Axis Bank Business Loans

Are you someone who is waiting for the perfect opportunity to arrive for you to run your business in top gear? Axis Bank Business Loans provide you with that opportunity, helping you make your dream a reality. Scale up your business to new heights with Axis Bank MSME (Micro, Small and Medium Enterprises) Loans, which comes with a host of benefits to meet your business needs. 

Let us help you understand what these loans are, as well as the different types of loans that come under Axis Bank MSME and Corporate Loans. MSME and Corporate Loans include Corporate Loans (for turnover greater than 250 Crore), SME Loans (for turnover up to 250 Crore), Small Business Banking (for turnover up to 10 Crore), and startup banking. Find out more about these loans in detail and find out which category you or your company fits into.

Features and Benefits of Axis Bank Business Loans

• Offers loans for micro, small and medium enterprises. The loan amount is:

  • For Micro Enterprises - upto 25 lakhs

  • For Small Enterprises - 25 lakhs to 5 crores

  • For Medium Enterprises - 5 crores to 10 crores

• No collateral or security for loans of up to 10 lakhs.

• Consistent and transparent credit selection process.

• Provides simplified access and minimal documentation.

• The interest rate, processing fees, and transaction charges are charged on the customer based on:

  • The credit rating of the borrower

  • Availability of collateral security

  • The business model of the entity

  • Satisfactory market reference.

• Loans are sanctioned to the borrowers as per the Credit Linked Capital Subsidy Scheme and other schemes that are applicable for MSME borrowers.

• Helps you transfer your existing business loan to Axis Bank by offering competitive interest rates.

• Offers overdraft facility.

• Quick disbursal of loan, within 2 - 4 weeks, based on the loan amount.

• Tax benefits as per applicable laws.

• Offers loans to self-employed professionals such as doctors, engineers or chartered accountants.

Types of Axis Bank MSME and Corporate Loans

Here is the list of the different types of loans that Axis bank offers corporates for business purposes:

Corporate Loans (Turnover > 250 crores)

Axis Bank offers Corporate Loans to corporates and businesses in the form of working capital, term loans, and structured finance solutions.

• Working Capital finance: Axis Bank offers Corporate and Capital Finance to businesses as a part of a consortium or a sole banker. The products are designed to ease the liquidity position of the businesses and come with facilities such as Internet Banking, Phone Banking, etc.

• Term Loans: Term Loans are offered for real estate, infrastructure, project funding, and other corporate requirements. These are offered at competitive interest rates and are structured to enhance the profitability of the business. 

• Trade Services: Axis Bank has a professional team of experts for trade-related services and offers speedy processing of documents, timely MIS, among other benefits. It includes:

  • Import finance

  • Export finance

  • Bank Guarantees

  • Letter of Credit

  • Trade Advisory Services

• Structured Finance: Axis Bank offers tailor-made solutions to meet the customers' requirements while mitigating the credit risk.

  • Project appraisals

  • Mergers and acquisitions financing

  • Hedging of currency and interest rate exposures

  • Secondary purchase and sale of loan products

  • Underwriting or syndication of corporate and project loans

• Supply Chain management: Axis Bank provides Corporate Loans for the supply chain management of corporates. The products under this section cater to the needs of the supply chain members and help to increase the operational efficiency of the chain. The service delivery is through a technology platform.

  • Dealer Financing

  • Factoring of Receivables

  • Purchase Invoice Financing or Vendor Financing

  • Rent Receivable Financing

• Overseas Transactions: Axis Bank provides the following services through its existing overseas branch in Singapore:

  • Acquisition Financing

  • Back-to-Back LCs

  • ECBs

  • Loan Underwriting, Syndication Buyers and Suppliers' Credit

  • Buyers and Suppliers' Credit

  • Other Structured Trade Finance Products

These services will be extended to the proposed branches at HongKong and Dubai.

Small and Medium Enterprises (SME) Loans (Turnover up to 250 crores)

• Customized Credit Services: Axis Bank provides a wide range of SME Loan - Customized Credit Services to ensure that the customers get the best-suited product for their business. It includes services such as: 

  • Working Capital Finance: It offers fund-based facilities such as Cash Credit/Overdraft to help fund business inventory (raw materials & finished goods) and receivables (debtors).

  • Lease Rental Discounting: It is offered against future expected rental receipts from lease contracts and provides cash flow and access to capital for SMEs.

  • Trade and Export Finance: It provides customized trade finance solutions including exporters and importers.

  • Term Loans: It provides Term Loan facility for capital expenditure, expansion, acquisition of fixed assets like the purchase of machinery/equipment, technology up-gradation activities, etc.

  • Construction and Project Finance: It offers funds to SMEs to construct and develop real estate projects.

• Fast Track Products: Fast Track Products ensure faster credit delivery, subject to the fulfillment of Terms & Conditions that are laid down for respective products. It includes products such as:

  • MSE Power: It offers funds for micro and small enterprises by providing Working Capital and Term Loan requirements including Cash Credit/Inland Bill Discounting/Rupee Export Credit/Bank Guarantee/Letter of Credit/Export Credit in Foreign Currency and Term Loans. 

    • The Loan amount ranges from Rs.10 lakh - Rs.5 crore

    • Collateral coverage of 100% of the loan.

  • LCBN Power: It offers short term liquidity by discounting the bills backed by the bank issued ‘Letter of Credit.’

    • Nil collateral security

    • Loan amount ranging from Rs.5 lakh - Rs.5 crore

    • Discounting up to 180 days

  • Services Power: It provides loans for all Fund and Non-Fund Based Working Capital and Term Loan requirements that include Cash Credit/Rupee Export Credit/Inland Bill. Also, it provides Letter of Credit/Export Credit/Discounting/Bank Guarantee in Foreign Currency and Term Loans.

    • The loan amount ranges from Rs.10 lakh - Rs.5 crore

    • Collateral coverage of 100% of the loan

  • SME power: It offers suitable credit lines to manufacturing, trading and service enterprises other than entities that qualify under the priority sector. It provides loans for all Fund and Non-Fund Based Working Capital and Term Loan requirements that include Cash Credit/Rupee Export Credit/Inland Bill. Also, it provides Letter of Credit/Export Credit/Discounting/Bank Guarantee in Foreign Currency and Term Loans.

    • The loan amount ranges from Rs.10 lakh - Rs.5 crore

    • Collateral coverage of 125% of the loan

  • Zero Collateral Loans: It facilitates Micro and Small Enterprises by providing working capital and term finance. It is secured by the guarantee cover of CGTMSE.

    • New and existing Micro and Small Enterprises (manufacturing and service sector)

    • The loan amount ranges from Rs.5 lakh to Rs.1 crore

  • Power Rent: It offers term loan facility against contracted rental lease receivables.

    • The loan amount ranges from Rs.5 lakh to Rs.20 crore

    • Flexible repayment options of upto 10 years

    • Repayment through lease rental receipts

  • Business MPower Term Loan and Overdraft: It provides Term Loan and overdraft facility for general business purposes.

    • The loan amount ranges from Rs.10 lakh - Rs.5 crore

    • Commercial, Residential and Industrial immovable property as collateral

    • Flexible repayment options of upto 7 years for MPower Term Loan

  • Business Loan for Property: It offers a convenient way to acquire office space for business.

    • The loan amount ranges from Rs.5 lakh - Rs.5 crore

    • Loan repayment options of upto 10 years

  • Business Power: It offers working capital facilities to existing Current Account holders based on their Current Account behavior.

    • The loan amount ranges from Rs.10 lakh - Rs.2 crore

    • Flexible collateral security requirement based on the strength of Current Account Behavior.

Small Business Banking (Turnover up to 10 crores)

Axis Bank offers various finances to energize your business growth. It provides hassle-free customer experience and simple documentation. It helps you finance both short term and long term business needs, and helps you focus on your business. Here is the list of loans/overdrafts Axis Bank provides for your business needs:

Cash Credit & Overdraft

Axis Bank supports your cash flows and operational expenses that are ongoing with a ready source of funding. Any residential/commercial property, liquid collateral, fixed deposits, etc. can be offered as security. Interest is charged on the utilized amount.

Features

• Loan amount of 10 lakhs - 3 crores is offered.

• No commitment charges

• Facility renewal after 12 months from the date of availing the CC & overdraft.

Eligibility

• Business vintage - a minimum of 3 years.

• Turnover - 30 lakhs to 10 crores

• Age - 21 to 70 years

• Minimum income

  • Individuals - 2.5 lakhs as per ITR for last 2 years

  • Non-individuals - Rs 3 lakhs for last 2 years

• Residence/Office Stability

  • Must own either residential or office property.

  • Residential stability of 12 months (in case of rented home), not applicable if shifted to own house.

  • Office stability of 24 months

Interest Rates and Other Fees

• The interest rates start from 11.55%

• Penal interest - 2% p.a. additional on the existing rate of interest

• Foreclosure charges - 2% of sanction limit

• Check bounce charges - Rs. 500/- + taxes

Merchant Loan Overdraft

Axis Bank offers an attractive proposition for merchants who can avail of collateral free overdraft facility on the basis of average monthly swipes through Axis bank terminal. This facility can be used by merchants to expand their business besides fulfilling daily working capital needs without having to provide any security. Moreover, interest is charged only on the amount utilized.

Features

• Loan amount of 5 lakhs - 1.5 crores is offered.

• No commitment charges

• Facility renewal after 12 months from the date of availing the overdraft.

• A dropline overdraft can be availed for a tenure of 36 months

Eligibility

• Business vintage - a minimum of 3 years.

• No. of swipes - 30 swipes in last 12 months

• Turnover - 30 lakhs to 10 crores

• Age - 21 to 70 years

• Minimum income

  • Individuals - 2.5 lakhs as per ITR for last 2 years

  • Non-individuals - Rs 3 lakhs for last 2 years

• Residence/Office Stability

  • Must own either residential or office property.

  • Residential stability of 12 months (in case of rented home), not applicable if shifted to own house.

  • Office stability of 24 months

Interest Rates and Other Fees

• The interest rates start from 14.50%

• Penal interest - 2% p.a. additional on the existing rate of interest

• Foreclosure charges - 2% of sanction limit

• Check bounce charges - Rs. 500/- + taxes

Business Loan

Axis Bank’s business loan for both self-employed professionals (CA, Doctors, Architects, Engineers) & self-employed non-professionals. It helps to address your business requirements may it be infrastructure, expanding operations, upgrading, stocking inventory to cater to seasonal demands. This collateral free loan gives your business a much-needed boost & thereby scale new heights.

Features

• Loan amount of 3 lakhs - 50 lakhs is offered.

• No Collateral

• The loan amount can be availed for a tenure of 12 months to 36 months.

Eligibility

• Business vintage - a minimum of 3 years.

• Turnover - 30 lakhs to 10 crores

• Age - 21 to 65 years

• Minimum income

  • Individuals - 2.5 lakhs as per ITR for last 2 years

  • Non-individuals - Rs 3 lakhs for last 2 years

• Residence/Office Stability

  • Must own either residential or office property.

  • Residential stability of 12 months (in case of rented home), not applicable if shifted to own house.

  • Office stability of 24 months

Interest Rates and Other Fees

• The interest rates start from 14.25%

• Part prepayment charges

  • No part prepayment permitted until 6 EMIs

  • 2% + GST will be levied on the amount that is prepaid

  • Part prepayment in a single instance cannot exceed 25% of the principal amount.

• Foreclosure charges

  • Up to 24 months - 4% of principal outstanding + taxes

  • 25 - 36 months - 3% of principal outstanding + taxes

  • > 36 months - 2% of principal outstanding + taxes

• Penal interest - 2% p.a. additional on the existing rate of interest

• Foreclosure charges - 2% of sanction limit

• Check bounce charges - Rs. 500/- + taxes

Secured Term Loan 

Axis Bank’s Secured Term Loan provides a loan for the purchase of property, machinery, or business expansion. This facility can be availed for a longer tenure & higher amount as compared to unsecured loan wherein business assets or residential/commercial property can be kept as security.

Features

• Loan amount of 5 lakhs - 5 crores is offered.

• Flexible repayment options

• The loan amount can be availed for a tenure of 12 months to 15 years.

• Funding is given against residential/commercial/industrial property/godown/Fixed deposits/liquid collaterals, etc.

Eligibility

• Business vintage - a minimum of 3 years.

• Turnover - 30 lakhs to 10 crores

• Age - 21 to 65 years

• Minimum income

  • Individuals - 2.5 lakhs as per ITR for last 2 years

  • Non-individuals - Rs 3 lakhs for last 2 years

• Residence/Office Stability

• • Must own either residential or office property.

  • Residential stability of 12 months(in case of rented home), not applicable if shifted to own house.

  • Office stability of 24 months

Interest Rates and Other Fees

• The interest rates start from 12.25%

• Processing charges - 2% + taxes

• Part prepayment Charges - 1% of principal outstanding

• Foreclosure Charges - 2% of principal outstanding

• Penal interest - 2% p.a. additional on the existing rate of interest

• Check bounce charges - Rs. 500/- + taxes

Unsecured Dropline Overdraft

Axis Bank’s Unsecured dropline overdraft facility is availed and tailor-made for doctors and CA professionals to meet their requirements. The assigned overdraft functions similar to that of a normal overdraft facility in the first year of loan tenure and drops every quarter in equal portion beginning the second year for remaining tenure.

Features

• Loan amount of 3 lakhs - 50 lakhs is offered.

• No collateral

• The loan amount can be availed for a tenure of 24 months to 60 months.

Eligibility

• Must have 2 years of experience in the current profession.

• Turnover - 30 lakhs to 10 crores

• Age - 24 to 70 years

• Minimum income

  • Individuals - 2.5 lakhs as per ITR for last 2 years

  • Non-individuals - Rs 3 lakhs for last 2 years

• Residence/Office Stability

• • Must own either residential or office property.

  • Residential stability of 12 months (in case of rented home), not applicable if shifted to own house.

  • Office stability of 24 months

Interest Rates and Other Fees

• The interest rates start from 14.25%

• Processing charges - up to 1.25% + taxes

• Part prepayment charges - Nil

• Foreclosure charges - Nil

• Penal interest - 2% p.a. additional on the existing rate of interest

• Check bounce charges - Rs. 500/- + taxes

Startup Banking

Axis Bank is now providing certain loans or credit facilities to scale up and propel startups. It provides facilities such as:

• Zero balance current account

• Business Banking solutions such as Escrow account, payment services, collection services, Forex solutions, and trade solutions.

• Internet payment gateway solutions

• Card solutions such as corporate card, purchase card, purchase control, and central travel account.

• Credit solutions such as working capital finance, term loan, structures finance, supply chain management, and overseas transactions.

• Investments and other banking solutions such as investment banking solutions, personal banking solutions, salary account for your employees, and UPI.

How to Apply for Axis Bank Business Loan

Applying for an Axis Bank Business Loan is quite simple. 

Online Method to Apply for Axis Bank Business Loans

• Visit the Axis Bank Business Loans- Apply Online Page.

• Enter your details such as your name, mobile number, email id, city, and state.

• Enter the captcha, accept the terms and conditions, and click on ‘submit’.

• The customer care representative will get in touch with you and guide you throughout the process.

Offline Method to Apply for Axis Bank Business Loans

Call on the phone banking service numbers 1-860-419-5555 or 1-860-500-5555 between 9:00 A.M and 9:00 P.M. (Monday to Saturday) to get the loan related services.

Documents Required for Axis Bank Business Loans

Here is the list of the documents that are required to apply for HDFC Business Loan.

• PAN card of the Individual/Company/Firm

• For identity proof:

  • PAN Card

  • Aadhaar Card

  • Voter's ID Card

  • Passport

  • Driving License

• For address proof:

  • Voter's ID Card

  • Aadhaar Card

  • Driving License

  • Passport

• Previous 6 months’ bank statement.

• Latest ITR along with balance sheet, computation of income, and profit & loss account for the previous 2 years that is CA Certified/Audited

• Form 60 for all Applicant/Co-applicant/Guarantor

• Proof of continuation (ITR/Establishment/Trade license/Sales Tax Certificate)

• Other documents 

  • Sole Prop. Declaration or Certified Copy of Partnership Deed

  • Board resolution (Original)

  • A certified true copy of Memorandum and Articles of Association (certified by Director)

EMI and Eligibility Calculator for Axis Bank Business Loan

If you want to know about the loan eligibility and EMI you need to pay for your loan amount, click here.

Interest Rates of Top Banks Offering Business Loans

Bank	Interest Rate	Processing Fee
SBI	11.20% - 16.30%	2% to 3%
Axis Bank	15.50% - 24%	Up to 2%
HDFC	15.65% - 21.20%	Up to 2.5%
ICICI	12.90% - 16.65%	Up to 2%
Citibank	16% - 18.99%	Up to 2%
Yes Bank	16.25% - 19.99%	Up to 2%
PNB	12.65% - 16.65%	Up to 1.8%
IDBI	13%	1%
Kotak Bank	16% - 19.99%	Up to 2%
IndusInd	14%	Up to 2.5%
Andhra Bank	9.15% - 16%	1% to 3%
RBL	20% onwards	Up to 3%
Canara Bank	10.50% - 18%	Up to 1%
Bank of Baroda	14.10%	Up to 1%

FAQs

How much loan amount can I avail of Axis Bank Business Loans?

You can avail an amount between Rs. 50,000 to 50 lakhs.

How can I repay my Axis Bank Business Loan?

You may pay the loan using any of the options mentioned below:

• Equal monthly installments (EMI)

• Electronic Clearing System (ECS)

• Auto-debit of your EMI from your Axis Bank account

What is the security deposit I need to give to avail Axis Bank Business Loan?

There is no need to provide any security.

What is the interest rate on the Axis Bank Business Loan?

The interest rate ranges between 11.50% - 20%. However, it is determined exactly based on your business profile, past track record, financial assessment, loan amount and tenure.

Can I apply for a loan for my new business?

No, you cannot apply for a loan for a new business. You need to have a minimum of 3 years of ownership.