RBL Bank – Secured Small Business Loan

RBL Bank initiated a new venture called ‘Secured Small Business Loan’ to assist small-scale entrepreneurs. Under the scheme, the bank offers working capital and term loan for

Small Enterprises engaged in the manufacturing and service sectors. In this article, we look at the Small Enterprise Loans from RBL Bank in detail. To know about RBL Bank Current Account

Purpose of the Loan

The Secured Small business Loan is a drop-line overdraft facility offered to the business units engaged in manufacturing or service activities. This business loan can be taken to build fixed assets and current assets of the business.
The loan amount provided under Secured Small business loan by RBL Bank is up to INR 20 Lakhs.
The convenient loan repayment tenure is stated to be 12 to 84 months
Both the residential and commercial property accepted as collateral
The rate of interest is applicable as per recent banking notifications.
Quick and simplified process
Assessment will be based on the Kachha Pukka Bills, ITR, VAT and Bank Statements.

Eligibility Criteria

Below-specified applicants can apply for the Secured Small Business Loan in RBL Bank.

Customer segment- Individual/ Proprietor/ Proprietorship firm
Minimum age at application - 25 years and maximum age at loan maturity is 65 years
Residential and Business stability- 3 years in the current residence and business place
Minimum experience - 3 years in the current business
Property ownership- Self/ blood relative/ co-borrower
Property age- Less than 50 years
Property should be approved by the appropriate authority
- Urban – Approved by Development Authority
- Rural – Approved by Gram Panchayat

Documents Required

The below listed are the documents/records that need to be furnished at the time of applying for business loans in RBL Bank.

PAN Card - For Individual / Partnership Firm
Identity Proof: PAN Card, Driving License, Aadhar Card, Voter ID Card, Proprietor, partner of Director (if a company), Registered Lease Deed, Sale Agreement, Bank Statement, etc.
Address Proof: Legal Passport, Utility bill, Property tax bill, etc.
Business Continuity Proof - Any one document dated 3 years old (Bank Statement / Sales Tax Challans / IT Returns / Shop and Establishment Certificate / Partnership Deed)
Copy of Income Certificate
ITR with financials for at least one year filed at least 4 months prior to the date of application
VAT returns
Bank credits for last 6 months validated through the original statement
Kachha Bills / Purchase Bills / Purchase or Sales registers
Complete Collateral Documents for secured loans including EC wherever applicable

Business Loan Application Procedure

Kindly follow the given steps to apply for the Secured Small Business Loan online.

Step 1: To apply for this business loan with the RBL Bank, the applicant will have to go to the official site. Step 2: Then, the applicant will have to click on the “Small Business Laon” link on the homepage. Step 3: Now, click on the “Apply” button, and that leads to the new application form page. Step-3-Loan-Application-Form

Step 3 - Loan Application Form Step 4: Here, the applicant has to fill out the business loan application form in a prescribed format. Step 5: Submit the application business loan form along with all the supporting certificates mentioned above. Note: Please carry originals of all relevant KYC documents such as PAN, Aadhaar, etc. for the verification purposes.

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Frequently Asked Questions

Common questions about Secured Small Business Loan for Manufacturing & Services by RBL Bank.

The Secured Small Business Loan from RBL Bank is a drop-line overdraft facility designed to provide working capital and term loans to small enterprises engaged in manufacturing or service sectors. It can be used to build fixed assets and current assets for the business.

The Secured Small Business Loan from RBL Bank offers a maximum loan amount of up to INR 20 Lakhs.

Both residential and commercial properties are accepted as collateral for the Secured Small Business Loan from RBL Bank.

The convenient loan repayment tenure for the Secured Small Business Loan from RBL Bank is stated to be between 12 to 84 months.

The interest rate applicable for the Secured Small Business Loan from RBL Bank is as per the recent banking notifications.

To be eligible for the Secured Small Business Loan, the applicant's minimum age at application should be 25 years, and the maximum age at loan maturity is 65 years. Additionally, the applicant should have a minimum experience of 3 years in the current business.

The applicant must have a residential and business stability of at least 3 years in the current residence and business place to be eligible for the Secured Small Business Loan.

Some of the key documents required include PAN Card, identity proof, address proof, business continuity proof, income certificates, ITR filings, VAT returns, bank statements, and complete collateral documents for secured loans.

Yes, according to the eligibility criteria, individual proprietors, proprietorship firms, and partnership firms can apply for the Secured Small Business Loan from RBL Bank.

To apply for the Secured Small Business Loan from RBL Bank, one can visit the bank's official website, click on the "Small Business Loan" link, and follow the steps to complete and submit the online application form along with the required supporting documents.