Business Loan · Guide
Best business loan providers in India
Business lending in India spans banks, NBFCs, and fintech lenders. Each occupies a different niche of business size and vintage. Below is a practical ranking based on rate, speed, and MSME-friendliness.
By FinancePaisa Editorial Team · Research & editorialUpdated · 1 min read
On this page (4 sections)
Ranked shortlist
| Rank | Lender | Rate range | Loan size | Best for |
|---|---|---|---|---|
| 1 | HDFC Bank | 10.75% – 22.50% | ₹75k – ₹75L | Established MSMEs (3+ yr vintage) |
| 2 | SBI (SME schemes) | 10% – 15% | ₹1L – ₹50 cr | Larger MSMEs; CGTMSE-backed loans |
| 3 | ICICI Bank | 11% – 18% | ₹50k – ₹50L | Digital MSMEs; existing ICICI relationship |
| 4 | Bajaj Finserv | 11% – 19% | Up to ₹50L | Fast disbursal; ‘24-hour' approvals |
| 5 | Lendingkart | 15% – 25% | Up to ₹2 cr | New businesses; 12 months of GST filings |
1
- Lender
- HDFC Bank
- Rate range
- 10.75% – 22.50%
- Loan size
- ₹75k – ₹75L
- Best for
- Established MSMEs (3+ yr vintage)
2
- Lender
- SBI (SME schemes)
- Rate range
- 10% – 15%
- Loan size
- ₹1L – ₹50 cr
- Best for
- Larger MSMEs; CGTMSE-backed loans
3
- Lender
- ICICI Bank
- Rate range
- 11% – 18%
- Loan size
- ₹50k – ₹50L
- Best for
- Digital MSMEs; existing ICICI relationship
4
- Lender
- Bajaj Finserv
- Rate range
- 11% – 19%
- Loan size
- Up to ₹50L
- Best for
- Fast disbursal; ‘24-hour' approvals
5
- Lender
- Lendingkart
- Rate range
- 15% – 25%
- Loan size
- Up to ₹2 cr
- Best for
- New businesses; 12 months of GST filings
Choosing by business stage
- Business ≤ 1 year old — Mudra loan or Lendingkart
- Business 1-3 years, GST-registered — Bajaj Finserv or ICICI
- Business 3+ years, audited financials — HDFC or SBI
- Manufacturing / large working capital — SBI CGTMSE-backed loan
Advertisement
What lenders actually check
Business vintage, average bank balance, GST filing consistency, CIBIL commercial rank (CMR 1-4 preferred), and promoter's personal credit score. A clean file across all five gets you the lowest rate at the lender of your choice.