Your eligibility for a business loan will depend upon multiple factors, varying from one lender to the other. The primary criteria of course will be whether you’re found capable of repaying the loan or not. Banks and NBFCs offering business loans to customers run all kinds of checks on the concerned businesses, including their future scope, financial statements, profits, annual revenues and more. For instance, the lenders will make a fair assessment of your repayment ability by gauging the kind of organization you wish to create, or have already created. It is only after carrying out all these comprehensive checks, they will determine the minimum and maximum business loan amount you are eligible for. Furthermore, considering the fact that business loans normally don’t require any collateral, the lenders are extra careful during the approval process and take all measures to ensure that their investment is secure.
In case, you wish to quickly learn about the business loan amount you’re eligible for, you can make use of the business loan eligibility calculator available on our website. You’d need to enter your net profit per month, any existing loan commitments, the required business loan tenure and expected interest rate, to calculate the figure. Being aware of your business loan eligibility can prepare you for what lies ahead and enable you to take corrective measures to ensure a hassle-free loan process. Below-detailed are some of the major factors that all big banking establishments and NBFCs consider while approving the business loan applications: