Ujjivan Small Finance Bank Business Loan

Updated on February 14, 2025

Author: MybankingTips Team

Ujjivan Small Finance Bank helps people who usually don't get help from banks. It's like a special bank that gives money help to those who don't have much. They offer different ways to help people with money who are often left out by regular banks.

Table of Contents
Interest Rates
Fees & Charges
Eligibility Criteria
Documents Required
FAQs

Ujjivan Small Finance Bank Business Loan Interest Rates

Also, Ujjivan Small Finance Bank (USFL) is a bank that's officially recognized by the Reserve Bank of India. They offer different types of loans for small businesses at interest rates starting from 12% per year.

Ujjivan Small Finance Bank MSE Loan
Category/Loan Type Secured Business Loan Secured Enterprise Loan Overdraft Against Property Business Edge Term Loan Business Edge Overdraft
Interest Rate 17% onwards 14% onwards 14% onwards 13% onwards 12% onwards
Repayment Tenure 36-120 months 36-120 months 12 months 36-120 months 12 months
Loan Amount Rs. 10 lakh- Rs. 25 lakh Rs. 10 lakh – Rs. 50 lakh Rs. 11 lakh – Rs. 50 lakh Rs. 25 lakh – Rs. 200 lakh Rs. 25 lakh – Rs. 200 lakh

Please note that the interest rates, fees, and charges mentioned are subject to change and are decided solely by the bank and RBI. Additionally, GST and service tax will be added to the mentioned charges.

Comparison Table of Business Loan Interest Rates offered by MybankingTips Partners:

Bank/NBFC/Fintech Interest Rate  
SBI Bank 9.10% p.a. Apply Now
HDFC Bank 10.00% - 22.50% p.a. Apply Now
Kotak Mahindra Bank 16% p.a. onwards Apply Now
RBL Bank 14%-26% p.a. Apply Now
ICICI Bank Up to 17% p.a. Apply Now
Axis Bank 10.75% p.a. Apply Now
IDBI Bank 8.05% to 13.45% p.a Apply Now
Bank Of Baroda 10% to 15% p.a Apply Now
Ujjivan Small Bank Up to 2.50% Apply Now
Bajaj Finserv 9.75% - 25% p.a. Apply Now
IIFL Finance 12.75% - 44% p.a. Apply Now
FlexiLoans 1% per month onwards Apply Now
ZipLoan 1% - 1.5% per month (Flat) Apply Now
Indifi Finance 1.5% per month onwards Apply Now
Five Star Business Finance Up to 2% Apply Now
Lendingkart Finance 1.25% per month onwards Apply Now
Tata Capital Finance 12% p.a. onwards Apply Now
NeoGrowth Finance 15% p.a. onwards Apply Now
Hero FinCorp Up to 26% p.a. Apply Now
Aye Finance Up to 2.5% Apply Now
Clix Capital Up to 3% Apply Now
Protium Finance Up to 1.5% Apply Now
HDB Finance 8% - 26% p.a. Apply Now
U GRO Capital Up to 9% p.a. Apply Now
Mcapital Business Up to 2% p.a. Apply Now

Also read: Best Business Loan Interest Rate

 

Fees and Charges of Ujjivan Small Finance Bank MSE Loan

Fees and Charges
Processing Fees Up to 2.50% of the loan amount + GST
Documentation Charges Up to Rs. 10,000 + GST
Stamp Duty At Actuals
CERSAI Charges Rs. 50 + GST for loan amount up to Rs. 5 lakh
Life Insurance Premium for Borrower As per guidelines of insurer

Additional charges such as pre-payment charges, foreclosure charges, penal interest, etc., are applied according to the terms outlined in the Sanction Letter provided by the NBFC (Non-Banking Financial Company).

Also read: Best Business Loan EMI Calculator

Eligibility and Usage for Ujjivan MSE Loan

Ujjivan Small Finance Bank's MSE (Micro and Small Enterprises) loans are available for both registered and unregistered MSEs (Micro and Small Enterprises) in three priority sectors, with minimum annual sales turnover requirements as specified below:

  • Services: Rs.15 lakh and above
  • Trading: Rs. 20 lakh and above
  • Manufacturing: Rs. 18 lakh and above

Also read: Best Business Loan Eligibility

Documentation Required to Avail a Loan from Ujjivan Small Finance Bank

  • PAN card
  • Bank statements
  • Passport-size photographs
  • Proof of address: Applicants can submit their Aadhaar card, passport, Voter's ID, or driver's licence
  • Proof of income
  • Company ID card

Also Read :  Best Business Loan Documents Required

Frequently Asked Questions

The range of interest rate offered under types of MSE loans are as follows: Business Edge Term Loan: 13-15% p.a. reducing Business Edge Overdraft: 12-14% p.a. Secured Business Loan: 17-19% p.a. reducing Secured Enterprise Loan: 14-17% p.a. reducing Overdraft Against property: 14-17% p.a.

The processing fee for USFL MSE loans amounts to up to 2.50% of the loan amount, in addition to GST (Goods and Services Tax). Also read: Best Business Loan Interest Rate

The minimum loan amount that can be obtained is Rs. 10 lakh, while the maximum loan amount is Rs. 2 crore.

The longest time you have to pay back a USFL MSE loan is 120 months.

Yes, you have the option to pre-pay your loan amount. However, if you choose to close the loan within 12 months of disbursement, there will be a penalty of 5% on the outstanding loan amount. If the loan is closed after 12 months of disbursement, a penalty of 3% will be applied to the outstanding amount.

The two main methods for loan disbursement are through NEFT (National Electronic Funds Transfer) or RTGS (Real-Time Gross Settlement).

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