Working Capital loan is the loan that can be availed by corporate borrowers for the purpose of fulfill of Daily financials requirements/ Operational works like payroll, rent, and debt payments. Working capital loan to covers a company’s short-term operational needs not long-term assets.
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- Easiest way to get the funds from bank/ NBFC and reduce the heavy capital investment by Promotors or owners.
- Its in a yearly- renewal basis and need to pay only interest instead of full EMI. so, they don’t need higher working capital for day-to-day Project activity.
- High chances of avail extra funds from other banks as current obligation is lower.
- Business vintage of at least 3 years, It should not be Start ups or newer projects
- Needs to maintain Bank Accounts, Fill ITR of 3 years etc
- Business should not be blacklisted and not at Negative Areas.
- Trust, small businesses, and NGOs are not eligible