Interested in financial products
CreditMantri
Processing

SBI’s Simplified Small Business Loan comes under the SME Loans category. The bank offers these loans against current account balances. The loan amount can vary between Rs. 10 lakhs to Rs. 25 lakhs. The loan repayment tenure can be maximum of 60 months.

Key Features of SBI Simplified Small Business Loan

The main purpose of this loan is to offer funding to businesses for meeting current and fixed asset requirements. A drop-line overdraft facility, the loan comes with competitive interest rates that are linked to MCLR.

Loan Amount

10 times the average current account monthly balance (in the previous 12 months).

Minimum – Rs. 10 lakhs 

Maximum – Rs. 25 lakhs

Margin

10%

Collateral

Minimum 40%

Repayment Tenure

Up to 60 months

Fees and Charges

Rs. 7,500

Eligibility Criteria

Some of the eligibility criteria for this loan are:

  • This loan mainly caters to self-employed individuals, professionals, businesses that are involved in manufacturing activities, or wholesale/retail trading.
  • The business should have been in existence for a minimum of 5 years and preferably in the same location.
  • The main applicant or borrower must be the owner of the business location or he/she must have a valid lease agreement with the owner.
  • The minimum average monthly balance in the current account should be at least Rs .1 lakh in the past 12 months.
  • The applicant must also fulfil the Go/No Go criteria to apply for this loan.

The bank may perform a need-based assessment and verify credit limits. The financial statements of the business are usually not sought by the bank.

Apply for a credit score

POPULAR LINKS

×Thank you! Your comment will be reviewed and posted shortly.

CreditMantri will never ask you to make a payment anywhere outside the secure CreditMantri website. DO NOT make payment to any other bank account or wallet or divulge your bank/card details to fraudsters and imposters claiming to be operating on our behalf.