Bank of Baroda Business Loan

The business loan interest rates offered by Bank of Baroda is linked to the existing repo rate or MCLR (marginal cost of funds based lending rate). However, the lender has not disclosed the interest rates for its business loan schemes.

Bank of Baroda Working Capital Finance Loan

Purpose: Bank of Baroda Working Capital Finance Loan enables corporations to meet their business-related expenses related to operational costs, inventory purchase and receivables financing. The lender offers both funded and non-funded facilities under their business loan scheme.

Funded facilities, both in Indian and foreign currency include funding and assistance to purchase business assets or meet business expenses. Non-funded facilities, on the other hand, includes letters of credit or guarantee provided by the bank on behalf their borrower to suppliers and government departments for procuring goods or services on credit.

Interest Rate: The interest rate for Bank of Baroda Working Capital Finance Loan is linked to the Repo Rate/MCLR, although the lender has not disclosed the interest rate range for this business loan scheme.

Bank of Baroda Term Finance Loan

Purpose: Bank of Baroda Term Finance Loan offers both fund and non-fund based finance enables business units to meet their business-related expenses. The lender offers fund based finance for incurring capital expenditure for starting/expanding industrial units/businesses or for swapping existing debt availed from other lenders.

On the other hand, the non-fund based finance offered by the lender comprises of deferred payment guarantee acquiring fixed assets for starting/expanding businesses/industrial units.

Interest Rate: The interest rate for Bank of Baroda Working Capital Finance Loan is linked to the Repo Rate/MCLR. However, the lender has not specified the interest rate for this business loan scheme.

Bank of Baroda MSME Loan

Purpose: Bank of Baroda MSME Loan enables MSME Units avail business loan for the following purposes:

Interest Rate: The interest rate for Bank of Baroda MSME Loan is linked to the Repo Rate/MCLR, although the lender has not specified the interest rates for this business loan scheme.

Bank of Baroda SME Medium Term Loan

Purpose: Bank of Baroda SME Medium Term Loan enables SME Units to avail business loan for the following purposes:

Loan Amount: Rs 25 lakh to Rs 5 crore

Loan Tenure: Up to 3 years

Loan Repayment: The loan should be repaid in equal quarterly/half-yearly instalments

Interest Rate: The interest rate for Bank of Baroda SME Medium Term Loan is linked to the Repo Rate/MCLR. However, the lender has not disclosed the business loan interest rates for this loan scheme.

Bank of Baroda SME Short Term Loan

Purpose: Bank of Baroda SME Short Term Loan enables SME business units (except for those in real estate, power education or IT sector) to avail term loan facility for meeting their temporary liquidity shortfalls or mismatches. This loan facility cannot be availed for repayments of unsecured loans, loans availed from other lenders, etc.

Loan Amount: Rs 10 lakh to Rs 2.5 crore

Loan Tenure: Up to 1 year, including the moratorium period

Interest Rate: The interest rate for Bank of Baroda MSME Loan is linked to the Repo Rate/MCLR. However, Bank of Baroda has not specified the interest rates for this business loan scheme.

Bank of Baroda Digital MSME Loan

Purpose: Bank of Baroda Digital MSME Loan enables MSME business units to raise finance for their working capital needs through digital mediums like Bank of Baroda website, bob World and bob World Internet.

Loan Amount: Rs 10 lakh to Rs 5 crore

Loan Tenure: Up to 1 year, subject to annual review

Interest Rate: Bank of Baroda has not specified the interest rates for its Digital MSME Loan scheme. Like other lenders, the bank may consider various factors like the credit profile of the loan applicants, the required loan amount and tenure, etc. while setting their interest rates.

Security: The security for Bank of Baroda Digital MSME Loan is the first charge on all assets created out of the business loan extended to the borrower or as agreed by the lender and the borrower.

Bank of Baroda SME Gold Card Loan

Purpose: Bank of Baroda SME Gold Card Loan enables SME business units avail working capital loans to meet the emergent requirements and manage temporary liquidity mismatches due to delayed payment by buyers, tax payments etc.

Loan Amount: Rs 10 lakh to Rs 5 crore

Loan Tenure: Up to 1 year, subject to annual review

Interest Rate: The interest rate for Bank of Baroda SME Gold Card Loan are decided as per the credit rating of the SME business unit. However, Bank of Baroda has not specified the interest rates for this business loan scheme.

Security: The security for Bank of Baroda SME Gold Card Loan is as follows:

Bank of Baroda MSE General Credit Card Loan

Purpose: Bank of Baroda MSE General Credit Card Loan enables MSE business units avail both fund based and non-fund based facilities (letter of credit or bank guarantee) for their working capital needs and for financing new projects i.e. acquiring land or constructing plant, building and machinery based on the project/expansion cost.

Loan Amount: Rs 25,000 to Rs 10 lakh

Loan Tenure: Maximum 7 years with 1 year moratorium (for term/demand loan) and 1 year (for working capital) subject to annual review

Margin: 20% (for working capital/term loan/demand loan/non-fund based loans) and 25% (for land and building)

Interest Rate: The interest rate for Bank of Baroda MSE General Credit Card Loan is linked to the Repo rate. However, Bank of Baroda has not disclosed the interest rates for its business loan scheme.

Bank of Baroda MSE Capex Loan and Capex Card

Purpose: Bank of Baroda MSE Capex Loan and Capex Card enables MSE business units procure funds for various needs like

Loan Amount: Rs 25 lakh to Rs 2 crores (for MSME Capex Loan) and Rs 5 crore (for MSME Capex Card)

Loan Tenure: 3 to 7 years (including moratorium period)

Margin: 25% (for plant and machinery) and 30% (for land and building)

Interest Rate: The interest rate for Bank of Baroda MSE Capex Loan and Capex Card is linked to MCLR/Repo rate. However, Bank of Baroda has not disclosed the interest rates for its business loan scheme.

Bank of Baroda SME Loan Pack

Purpose: Bank of Baroda SME Loan Pack enables SME units to avail funds for their working capital (both fund based and non-fund based) and capital expenditure requirements within the overall limit sanctioned to loan borrower.

Loan Amount: Rs 10 crore or 4.5 times the borrower’s tangible net worth, as per the last audited balance sheet, whichever is lower.

Loan Tenure: Up to 7 years

Margin: 25%

Interest Rate: The interest rate for Bank of Baroda MSE Capex Loan and Capex Card is linked to the Repo rate. However, Bank of Baroda has not disclosed the interest rates for its business loan scheme.

Bank of Baroda Composite Loans

Purpose: Bank of Baroda Composite Loans enables MSME units to procure funds to service their capex and working capital requirements.

Loan Amount: Up to Rs 1 crore

Loan Tenure: The loan tenure for Bank of Baroda Composite Loans are as follows:

Margin: 25%

Interest Rate: The interest rate for Bank of Baroda Composite Loans is linked to the Repo rate. However, Bank of Baroda has not disclosed the interest rates for its business loan scheme.

Security: The borrower need not submit any collateral or third party guarantee for availing Bank of Baroda Composite Loans.

Bank of Baroda Laghu Udyami Credit Card

Purpose: Bank of Baroda Laghu Udyami Credit Card enables small business units, retail traders, artisans, small-scale industrial units, village-based industries, professionals and self-employed persons, etc. procure funds to meet their credit requirements

Loan Amount: Up to Rs 10 lakh

Loan Tenure: The loan tenure for Bank of Baroda Laghu Udyami Credit Card is 3 years, subject to the bank’s internal annual review based on the operations/conduct of the borrower’s account

Margin: 25% for loans ranging from Rs 50,001 to Rs 10 lakh (Nil for loans up to Rs 50,000)

Interest Rate: The interest rate for Bank of Baroda Laghu Udyami Credit Card is linked to the Repo rate. However, Bank of Baroda has not disclosed the interest rates for its business loan scheme.

Bank of Baroda Bill/Invoice Discounting Under Value Chain Finance 

Purpose: Bank of Baroda Bill/Invoice Discounting Under Value Chain Finance enables vendors/sub-vendors of corporates having good financial discipline avail funds by way of bill/invoice discounting. Vendors or suppliers of manufacturing/service enterprises, except those involved in gems & jewellery, agriculture-based, real estate sectors and NBFCs, are eligible to avail this business loan scheme.

Loan Amount: Up to Rs 10 lakh

Loan Tenure: Up to 90 days

Margin: 10% of the invoice/bill amount

Interest Rate: The interest rate for Bank of Baroda Bill/Invoice Discounting Under Value Chain Finance is linked to the MCLR Repo rate. However, Bank of Baroda has not disclosed the interest rates for its business loan scheme.

Security: The lender has minimal or no requirement of security/guarantee for this loan scheme. However, Bank of Baroda has not disclosed the exact security/guarantee needed to avail this loan scheme.

The business loan eligibility criteria for availing Bank of Baroda Business Loans are as follows:

For Bank of Baroda SME Medium Term Loan

For Bank of Baroda SME Short Term Loan

For Bank of Baroda SME Gold Card Loan

All SMEs with annual sales turnover up to Rs 250 crore are eligible provided they fulfil the following criteria:

In case of existing accounts:

In case of takeover accounts:

Bank of Baroda Digital MSME Loan

Bank of Baroda MSE General Credit Card Loan

Bank of Baroda MSME Capex Loan and Capex Card

Bank of Baroda SME Loan Pack

Bank of Baroda Laghu Udyami Credit Card

All existing BOB customers in the MSE sector, who are dealing with the lender for last 3 years and having a loan or operative limit up to Rs 10 lakh are eligible for availing this loan.

Bank of Baroda Bill/Invoice Discounting Under Value Chain Finance

The Eligibility criteria foe availing Bank of Baroda Bill/Invoice Discounting Under Value Chain Finance are as follows:

The business loan documents required by Bank of Baroda for its loan schemes are as follows:

For Bank of Baroda Digital MSME Loan