Comments0 Posted:2023-02-27 18:39:13 ISTUpdated:2023-02-27 18:39:13 ISTWritten by - Creditmantri
Facebook India has tied up with financial technologies start-up, Indifi, to offer loans to small business owners, as part of its ‘Small Business Loan Initiative’. SMBs in over 200 cities across India can now avail of loans of up to Rs.50 lakhs to help develop and grow their small business.
These loans shall be processed and sanctioned primarily by Indifi, an established financial technology company with a wide reach in India. Small Business clients of Facebook, who market their products and services via Facebook, can benefit from this loan scheme which offers up to Rs.50 lakhs loan to eligible applicants.
What is the objective of this small business loan scheme being offered by Facebook?
Timely credit to deserving businesses is the vision of this loan scheme. This program is piloting in India and has already garnered huge support. With its 340 million-strong consumer base, Facebook is looking to empower small businesses in need of funds during these pandemic times.
Also Read: Covid 19 Relief Measures For MSMEs
How does the loan scheme work?
Under the initiative, Facebook provides you access to hundreds of banks & NBFCs lending to small businesses
The loan process shall be carried out through Indifi
Indifi will process and sanction the loan
The benefit is that you get a large collateral-free loan amount for less interest rates and literally no processing fees
The application process is completely online
What are the benefits of getting a small business loan through this initiative?
The Facebook Small Business Loans Initiative was created with the goal of giving much-needed credit to small businesses that are truly deserving. The Corona pandemic has damaged the small business economy with thousands of small business owners having to closed down shop due to lack of business and dearth of funds. This initiative looks to build that gap by linking small business owners with lenders. Some of the features of this programme are:
Collateral free loans starting from Rs.2 lakhs to Rs.50 lakhs
No processing fees & no hidden charges
A single application to apply with different lenders, increasing your chance for loan approval
Quick processing of loans and disbursal within 3 business days
Pre-defined interest rates of 17-20% irrespective of the loan amount
Get a repayment tenure of 18-36 months
0.2% rebate in interest rate for women borrowers
A completely online application process to provide better transparency of the loan process
Constant updates on your loan status
Who all are eligible to apply for the Facebook IndiFi Small Business Loan?
Your business must be located in one of the below Indian Cities
Agra
Dehradun
Kochi
Puducherry
Ahmedabad
Delhi-NCR
Kolkata
Pune
Ahmednagar
Dhanbad
Kota
Raigarh
Aligarh
Durg-Bhilai
Kozhikode
Raipur
Allahabad
Erode
Krishna
Rajkot
Alwar
Goa
Latur
Ranchi
Amritsar
Gorakhpur
Lucknow
Salem
Asansol
Guwahati
Ludhiana
Sikar
Aurangabad
Gwalior
Madurai
Solapur
Bangalore
Hyderabad
Mangalore
Surat
Bareilly
Indore
Meerut
Thanjavur
Belgaum
Jabalpur
Moradabad
Thiruvananthapuram
Bhavnagar
Jaipur
Mumbai
Tirupur
Bhopal
Jalandhar
Mysore
Trichi
Bhubaneswar
Jamnagar
Nagpur
Udaipur
Chandigarh
Jamshedpur
Nasik
Ujjain
Chennai
Jodhpur
Nellore
Vadodara
Chittoor
Kachchh
Panipat
Valsad
Coimbatore
Kancheepuram
Patiala
Varanasi
Cuttack
Kanpur
Patna
Vijayawada
Visakhapatnam
Warangal
You must have been an advertiser on the Facebook family of apps for at least 180 days at the time of application.
Your business should be duly registered with a valid trade license
Though applicant age is not a criterion, loans shall be processed based on the health of the business
Additional Read: Different Types Of Business Loans
How do I apply for the Facebook Indifi Small Business Loan?
You can contact Indifi directly about this loan and application process.
They have an option to apply online through their website
You can also call their customer care at 0124-6072247 to learn more about this loan product
Or, send an email to assist[at]indifi[dot]com
What are the documents required to apply for Facebook Indifi Small Business Loan?
KYC of the promoter(s)
PAN card
Any one of the four National IDs (Aadhaar, Voter ID, Driving License or Passport)
Proof of current residence address (if not updated on National ID)
KYC of business
Registration proof
PAN card &
Constitution documents
Business income – latest 6-month bank statement of business-related accounts
Ownership proof document if the current residence/ business premises are owned
Is the Facebook Indifi Small Business Loan a good option for MSMEs?
The main objective of this loan is to help struggling MSMEs get the much-needed credit to boost their business. This one-of-a-kind initiative by Facebook has been launched in India to help millions of their MSME partners. The loan, of up to Rs.50 lakhs, is offered collateral-free, and without any processing charges. It also comes with a fixed interest rate, irrespective of the loan amount. This loan could really be a boon to ailing MSMEs looking to come out of some serious financial troubles caused due to the recent Corona Pandemic.
Facebook Indifi Small Business Loan FAQs:
What is the processing fees on Facebook Indifi Small Business Loan?
The loan is processed by Indifi without any processing fees.
My business is located in a city not mentioned in your list. Can I still apply?
Sorry, the loan is currently being processed only in the cities mentioned in the above list. The loan will be expanded to your city soon.
Can I apply for more than one loan if I have multiple businesses registered under my name?
No, an individual can apply only for one loan under this scheme.
Are there any tax benefits for availing this loan?
No, this is a financial loan scheme for MSME businesses and does not give you any tax benefits.
What collateral or security should I give for this loan?
This is a collateral-free loan and so you need not submit any.
What is the time taken for the loan process?
The loan application and disbursal process will take a total of 7-10 business days.
Will Indifi check my credit score to process this loan?
Yes, your credit score does play a vital role in loan approval.
Will my business health affect my loan eligibility?
Definitely. A profit-making business is a much desirable candidate for this role.
What are the repayment options available on this loan?
The loan can be repaid in EMIs of 18-36 months. You can repay by setting a NACH mandate or by submitting post-dated cheques.
Can I get some kind of moratorium period on this loan?
No, there is no moratorium period available for this loan.
Are there any part-payment or pre-closure charges?
You can make part payments whenever you have surplus money. There are no charges for that. However, for pre-closure, there is a charge of 4% of the total outstanding amount.
