Looking for an MSME loan from IDBI Bank?

Your search ends right here. We bring you all the information you need to make a sensible and sound decision to select the best MSME loan from IDBI Bank.

MSME Loans from IDBI Bank

Being one of the public sector banks in India, IDBI Bank offers a wide range of financial products such as business loans, education loans, deposit schemes, etc. to its customers. With the tagline “Bank Aisa, Dost Jaisa” which roughly translates to “A bank which is like a friend”, IDBI Bank offers a wide range of small business loan schemes to its customers in the MSME sector. The bank promises a complete banking solution at one place, an attractive rate of interest, an easy loan approval process and faster credit delivery.

The MSME loans offered by IDBI Bank are:

  1. MSME Loan for Wholesale and Retail Traders, Dealers and Distributors
  2. MSME Loan for Small Road and Water Transport Operators
  3. Loan SME Against Commercial and Residential Properties
  4. Finance to Doctors and Medical Practitioners
  5. IDBI Bank Vendor Finance Program
  6. General Credit Card Loan (IDBI-GCC Loan)
  7. Laghu Udyami Credit Cards (LUCC)
  8. Stand Up India Scheme
  9. IDBI Mudra Loans

We give you a brief introduction to each of these MSME loans below. In addition you have the option to click further and read in detail about each loan on a specific page of its 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. In case information is less or not available, we have been not been able to create an information page as yet, but we may do so in the course of the next few months.

IDBI Bank MSME Loans for Traders, Dealers and Distributors

This loan, previously known as the Sulabh Vyapar Loan, is designed to help traders, wholesalers, dealers and distributors in the MSME sector raise capital towards expanding their business or meeting other business needs. The maximum loan amount sanctioned under this loan is Rs. 5 crore.

Features of IDBI Bank MSME Loans for Traders, Dealers and Distributors

Why this Loan?

  • The IDBI Bank MSME Loan for Traders, Dealers and Distributors is perfect for businesses in the Medium, Small and Micro Enterprise sector to get access to funds for business growth and expansion-related activities in addition to working capital needs
  • The bank extends this funded-facility as a term loan, bank guarantee, overdraft, cash credit, bill discounting, etc.

IDBI Bank Loan to Small Road and Water Transport Operators

This loan helps Small Road Transport Operators in the Micro, Small and Medium Enterprises sector buy commercial vehicles. The maximum loan amount for this IDBI Bank loan is Rs. 2 crore. This loan can only be availed on the purchase of brand new vehicles or water transport units.

Features of IDBI Loan to Small Road and Water Transport Operators

Why this Loan?

IDBI Loan SME Against Commercial and Residential Properties

This loan helps business owners raise capital towards expanding their business by availing a loan against property. The maximum loan amount sanctioned under this loan is Rs. 5 crore.

Features of IDBI Bank MSME Loan Against Property

Why this Loan?

  • The IDBI Loan SME Against Commercial and Residential Property is perfect for businesses in the Micro and Small Enterprise sector to get access to funds for business growth and expansion-related activities
  • The term loan must be repaid within 7 years. If the borrower avails the Overdraft Facility, the loan must be repaid within 12 months

IDBI Bank Finance to Doctors and Medical Practitioners

This loan helps doctors and medical practitioners meet their working capital requirements or capital expenditure right from setting up a clinic, nursing home, hospital, pathology labs, etc. to purchase of equipment, vehicles, ambulance, etc. The maximum loan amount is Rs. 2 crore.

Features of IDBI Finance to Doctors and Medical Practitioners

Why this Loan?

  • This IDBI Bank Loan Scheme for Doctors is meant for medical practitioners who need financial assistance in fulfilling their working capital and capital expenditure needs
  • Qualified Medical practitioners from different branches of medicine such as Allopathy, Homeopathy, Unani, Ayurveda, etc. are eligible for this loan if they have experience in running the business. Individuals, Proprietors, LLPs, Trusts and Companies can also avail this loan. The minimum qualification is MBBS, BAMS, BDS, BHMS, etc.

IDBI Bank Vendor Finance Program

This loan scheme is specially designed to help manufacturers and suppliers in the MSME sector. The bank extends this loan as Overdraft (OD), Cash Credit, Letter of Credit, Bill Discounting, Finance Against Invoices, etc.

Features of IDBI Bank Vendor Finance Program

Why this Loan?

  • IDBI Bank Vendor Finance Program helps vendors get the financial assistance they need at manufacturing or post-manufacturing stage depending on their needs
  • This is a secured loan

IDBI Bank General Credit Card Loan Scheme

This loan helps MSME businesses in the non-agricultural sector meet their working capital and capital expenditure needs. The maximum loan amount is Rs. 5 lakh.

Features of IDBI General Credit Card Loan Scheme

Why this Loan?

  • This IDBI Bank General Credit Card Loan Scheme is meant for MSME businesses that need financial assistance in fulfilling their working capital and capital expenditure needs
  • All MSME businesses engaged in the non-farm entrepreneurial activities are eligible for this loan

IDBI Bank Laghu Udyami Credit Cards

This is a credit card-based-loan scheme which is offered by the bank to existing Micro and Small Enterprise units who have had satisfactory dealings with the bank for over 3 years. Retail traders, artisans, village industries, SME professionals and self-employed professionals are also eligible for this loan.

Features of IDBI Bank Laghu Udyami Credit Cards

Why this Loan?

  • IDBI Bank offers the Laghu Udyami Credit Card Loan to its existing MSE customers to help them deal with their working capital needs
  • The maximum loan amount is capped at Rs. 10 lakh per borrower for this loan
  • This is a secured loan and must be repaid within 3 years

IDBI Bank Stand Up India Loan Scheme

This loan is designed to help women and SC/ST entrepreneurs set up greenfield enterprises in India. The enterprise can be in the manufacturing, services or trading sector. The maximum loan amount for this loan is Rs. 1 crore.

Features of IDBI Stand-Up India Loan

Why this Loan?

  • The IDBI Stand Up India Loan is meant for encouraging people from the SC/ST category and women entrepreneurs to set up greenfield enterprises in the manufacturing, services or trading sectors. In the case of non-individual enterprises, at least 51% of the company stakes should be held by women or people in the SC/ST category
  • The maximum loan amount for this loan is Rs. 1 crore

IDBI Bank Mudra Loan Scheme

This loan helps unfunded individuals, proprietors, partnerships running small manufacturing units, fruit and vegetable shops, food service units, repair shops, small industries, machine operators, truck operators, etc. get funds for their needs. The maximum loan amount is Rs. 10 lakh.

Features of IDBI Bank Pradhan Mantri Mudra Yojana (PMMY)

Why this Loan?

  • The IDBI Mudra Loan helps business in the non-corporate small business segment get funds to meet their Working Capital needs
  • The loan scheme is divided into three variants depending on the type and size of business, namely Shishu, Kishore and Tarun. The quantum of loan depends on the loan variant applicable to the business

Important Note: IDBI Bank may offer more corporate 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 application charges, service charges, Strategic Premium, etc. may be decided on a case-to-case basis.

Interest Rate for IDBI Bank Business Loans

  • The interest rate for IDBI Bank Business Loans is defined as the sum of two factors, namely: Marginal Cost of Funds-based Lending Rate (MCLR) and Strategic Premium where the Strategic Premium depends on various factors including the type of business, tenure 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

  • IDBI Bank Website: www.idbibank.in and www.inet.idbibank.co.in (net banking)
  • Headquarters: Mumbai, Maharashtra
  • Call Centre Toll Free Number: 1800 209 4324, 1800 22 1070