Many people dream of starting their own business or expanding an existing one to make it even better. Whether they are MSMEs or multinational corporations, everyone will need money at some point. Andhra Bank offers business loans specifically for that purpose.

What are the interest rates and other fees for an Andhra Bank business loan?

• Scheme Name: Abhivrudhi Interest Rate: 10.55% onwards
• Loan Amount: Rs. 10 lakh to Rs. 6 crore
• Repayment Tenure: 7-year Term Loan Working capital for 2 years
• Margin: 10% 
• Processing: fee based on loan policy standards.

What are the eligibility requirements for an Andhra Bank Business Loan?

Two major elements determine eligibility for a business loan at Andhra Bank:

• Your ability to repay the loan.
• Your loan payback history.

The key variables that determine an applicant’s eligibility are:

• Age: Andhra Bank lends to people who are at least 21 years old when the loan is approved and up to 55 years old when the loan matures.
• Loan Amount: Apply for a loan that you can comfortably afford. The bank offers loans ranging from ₹50,000 to ₹5 Lakh, depending on eligibility.
• Profitability and Revenue: Andhra Bank demands a minimum two-year profit and a business turnover of ₹0.
• Business Stability: The bank will also look for minimum sales growth over the last three years. A fall in sales over a set period of time or below a specified threshold may affect your eligibility for the loan.
• ITR and Banking: The bank only approves loans after reviewing your income tax return and bank statements. Andhra Bank will require your ITR records for a minimum of 0 months, as well as a bank statement for the same period.
• CIBIL Score: The Bank recommends that you maintain a score of 750 or higher in order to receive loan approval. Andhra Bank will look into your repayment history for all current and previous loans and credit cards.

What documents are required for a loan application?

1. Identity Proof
2. Provide proof of residence and business address.
3. Balance sheets for the last three years, coupled with income tax and/or sales tax returns.
4. Memorandum of Association (MOA)
5. Rental agreements from the physical address of the business.
6. Copy of the SSI and MSME registration certificate.
7. Balance sheet projections for working capital limits for the next two years
8. If any advances have been taken over, bankers and financial institutions must provide sanction letters.
9. Copies of lease deeds for properties used as collateral

Conclusion:
Business loans from Andhra Bank enable companies to grow and expand, enabling owners and operators to fulfill their goals and find long-term success. Andhra Bank is dedicated to promoting entrepreneurship and propelling economic progress in India by utilising its vast network, experience, and customer-focused philosophy.