What documents are required for the application?

The standard documents required for a business loan application are:

• Identity Proof: The applicants'/business owners' Permanent Account Number (PAN) card, Aadhaar card, Passport, Driving Licence, etc., are usually needed as identity proof.
• Business Registration: Registration certificates such as Goods and Services Tax (GST) registration, Micro, Small and Medium Enterprises (MSME) registration, etc. are usually requested for by the financial institution.
• Bank Statements: The last six months' bank statements of the business account reflecting cash flows and income must typically be provided. Personal account statements may also be requested.
• Income Tax Returns: Previous 2-3 years IT returns showing earnings and taxes paid may be required.
• Ownership Proof: Legal documents showing ownership of business assets, such as a property sale deed, rent agreement, electricity bill, etc., are generally required.
• Collateral Documents: If you opt for a secured loan backed by an asset, you must typically provide all legal papers of the asset offered as collateral.
• Other Income Proof: The loan provider may also request any other documents showing alternate sources of income, such as Form 16, salary slips, etc.
• Photograph: A recent passport-sized photo is usually needed for completion of the Know Your Customer (KYC) process.

Additionally, any other customised documents may be sought based on the applicant's business entity sole proprietorship, partnership firm, private limited company, etc. Timely submission of the required documentation enables faster processing.