What are MSME Loans?
On the surface, it is a straightforward question, with a fairly straightforward answer. The loans given to or taken by companies within the MSME or SME sector are called – SME or MSME Loans. The earlier classification of MSME, based on the MSMED act of 2006, was done on the basis of total investment. If from the manufacturing sector, and on the equipment required by the outfit for provision of their services, there are ceilings which break down them into three parts – Micro, SME, and MSME. However, in 2018, the then minister of MSME, Giriraj Singh proposed to redefine
Read moreWhat Is Unsecured Business Loan & What Are Its Advantages?
Whether you are a budding entrepreneur with revolutionary business ideas or an existing business owner with plans of making your business empire bigger, you may be in need of a business loan. A working capital business loan will help you continue fuelling the growth of your business in a positive direction. A business loan can also help you in investing in new machines or equipment to improve the quality of products you provide to your customers. When it comes to business loans, there are two types of it: secured and unsecured. What Is A Secured Loan? Directly speaking, a secured
Read moreWhat Is The Definition Of An MSME?
Being an MSME, you can enjoy a multitude of benefits from various government schemes. Besides various concessions and subsidies, MSMEs also enjoy better financing options. A lot of banks and NBFCs offer MSME loans at attractive interest rates. However, to avail these benefits, you must first register yourself as an MSME. Before registering a business as an MSME, it is necessary to understand its definition along with the other aspects. Definition of MSME MSME is an acronym for Micro, Small, and Medium Enterprises. The MSME Act of 2006 segregates such enterprises based on size and type as mentioned below: Types
Read moreHow to Get A Business Loan in 4 Steps?
What is the process to get a loan? Just go, fill in a form, and a money lender is ready with the amount you have asked for. Do you think any institution will give you loans so easily? Of course not. You have to look for all the possible schemes and search for the option that best suits your requirements and then proceed with the application. Let me tell you how to get funding for your business. But first, you should have good knowledge about the different types of loans provided by any financial institution and for what purpose. Do
Read moreHow Does The CIBIL Score Help You In Getting Loans?
You may have heard it way too many times from your friends, family, and colleagues, that their loan application has been rejected because of their low CIBIL Score. And then you nod knowingly, but don’t really check your CIBIL Score, until you have to pursue or avail loans. So, let us take a look at what is CIBIL Score and why is it important in getting loans. What is a CIBIL Score? CIBIL Score is crucial for all sorts of loans for small business, home loans, working capital loans, and loans for small businesses. CIBIL stands for Credit Information Bureau
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