MSME/SME Loans Apply Online

Apply For MSME Loan Online 2020

MSME loan generally stands for Micro Small and Medium Enterprise Loan. It is also known as the SME Loan i.e. Small and Medium Enterprise Loan. The Government of India provides loans to small business owners, startups, and entrepreneurs for financial requirements. MSME loans help businesses by meeting their financial requirements and help them in business growth.

The duration of an SME loan depends on the amount of loan taken and fulfillment of eligibility criteria. The MSME loan interests are offered based on Loan amount, period of repayment, business classification under MSME, applicant profile, creditworthiness, financial background, and repayment potential.

The MSME loans are provided by the Indian government, financial institutes such as banks, and Non-Banking Financial Companies (NBFC) only to those applicants who meet the eligibility criteria for taking loans. You can easily apply online for an MSME Loan.

New Definition of Enterprises Under MSME

From 1st July onwards the government has changed the definition of enterprises under MSME. Below you can check the under which MSME classification your business falls.

Enterprise Turnover Investment
Micro Not more than 5 Cr. Not more than 1 Cr.
Small Not more than 50 Cr. Not more than 10 Cr.
Medium Not more than 250 Cr. Not more than 50 Cr.

Interest Rate For MSME Loan

Bank/NBFCInterest Rate (per annum)
HDFC Bank15%
SBI (Mudra Loan)9.75%
Bajaj Finserv18%
Lendingkart Finance18%
Axis Bank15.5%
ICICI Bank13%
Kotak Mahindra Bank16%
Punjab National Bank (Mudra Loan)10.30%
Corporation Bank10.30%
Bank of India10.20%
IDFC First18%
HDB Finance18%
Fullerton Finance17%
RBL Bank18%
Note:The interest rates, fees, and charges listed above are subject to change according to the direction of the bank, NBFC, and RBI. GST and sales tax are charged separately for the above charges.

How to apply for MSME Loan in 2020

You can follow the below-mentioned simple and easy steps to apply for an MSME loan online:

STEP 1: First visit the MSME registration portal.

STEP 2: Just fill the information as per the requirements and click on the "Validate and Generate OTP" button.

STEP 3: You will receive an OTP on a mobile number linked with your Aadhaar card.

STEP 4: Enter the OTP and click on the "Validate" button.

STEP 5: After OTP submission an application form will appear in front of you, just fill all the details as asked.

STEP 6: Once you fill in all the details then click on the "Submit" button.

STEP 7: After that you will see the detail you have filled in, just click on ok to confirm it.

STEP 8: Again an OTP will be sent to your registered mobile number with aadhaar card. Fill the OTP and click on the submit button.

STEP 9: You will see the Registration Number after you click on the submit button, just note it down for further reference.

If you face any problems while applying for an MSME loan then you can just contact us. We will provide you with a detailed loan project report, which will be very beneficial for applying for a loan.

Document Required For MSME Loan Apply in 2020

Below we mention the documents that you should require for applying for an MSME loan:

  • Identity Proof ( Aadhaar card, Passport, Driving license, PAN card, etc)

  • Address Proof (Rent agreement, Electricity or water bill, etc)

  • Age Proof (Birth certificate, Aadhaar card, Voter ID card, etc)

  • MSME/Udyam Registration Certificate

Financial Documents Needed:

  • Last 12 month statement of your bank account

  • Company PAN card

  • Proof of Business Registration

  • Copy of Partnership deed

  • Copy of P&L and Balance Sheet of last 2 years.

  • Sales and Municipal tax documents

Document Required For MSME Loan Apply in 2020

There are different types of schemes are working under MSME loan, which are mentioned below:

  1. Mudra Loan Scheme: The term MUDRA Loan stands for Micro Unit Development and Refinance Agency Loan. Mudra loans are coming under the government Mudra Yojana and it is further classified into three categories namely Shishu, Kishore and Tarun.

    • Shisu Loan - Amount of Loan below Rs 50,000.

    • Kishore Loan - Amount of Loan above Rs 50,000 and should be below Rs 5,00,000.

    • Tarun Loan - Amount of Loan above Rs 5,00,000 and should be below Rs 10,00,000.

  2. CGTMSE Scheme: The term CGTMSE Loan stands for Credit Guarantee Funds Trust for Micro and Small Enterprises Loan. It is a scheme launched by the Government of India to provide existing and new micro and small-scale enterprises with collateral-free loans. The loans for a maximum amount of Rs 1 crores are issued.

  3. PMEGP Scheme: The term PMEGP stands for Prime Minister Employment Generation Programme. It is a subsidy program that is related to Prime Minister Rojgar Yojana (PMRY) and the Rural Employment Generation Programme (REGP). The scheme was launched in 2008 and aims to offer the unemployed youth business opportunities.
For any Query, you can get in touch with us just by filling up the form and one of our registration executives will reach you in 15 minutes through our Udyam Helpline Number.

Other Related Latest Post
  • Apply For Udyam Registration
  • Re register Under Udyam
  • Know About Your NIC Code
  • Udyam Registration Benefits
  • What is Udyog Aadhar Memorandum? Benefits, Documents, Registration Process
  • MSME Loan Know How to Apply for MSME Loan
  • What is the Full form of MSME?

LAST UPDATED ON : 24/07/2024
TOTAL VISITOR : 1,74,250


Lokesh Rawat, From Madhya Pradesh

Recently applied Udyam Certificate

⏰(1 Hours ago) Verified