Business Loan

At MDG Financial Services, we understand that every business has unique financial needs. We’re here to help you navigate the eligibility requirements for business loans with various banks and NBFCs, ensuring you find the best option for your growth. Here are the general requirements:

 

• Business Vintage: Most banks or NBFC require that the business has been operational for at least 6 months. A longer track record demonstrates stability and makes your application more favorable.

 

• Annual Turnover: A minimum annual turnover is required, which may vary depending on the loan provider and loan amount. This is usually verified through financial statements, bank statements, and tax returns.

 

• Profitability: Lenders often look for profitable businesses or businesses with positive cash flow. Consistent profitability improves eligibility, as it demonstrates your ability to repay the loan.

 

• Credit Score: A good credit score, 700 and above, is preferred by most lenders. This score shows your creditworthiness and can improve your chances of approval. If you have a lower score, don’t worry; we can help you explore options.

 

• Existing Financial Obligations: Lenders assess your existing debt-to-income ratio to ensure your business can handle the additional loan repayment. Businesses with fewer existing financial commitments may be more eligible for larger loan amounts.

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• Owner's Background: The business owner’s personal credit history, financial stability, and background may also be considered by lenders to ensure credibility and reliability in repaying the loan.

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