterest Rate (p.a.)Processing FeeNext Step
Tata Capital (Tata Startup Loan)Up to ₹75 Lakh – ₹1 Cr1 to 3 years12.00% – 24.00%Up to 2.00% – 3.00% + GST
Bajaj FinanceUp to ₹80 Lakh1 to 8 years14.00% – 26.00%Up to 3.00% + GST
L&T Finance (L&T Business Finance)Up to ₹1 Cr1 to 5 years10.00% – 20.00%1.00% – 3.00% + GST
LendingkartUp to ₹40 Lakh6 to 36 months13.50% – 27.00%2.00% – 4.00% + GST
Poonawalla FincorpUp to ₹50 Lakh1 to 3 years15.00% – 24.00%Up to 3.00% + GST
Shriram Finance (Shriram MSME Loan)₹1 Lakh – ₹10 CrUp to 7 years10.00% – 22.00%Up to 2.50% + GST
Indifi / NeoGrowth₹2 Lakh – ₹50 Lakh6 to 36 months18.00% – 28.00%2.00% – 3.50% + GST

3. Small Finance Banks (SFBs)

Small Finance Banks may serve micro and small enterprises, subject to product availability, location, documented business activity, credit assessment and other lender rules.

Small Finance BankLoan AmountTenureInterest Rate (p.a.)Processing FeeNext Step
AU Small Finance BankUp to ₹1 Cr1 to 5 years12.00% – 22.00%1.50% – 2.50% + GST
Equitas Small Finance BankUp to ₹50 Lakh1 to 5 years13.00% – 24.00%Up to 2.50% + GST
Ujjivan Small Finance BankUp to ₹30 Lakh1 to 4 years13.50% – 24.00%Up to 2.00% + GST
Jana Small Finance BankUp to ₹25 Lakh1 to 3 years14.00% – 26.00%Up to 2.50% + GST
Slice SFB / Capital SFB₹1 Lakh – ₹20 Lakh1 to 3 years11.10% – 24.00%Up to 2.50% + GST

Government-Backed Startup & Business Funding Schemes

Pradhan Mantri MUDRA Yojana (PMMY)

Eligible micro enterprises may explore MUDRA loan categories such as Shishu, Kishore and Tarun. The applicable amount, category, eligibility and any enhanced category conditions must be confirmed from current official scheme guidance and the lending institution.

Credit Guarantee Scheme for Startups (CGSS)

Eligible startups may check whether a participating lender can consider credit facilities under the applicable CGSS framework. Coverage is subject to scheme rules, eligible borrower criteria and lender approval; it is not a guaranteed loan.

CGTMSE

Eligible micro and small enterprises may ask lenders about credit facilities covered under the applicable CGTMSE guarantee framework. Guarantee coverage is not the same as loan approval and is subject to prevailing rules.

JanSamarth Portal

Applicants can check eligible credit-linked government schemes through the official JanSamarth portal and participating lenders. Scheme availability and eligibility can change, so verify the current details before proceeding.

Government scheme names are provided for general information only. Scheme eligibility, limits, coverage, application routes and current conditions should be verified through official government portals and participating lenders. LoansBazaar India does not guarantee scheme eligibility or sanction.

Key Eligibility Factors for Startups

Business Stage & Vintage

New idea-stage businesses and operating businesses may have different funding options. Some lenders require a documented operating history and verified business activity.

Credit Profile

Personal and business credit history, existing obligations, repayment track record and lender-specific score requirements may influence the decision.

Cash Flow & Financials

Turnover, bank statements, income-tax returns, GST records (where applicable), profitability and ability to repay may be assessed.

DPIIT Recognition & Scheme Rules

DPIIT recognition may be relevant for certain startup-specific programs. It is not a universal requirement for every business loan; check the exact lender or scheme criteria.

Credit score note: A score of 700+ may support an application with some lenders, but it is not a universal mandatory threshold for every unsecured loan. Each lender uses its own eligibility and underwriting criteria.

Documents Required for a Startup Business Loan

The exact list depends on the applicant type, lender, amount, security and government scheme. Prepare the applicable documents from this checklist:

Applicant KYC

  • PAN card
  • Aadhaar or other accepted identity proof
  • Current address proof
  • Recent photograph, if requested
  • Contact details and applicant information

Business Proof

  • Business registration / incorporation documents
  • Partnership deed or LLP/company documents, where applicable
  • Udyam Registration, if applicable
  • GST registration and returns, if applicable
  • DPIIT recognition certificate, if applicable to the scheme

Financial Documents

  • Business and personal bank statements, as requested
  • Income-tax returns and financial statements, where available
  • Profit & loss statement and balance sheet, if applicable
  • Sales invoices, cash-flow details and existing loan statements
  • GST returns, where applicable

Project & Loan Purpose

  • Business plan or project report
  • Estimated setup and operating costs
  • Machinery / equipment quotations, if applicable
  • Use-of-funds and repayment plan
  • Collateral or guarantor documents, only if required

Key Features of Startup Business Funding

  • Funding options may be available through commercial banks, NBFCs and Small Finance Banks.
  • Depending on the product, facilities may be secured or unsecured and may support eligible business purposes such as working capital, equipment, inventory or expansion.
  • Interest rates, fees, repayment frequency and tenure vary by lender and applicant profile.
  • Government-backed credit guarantee programs may be relevant for eligible applicants, but they do not guarantee loan approval.
  • Compare the total borrowing cost, including processing fee, GST, insurance (if applicable), prepayment terms and other charges—not just the advertised interest rate.

How to Apply with LoansBazaar India

  1. Share your enquiry: Submit the loan enquiry form with your funding requirement and business details.
  2. Review your profile: Keep relevant KYC, business and financial documents ready.
  3. Explore options: Compare potentially suitable lender or scheme options, subject to availability and eligibility.
  4. Submit application: Complete the lender's required application and verification process.
  5. Lender decision: The lender independently evaluates the application and decides the final amount, rate, tenure and approval.

Looking for Startup Business Funding?

Submit your enquiry to explore potentially suitable business loan options. Applying through LoansBazaar India is a request for assistance, not a guarantee of loan approval.

Other Business & Loan Products

Business Loan

Explore funding options for eligible business needs.

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Working Capital Loan

For eligible short-term operational and cash-flow requirements.

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Machinery & Equipment Loan

Explore financing for eligible business machinery and equipment.

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Loan Against Property (LAP)

Secured funding may be considered against eligible property, subject to lender rules.

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Commercial Vehicle Loan

Finance options for eligible commercial vehicle purchases.

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Professional / Personal Loan

Explore other loan enquiry options based on your profile and requirement.

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Frequently Asked Questions

Can a startup apply for a business loan without a long business history?

Possibly, depending on the lender and product. Idea-stage startups may need a viable project plan, promoter contribution or other supporting information, while many regular business loan products assess operating history and cash flow. Check scheme-specific criteria before applying.

Is DPIIT Startup recognition required for every startup loan?

No. It may be relevant to certain startup-specific schemes, but not every bank, NBFC or SFB product requires DPIIT recognition. Confirm the requirements for the specific product or scheme.

Is a 700+ credit score mandatory?

Not universally. Credit score requirements vary by lender, product and applicant profile. A stronger repayment history may help, but approval depends on the lender's complete assessment.

Are the interest rates shown guaranteed or the lowest in India?

No. The figures are indicative and have not been independently verified against current official lender documents. Actual pricing and approval depend on lender policy, credit profile, documents, business activity and other factors.

Does applying through LoansBazaar India guarantee approval?

No. LoansBazaar India provides loan enquiry and application assistance. The lender makes the final decision on eligibility, approval, amount, interest rate, tenure and charges.

How can I estimate the monthly EMI?

Use the EMI Calculator to estimate a possible repayment amount. The result is an estimate; the lender's final repayment schedule may differ due to the sanctioned rate, fees, repayment structure and other terms.

Contact LoansBazaar India

Website: loansbazaarindia.com

Loan Enquiry / Apply Now: Submit an online enquiry

Compare Loan Options: Compare

EMI Calculator: Calculate estimated EMI

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Important Disclaimer

LoansBazaar India is a loan enquiry and application assistance platform and is not a bank or lender. This page is for general information only. The lender names, product names, loan amounts, interest rates, tenures and processing fees above are reproduced from information supplied for this page and have not been independently verified against current official lender documents as of the page information date, 24 October 2026. The date does not mean that rates or scheme terms have been verified. Terms may change without notice. Actual eligibility, interest rate, loan amount, tenure, fees, collateral requirements and approval are subject to the relevant lender's current policies, documents, credit assessment and final decision. Government scheme eligibility and benefits are subject to current official rules and participating lender requirements. Listing a lender does not imply a partnership, endorsement or guaranteed product availability. Apply Now buttons lead to the LoansBazaar India enquiry page, not directly to the lender's official application portal. Please verify all details and charges with the lender before making a financial decision.