Micro Loan
Empowering Individuals, Transforming Communities, Achieving Goals: Micro-Loans Made Easy
Why Choose Us?
We believe in supporting the backbone of our communities – the spirited individuals and small businesses. Our Micro Loans offer:
- Quick & Instant Access: Get funds credited to your account fast, helping you meet urgent needs without delay.
- Small Loan Amounts: Specifically designed for low capital requirements, typically under ₹50,000, perfect for immediate business needs or personal emergencies.
- Simplified Eligibility: We make the process accessible, focusing on your potential and immediate need rather than rigid traditional bank criteria.
- Minimal Documentation: Say goodbye to extensive paperwork. Our streamlined digital process ensures easy application and fast verification.
- Flexible Repayment: We work to connect you with lenders offering manageable repayment options tailored to your income flow.
- AI-Powered & Contactless: Experience a fully digital, secure, and efficient application process from the comfort of your home or business.
- Empowering Underserved Segments: We are dedicated to providing financial lifelines to those who may find it challenging to secure conventional loans.
What is a Micro-loan?
A Micro Loan is a short-term, small-value financial facility extended primarily to self-employed professionals, micro-enterprises, budding entrepreneurs, and individuals or families with low capital requirements. It serves as a vital source of working capital and emergency funds for those who might not qualify for larger, conventional loans from traditional banks.
Originally developed to support economic activity in developing economies, Micro Loans are now a crucial tool for financial inclusion, helping individuals kickstart small ventures, manage immediate expenses, or overcome temporary financial hurdles, typically for amounts under ₹50,000. These loans are disbursed swiftly, focusing on immediate impact and fast turnaround.
Ideal for
Eligibility Criteria & Documentation: Simple & Accessible
YesLoans strives to make Micro Loans available to a wider audience. While specific criteria may vary by lender, here’s what you can generally expect:
Eligibility Criteria
- Age: 20 to 60 years.
- Citizenship: Resident Citizen of India.
- Income Source: Regular small income, often from self-employment or micro-enterprise activities.
Typical Documentation Required
- Photo Identity Proof: Aadhaar Card, PAN Card, Voter ID, or Passport.
- Proof of Residence/Address Proof: Aadhaar Card, Utility Bills (electricity, water, gas), or Rent Agreement.
- Income Proof (Simple): Depending on the lender, this might include bank statements (last 3-6 months showing consistent transactions), or other informal proof of regular income.
- Passport-Size Photographs.
- Business Proof (for Micro-Enterprises): Basic proof of business activity, if applicable (e.g., shop registration, vendor license, or a simple business description).
Eligibility Criteria
- Age: 20 to 60 years.
- Citizenship: Resident Citizen of India.
- Income Source: Regular small income, often from self-employment or micro-enterprise activities.
- Credit History: A clean credit history is beneficial, though we may also consider individuals with limited or no credit history.
Typical Documentation Required:
- Photo Identity Proof: Aadhaar Card, PAN Card, Voter ID, or Passport.
- Proof of Residence/Address Proof: Aadhaar Card, Utility Bills (electricity, water, gas), or Rent Agreement.
- Income Proof (Simple): Depending on the lender, this might include bank statements (last 3-6 months showing consistent transactions), or other informal proof of regular income.
- Passport-Size Photographs.
- Business Proof (for Micro-Enterprises): Basic proof of business activity, if applicable (e.g., shop registration, vendor license, or a simple business description).
Your 5-Step Path to Faster Micro Loan Approval
Experience a quick and transparent application process with YesLoans:
Submit Your Basic Details
Share your contact information and loan requirement.
Get Quick Offers
Our system connects you with eligible micro loan offers designed for your needs.
Upload Minimal Documents
Securely submit the few necessary documents online.
Rapid Verification
Our team quickly verifies your details.
Instant Disbursal
Once approved, receive funds directly into your account.
Get In Touch With Us
We do not charge any upfront fees.
Find out the best deal we can offer without it affecting your credit score.
EMI Calculator
EMI
₹ 0Interest
₹ 0Total
₹ 0Why Trust YesLoans for Your Micro Loan?
FAQ
A business loan can provide the necessary funds to finance growth initiatives thus leading to business expansion. It also helps to maintain working capital to cover day-to-day operational expenses, such as purchasing inventory, paying salaries, managing cash flow, and meeting short-term obligations. It enables to bridge the temporary gaps in cashflow.
Here are some tips that can help:
- Prepare necessary documents in advance and gather all the required documents for the loan application, such as business financial statements, bank statements, income tax returns, identity proof, address proof, and any other documents requested by the lender.
- Maintain a good credit by paying bills and existing loans on time, keeping credit card utilization low, and minimizing credit inquiries
- Have a well-documented business plan which should outline your business goals, financial projections, repayment strategy, and how the loan funds will be utilized. It enhances your credibility as a borrower.
- Improve your debt-to-income ratio: the ratio of your monthly debt obligations to your monthly income. A lower DTI ratio indicates better financial stability.
- Consider collateral option helps to increase the chances of approval and expedite the process since secured loans have a lower risk for lenders.
There are several benefits of taking a business loan from us. Here are some key advantages:
- Financial flexibility: This can include expanding your operations, purchasing equipment or inventory, hiring staff, or meeting working capital requirements.
- Cash flow management: With a business loan, you can bridge the gap between payables and receivables, ensuring smooth operations.
- Tax benefits: Interest paid on business loans is eligible for tax deductions, which can help reduce your taxable income.
In general, lenders typically prefer businesses with a minimum turnover of around Rs. 10 lakhs to Rs. 25 lakhs per annum for small business loans. However, this requirement may vary significantly depending on the lender, loan amount, and the nature of the business.
You may be able to obtain a business loan for salaried individuals depending on the lender you choose, subject to any applicable eligibility requirements.
The eligibility is based on factors mentioned below:
- Last 2-3 years of financials to get an estimate of business’s financial health
- Nature of the industry the business deals in and how has that industry performed in recent times
- Obligations of the company for instance the other installments (EMIs), credit limits, etc
- The company’s past credit history