MSME Loans from Bandhan Bank
Bandhan Bank is a Kolkata-based private sector bank in India. They offer a wide range of loan products aimed at providing financial support to their customers in times of need. In addition to other financial products, Bandhan Bank offers different loan options to its customers to help them run their business smoothly. As of now, the bank offers four loans to its MSME customers.
The MSME loans offered by Bandhan Bank are:
- Working Capital Loan
- Term Loan
- Micro Enterprise Loan
- Micro Bazaar Loan
We give you a brief intro to the business loans below. In addition, you have the option to click further and read in detail about the loans in a specific page of their own. This specific page has been made specifically for you to get all the information you need on that loan in an uncluttered and easy-to-read format.
Bandhan Bank Working Capital Loan
The loan helps businesses finance their everyday operations such as for investment in current assets, purchase of raw materials, salary payments, power charges, etc. It helps businesses during periods of reduced business activity or while waiting for receipt of payment after completing projects.
Features of the Bandhan Bank Working Capital Loan
Why this Loan?
- The Bandhan Bank Working Capital Loan can be availed for all projects and activities related to running the business on a day-to-day basis
- The is a need-based loan
Bandhan Bank Term Loan
The loan helps businesses carry out different business activities right from acquiring land and building to purchasing machinery and vehicles. All projects are eligible for this loan as long as they are directly related to the growth and expansion of the business.
Features of Bandhan Bank Term Loan for Business
Why this Loan?
- The Bandhan Bank Term Loan scheme is perfect for businesses that need funds for purchasing long-term assets for the business, acquiring land and property to build a business unit, upgrading machinery and equipment, etc.
- The loan amount to be sanctioned under this loan is decided by the bank on a case-to-case basis
Bandhan Bank Micro Enterprise Loan
The loan helps small entrepreneurs finance everyday operations of their business such as for investment in current assets, purchase of raw materials, salary payments, power charges, etc. or creation of long-term assets for the business.
Features of Bandhan Bank Micro Enterprise Loan
Why this Loan?
- The Bandhan Bank Micro Enterprise Loan can be taken for all projects and activities related to running the business on a day-to-day basis or for the purchase of long-term assets for the business
- Only the borrowers who have completed a minimum of four cycles of the Bandhan Bank Microloans – Suchana and Srishti are eligible for this loan
Bandhan Bank Micro Bazaar Loan
The loan helps small entrepreneurs finance working capital needs such as for investment in current assets, purchase of raw materials, salary payments, power charges, etc.
Features of Bandhan Bank Micro Bazaar Loan
Why this Loan?
- The Bandhan Bank Micro Bazaar Loan can be taken for all projects and activities related to running the business on a day-to-day basis
- Only the Bandhan Bank Supersaver Account holders who have a fixed place of delivering services are eligible for this loan
Important Note: Bandhan Bank may offer more MSME loan options that are not yet published on the website. We suggest that you get in touch with the nearest branch to check the loan schemes they offer. This will also help you get a custom quote since many loan schemes are need-based and certain charges such as application charges, service charges, Strategic Premium, etc. may be decided on a case-to-case basis.
Interest Rate for Bandhan Bank MSME Loans
- According to the bank’s website, the interest rate for business loans is derived by adding a Strategic Premium to the bank’s one-year Marginal Cost of Funds-Based Lending Rate. As of now, the interest rate varies from 16% to 20% for all MSME loans depending on the Strategic Premium levied by the bank. Strategic premium depends on various factors such as the borrower’s profile, type of business loan, quantum of loan, etc.
Documents Needed for Individuals
- Loan Application Form duly filled and signed by the applicant and co-applicant, if any
- Two Passport Size Photographs of applicant and co-applicant
- Personal ID Proof: Aadhaar Card, PAN Card, Passport or Driving License. PAN Card / PAN Card Issuing Letter is must
- Signature Proof: PAN Card, Banker’s Verification, Driving License or Passport
- Residential Address Proof (Any One): Aadhaar Card, Electricity Bill, Post-paid Phone Bill, Valid Rent Agreement
- Income/Banking Proof: Last 6 months Bank Account Statement of applicant and co-applicant, Loan Statement of Running Loans, Latest Closed Loan NOC, Net Worth of the applicant and co-applicant
- Security (as applicable): Margin Money, Previous and Current Sales Deed, Plant and Machinery list, Plant and Machinery Current Valuation Report, Property Photographs, Previous Property Search and Valuation Report
Documents Needed for Proprietorship and Partnership Firms
- Loan Application Form duly filled and signed
- Partnership Deed and Partnership Registration Certificate
- ID Proof of the Firm: Firm PAN Card or PAN Issuing Letter
- Office Address Proof: Electricity Bill, Post-paid Phone Bill, Valid Rent Agreement
- Income Proof: CMA Data and Project Report, Debtors and Creditors Certificate, GST Return, Last 3 years ITR of applicant and co-applicant, Audited or CA Certified Computation of Income/Trading Account/Profit and Loss Account/Balance Sheet, Annual Audit Report and Tax Audit Report if audited, Form 16A if applicable, Net Worth of applicants, co-applicants and guarantors
- Banking Proof: Last 1-year Statement of Company’s Major Account, Current Account, Cash Credit Account, Overdraft Account, Loan Statement of Running Loans, Latest Closed Loan NOC and Last 6-months Bank Statement of Applicant and Co-applicant’s Savings Account
- Security (as applicable): Margin Money, Previous and Current Sales Deed, Plant and Machinery list, Plant and Machinery Current Valuation Report, Property Photographs, Previous Property Search and Valuation Report
- Other Relevant Documents: Partnership’s Business Profile, Promoter/Guarantor’s Profile, Corporate Brochure, Business Experience Supporting Documents, Business References
Documents Needed for Private Limited and Public Limited Companies
- Application Form duly filled and signed
- Company ID Proof: Company’s PAN Card
- Office Address Proof: Electricity Bill, Post-paid Phone Bill, Valid Rent Agreement
- Business Proof: AOA and MOA, Company Incorporation Certificate, Business Commencement Certificate, Board Resolution, CA/CS verified Share Holding Pattern, ROC Annual Return, DIN Certificate, List of Directors on Company Letter Head, GST Number, Form 32 in case of Director Change
- Income Proof: CMA Data and Project Report, Last 3 Years ITR Acknowledgement copy of Company and all Directors, Last 3 Years Annual Credit Report or Tax Audit Report with Article 3CB, Article 2D, Article 3CD, TDS Certificate/Form 16A, Net Worth Certificate
- Banking Proof: Last 1-year Statement of Company’s Major Account, Current Account, Cash Credit Account, Overdraft Account, Loan Statement of Running Loans, Latest Closed Loan NOC and Last 6-months Bank Statement of Applicant and Co-applicant’s Savings Account
- Security (as applicable): Margin Money, Previous and Current Sales Deed, Plant and Machinery list, Plant and Machinery Current Valuation Report, Property Photographs, Previous Property Search and Valuation Report
- Other Relevant Documents: Company’s Business Profile, Promoter/Guarantor’s Profile, Corporate Brochure, Business Experience Supporting Documents, Business References
Reference Facts
- Bandhan Bank Website: www.bandhanbank.com and bandhanbankonline.com (net banking)
- Headquarters: Kolkata, West Bengal
- Call Centre Toll-Free Number: 1800 258 8181