ICICI Bank Business Loans

Are you someone waiting for the perfect opportunity to propel your business into top gear? ICICI Bank Business Loans helps you finance your business needs and make your dream a reality. You can now happily scale up your business to new heights or even start a new one with ICICI Bank Business Loans, which come with a host of benefits such as financing your working capital needs, availing overdrafts, and providing term loan facilities to meet your business needs. Let us go in detail about the different loans offered by ICICI Bank.

Interest Rates and Other Fees of ICICI Bank Business Loans

Here is the list of interest rates and other charges related to ICICI Bank Business Loans:

Fee	Charges
Interest Rate Range	11.50% - 20%
Prepayment	Up to 24 months - 4% of principal outstanding + taxes 25 - 36 months - 3% of principal outstanding + taxes > 36 months - 2% of principal outstanding + taxes
Loan Processing Charges	Up to 2% of the loan amount + taxes
Stamp Duty & Other Statutory Charges	As per applicable laws of the state
Cheque Bounce Charges	Rs 500/- + taxes
No Due/ No Objection Certificate	Rs 150/- + taxes
Commitment Fees	Average Utilization < 60% - 0.50% on the difference between the actual utilization and average quarterly utilization of 60%. - Charges will be levied on a quarterly basis. Applicable for CC/OD facility only

Types of ICICI Business Loans

To meet customers’ business needs, ICICI extends support to all the different categories of business by providing tailor-made loans. Here’s the list of loans offered by the bank:

Working Capital Finance

ICICI Bank provides Cash Credit and Overdraft facilities to meet your working capital requirements. This is to help you manage seasonal cash flow issues, allowing you to leverage every opportunity that comes your way. 

Features of ICICI Working Capital Finance

• Competitive interest rates and convenient charges

• Quick completion of formalities and prompt availability of loans

• Dedicated relationship manager to help fulfill your requirement

• Ensures ease of operations, collections, and payments, thanks to the bank’s extensive branch network.

SME Term Loans

SME Term Loans helps you keep up with emerging technological advancements and capacity expansion needs. Here, you get customized solutions based on your financial requirement. Term Loans are offered to buy commercial assets, set up a new business unit, or expand/modernize your existing facility.

Features of ICICI SME Term Loans

• Loan assessment based on future cash flow.

• Flexible repayment tenure.

Digital Finance & Supply Chain Finance Platform

ICICI Bank launched a first of its kind digital B2B ecosystem - the “Digital Financial and Supply Chain Platform”. This facility enables corporates to uninterruptedly connect with their supply chain network constituents (dealers/vendors/any other micro, small, and medium enterprises) digitally.  Thus, corporates can perform their day-to-day business transactions and collection/payments and also avail channel financing from ICICI Bank in a single click.

Features and Benefits for the Vendors and Dealers of Corporates

• Works as a one-stop digital solution for vendors and dealers for business and banking transactions.

• Easy tracking of orders and payments for vendors and dealers.

• Easy digital financing and transactions with corporates and banks.

• Simple digital process to facilitate supplier and dealer financing from the bank.

Features and  Benefits for the Corporates

• Provides digital procurement and purchase order management that enables efficient corporate supply chain management, monitoring, and control.

• Enables corporates to maximize their payables and receivables.

• Instant payment, collections, and reunion of transactions.

• Integrates with Enterprise Resource Planning (ERP), which ensures automation of transaction updates.

• Access uninterrupted banking services on a single platform.

SME Cash Management Services and Solutions

ICICI Bank’s SME Cash Management Services help manage business liquidity effectively and efficiently. The bank offers an extensive range of products and services that help in streamlining the process, optimizing funds, and automating everyday tasks, which results in the cost-effective management of cash features.

• Collections Management: There is a wide range of collection products to meet the requirements of customers. You can enjoy the convenience of physical cash collections, cheque collections, and electronic collections. Moreover, the bank’s network is coupled with customized MIS reports through multiple channels, which enables the effective management of receivables.

• Payments: ICICI offers a variety of payment solutions, which include bulk disbursement solutions to make payments to channel partners through multiple modes, payable at par solutions for the payment of dividend, interest for redemption, and internet-based cheque writing facility to print cheques at your own premises.

Features and Benefits of Cash Management Services

• A firm hold on the vast network of locations within India

• Efficient logistics support

• Wide range of CMS products

• Timely deposit of collections

• Timely execution of disbursement request

• Advanced technology support

• Highly competent team

SME Trade Services

ICICI Bank offers a wide range of trade services designed for Small and Medium Enterprises (SMEs) to meet its trade finance requirements that enable business growth. It has a correspondent network of more than 440 foreign banks across over 60 countries, and provides best-in-class services to ensure hassle-free trade transactions. The trade services are classified into online and structured trade services.

ICICI MSME Loan/GST Business Loan

ICICI bank started lending to MSMEs based on their GST returns from September 2018. 

Features and Benefits of ICICI GST Business Loan

• Flexible Overdraft amount between Rs.10 lakh and Rs.1 crore.

• Hassle-free and simplified documentation: Customers must submit the GST returns of the past 6 months. There is no need to submit any financial statements. The overdraft can be sanctioned for up to 20% of the turnover reported in the GST returns.

• MSMEs can get the overdraft sanctioned within two working days.

• Any residential/commercial/industrial property is held as collateral security 

• Renewable on an annual basis

• Depends on the repayment track record of the OD facility by the customer.

InstaOD

InstaOD is an online lending platform that helps you in catering to your working capital finance need by providing instant disbursement in a few clicks.

Features and benefits of InstaOD:

• Must have a minimum business vintage of 2 years and current account vintage of 12 months with any bank.

• Instant disbursement

• Online loan processing

• Minimal documentation

• Overdraft of up to Rs. 15 Lakhs

• No collateral required

• No prepayment/foreclosure charges

Customized Loans

Loans for New Entities

The initial phase of any business startup is the most difficult one. You can be a first-time borrower or could just have started a new business, but ICICI Bank addresses all your needs to meet your day-to-day operating expenses. The products are specially designed to finance manufacturing/wholesale/retail/trading service industries.

Features and Benefits:

• Overdraft/cash credit/export credit/non-fund-based facilities for manufacturers/traders/service providers that have been in business for 1 year or more.

• Term Loans to purchase commercial assets and to expand the business.

Collateral Free Loans

You can get cash credit and term loan of up to Rs. 2 Crore, which is specially designed under the CGTMSE scheme of SIDBI and the MSMED Act, 2006.

Features and Benefits:

• Available for MSEs, except for retailers.

• Sole proprietorship and partnership firms, pvt ltd companies, and public ltd companies are eligible

• Collateral free loans of up to Rs.2 crore under the CGTMSE scheme

• Cash credit for meeting WC requirements

• Term loan to purchase commercial assets and expand the business.

Loans Without Financials

ICICI offer loans without any requirement of audited financials to those customers who have a good past transaction history.

Features and Benefits:

• Loans of upto Rs 1 crore based on the transaction history in the nature of overdraft and non-fund based facilities.

• Minimum business vintage - 3 years required.

• No need for audited financials

Finance for Importers and Exporters

ICICI Bank helps in meeting your financial needs through innovative products and services such as forex and hedging solutions.

Features and Benefits:

• Letters of credit to facilitate trade.

• An exporter gets export credit for pre-shipment and post-shipment finance.

• Hedge your foreign exchange risk with derivative solutions such as forwards and options.

• Get loans in foreign currency to reduce forex risk and for lower borrowing costs.

How to Apply for ICICI Business Loans

Apply for ICICI Business Loan Online

• Visit the ICICI bank Business Loans online application page. 

• Fill in the form with the required details and submit the same. 

• You will soon receive a call from the customer care executive, who will provide you with information about the type of loan you can get based on your requirement. 

Apply for ICICI InstaOD Online

• Login through the Corporate Internet Banking or I-Biz App

• If you are an eligible customer, you will have a pre-approved offer displayed in the offers tab.

• Click on the 'Avail Now' option to get your pre-approved InstaOD. 

(or)

• Login through the ICICI Bank Website.

• Go to Business -> Business Loans -> InstaOD. 

• Now, authenticate on the landing page using your corporate internet banking/debit card credentials.

• After login, submit the duly filled in application form.

• Verify the OD limit, rate of interest, and processing fee.

• Accept the terms and conditions.

• Your OD limit will be set up instantly.

Apply for ICICI Business Loan Through a Branch

• Visit the nearest ICICI Bank.

• Request for the Business Loan application form, and get the required information on the type of loan you want to opt.

• Fill in the form with the required details.

• Submit it along with the required documents you were asked for.

• After verification, your loan request will be processed and either approved or rejected.

Apply for ICICI Business Loan Through SMS

• For GST Business Loan: Send ‘GSTOD’ to 5676766.

Documents Required for ICICI Bank Business Loans

Here is a list of the documents that are required to apply for ICICI Business Loans.

• 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

• Bank statement for the last 6 months.

• Latest ITR (CA certified/audited) along with balance sheet, computation of income, and profit & loss account for the past 2 years.

• Form 60 for the applicant/co-applicants/guarantor.

• Proof of continuation (ITR/establishment/trade license/sales tax certificate)

• Other Documents 

  • Sole proprietorship declaration or certified copy of partnership deed

  • Board resolution (Original)

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

Eligibility Calculator for ICICI Bank Business Loans

If you want to know about the loan eligibility and the EMI amount you would have 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 as an ICICI Bank Business Loan?

You can avail an amount between Rs.50,000 to 2 crores.

How can I repay my ICICI Bank Business Loan?

You 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 ICICI Bank account

What is the security I need to give to avail ICICI Bank Business Loans?

The security or collateral depends on the type of loan.

What is the interest rate on an ICICI Bank Business Loan?

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

Can I apply for a loan for my new business?

Yes,  you can apply for a loan for a new entity.