Bank of Baroda Business Loan
Bank of Baroda offers an impressive range of business loans and credit facilities to Micro, Small & Medium Enterprises (MSMEs) and corporate entities. You can get a loan up to Rs. 200 Crores at competitive interest rate starting from 6.75% p.a. and flexible repayment tenure.
Bank of Baroda Business Loan Details
| Loan amount | Up to Rs. 200 Crores |
|---|---|
| Tenure | Flexible & depends on loan type |
| Rate of interest | 6.75% p.a. onwards |
| Types | Secured and unsecured business loans |
| Type of facility | Term loan as well as overdraft |
Bank of Baroda Business Loan Features
Business Loans are available to all sectors such as manufacturing, services sectors, traders, and exporters.
Collateral free loans are available up to Rs. 200 Crores to the manufacturing and service sectors under the CGTMSE scheme.
Loans are available under all Government-sponsored schemes.
Attractive rates of interest linked to the Marginal Cost of Funds based Lending Rate (MCLR) of the bank.
Why Apply for Bank of Baroda Business Loan?
As Bank of Baroda is a nationalised bank, it offers all the Government schemes such as Prime Minister Mudra Yojana and loans under the Stand-Up India programme and CGTMSE guarantee.
It is one of the member lending institutions that offer PSB loans in 59 minutes.
Bank of Baroda offers attractive and competitive rates of interest on its Business Loans.
It follows a transparent procedure, thereby making it easy for business enterprises to apply for Bank of Baroda Business Loan.
Subsidy-based loans available
Facility to apply online
Easy documentation procedure
Reasonable processing fees
Bank of Baroda Business Loan Interest Rates
The interest rates for Bank of Baroda business loans are linked to the bank’s 1-year Marginal Cost of Funds based Lending Rate (MCLR) or Baroda Repo Linked Lending Rate (BRLLR) or Base Rate (BR), which are as follows:
- 1-year MCLR w.e.f from 12.11.2021: 7.30%.
- Baroda Repo Linked Lending Rate (BRLLR) w.e.f.07.10.2021: 6.50%.
- Base Rate (per annum) w.e.f. 01.07.2020: 8.15%.
- Some business loans also involve a Strategic Premium (SP) of 0.25%.
Bank of Baroda interest rate on Business Loans depends on various factors:
- The amount of loan.
- The type of scheme availed of.
- The category of business enterprise such as micro, small, and medium.
- The internal credit rating.
- The value of collateral available to the bank.
Bank of Baroda Business Loans Types & Eligibility
Bank of Baroda offers a variety of Business Loans to cater to every section of society. The bank provides different facilities to traders, small borrowers under the MUDRA scheme, MSME borrowers and corporate entities.
Following are different types of business loans offered by the Bank of Baroda along with their eligibility criteria:
Traders: Loan up to Rs. 10 Crores and tenure up to 120 months with flexibility to avail peak/non-peak season limits to cater to the varying demands of the business.
Eligibility:
- Individuals and non-individuals engaged in trading of goods/commodities in physical form and dealers in gold & silver jewellery.
- Resident Indians and Non-resident Indians (NRIs).
- Minimum Gross Income: Average of Rs. 3 Lakhs for the last 3 years for residents and average of Rs. 5 Lakhs for the previous 3 years for NRIs.
- Margin: 40% of the realisable value of immovable property
- Security: Mortgage of property.
Mudra Loans: Credit available to micro and small enterprises engaged in some income generation. There is no minimum limit and maximum amount available up to Rs. 10 Lakhs.
Eligibility:
- All non-farm enterprises under Micro and Small enterprises segment.
- Must be engaged in income-generating activities.
- Credit needs up to Rs. 10 Lakhs.
- Allied agriculture activities now allowed under PMMY scheme.
Baroda Vidyasthali Loan: Loan up to Rs. 5 Crores for financing educational institutions for construction of school building, renovation, modernisation, expansion, equipment purchase, vehicle purchase, etc.
Eligibility:
- All educational institutions including playschool.
- Hindu Undivided Family (HUF) not eligible for finance.
- Internal Credit rating should be BOB-6.
The interest rates for Bank of Baroda business loans are linked to the bank’s 1-year Marginal Cost of Funds based Lending Rate (MCLR) or Baroda Repo Linked Lending Rate (BRLLR) or Base Rate (BR), which are as follows:
- 1-year MCLR w.e.f from 12.11.2021: 7.30%.
- Baroda Repo Linked Lending Rate (BRLLR) w.e.f.07.10.2021: 6.50%.
- Base Rate (per annum) w.e.f. 01.07.2020: 8.15%.
- Some business loans also involve a Strategic Premium (SP) of 0.25%.
Bank of Baroda interest rate on Business Loans depends on various factors:
- The amount of loan.
- The type of scheme availed of.
- The category of business enterprise such as micro, small, and medium.
- The internal credit rating.
- The value of collateral available to the bank.