Bank of Baroda Business Loan

Please Note: Bank of Baroda is not a Paisabazaar partner. Offers would be from partner banks/NBFCs only.

Bank of Baroda (BOB) is a public sector bank that offers business loans, working capital loans, digital Mudra loans and a range of MSME loans to business owners, self-employed professionals, MSMEs, large corporates, and several other business entities. MSME loan interest rates offered by Bank of Baroda vary from borrower to borrower. Further discussed are various types of MSME loan schemes offered by the Bank of Baroda with related details.

Bank of Baroda – MSME Loan – 2023

a) Composite Loan

Composite Loan – Highlights
Purpose	Fixed capital investment and/or working capital requirements
Interest Rate	Linked with Repo Rate/MCLR
Loan Amount	Up to Rs. 1 crore
Repayment Tenure	From 3 years to 10 years, moratorium 12 months to 18 months
Collateral/Security	Not required
Margin	·         Nil in case of composite loan up to Rs. 25,000 ·         15% – 25% in case of composite loans above Rs. 25,000 and up to Rs. 100 lakhs

b) Digital MSME Loan

Digital MSME Loan – Highlights
Purpose	Working capital fund-based facilities
Interest Rate & Charges	As per Bank’s policy
Loan Amount	Rs. 10 lakh – Rs. 5 crore
Security	·         First charge on all assets created out of the loan extended to the borrower; or ·         As mutually agreed by the Bank and the Borrower

Eligible Entities for Digital MSME Loan

• Micro Enterprise: Investment in Plant and Machinery or Equipment shall not exceed Rs. 1 crore and Turnover shall not exceed Rs. 5 crore
• Small Enterprise: Investment in Plant and Machinery or Equipment should not exceed Rs. 10 crore & Turnover should not exceed Rs. 50 crore
• Medium Enterprise: Investment in Plant and Machinery or Equipment shall not exceed Rs. 50 crore & Turnover shall not exceed Rs. 250 crore

Eligibility Criteria

• Manufacturing Enterprises should be engaged in the manufacture or production, processing or preservations of goods with investment in Plant & Machinery and turnover
• Service Enterprises should be engaged in providing or rendering services and whose investment in equipment and turnover as specified above

c) Baroda Energy Efficiency Project (BEEP) Finance

Baroda Energy Efficiency Project (BEEP) Finance – Highlights
Eligible Entities	ESCO or Host entity falling under Micro & Small category
Interest Rate	As applicable for MSE Borrowers
Loan per Project	Rs. 10 lakh – Rs. 15 crore
Repayment Tenure	Up to 5 years, including Moratorium
SIDBI Guarantee	Up to 75% of the loan amount
Minimum Collateral	25% of the loan amount

Note: Guarantee Fee is slab-wise and based on grading of ESCO and payable by the borrower.

Additional MSME Loan Schemes – 2023

• Baroda Arogyadham Loan
• Baroda Energy Efficiency Project (BEEP) Finance
• Baroda Loan for Restaurants
• Baroda Loan to Business Correspondents
• Baroda SME Loan Pack
• Baroda Vidyasthali Loan
• Bill/Invoice Discounting under Value Chain Finance
• BOB MSME Loan
• BOB Weaver Mudra Scheme
• Commercial Vehicle Finance
• Credit Guarantee Scheme for Subordinate Debt (CGSSD)
• Credit Link Capital Subsidy Scheme (CLCSS)
• Dealers/Traders – Agriculture Inputs
• Digital Mudra Loan
• Loan for Construction and Mining Equipment
• MSME Capex Loan
• MSME Loans under PMEGP
• MSME Textile Scheme
• MUDRA Loan under PMMY
• NHFDC Refinance
• PM SVANidhi Scheme
• Pre-Sanctioned CME Loan Limits for Strategic Segment
• PSB Loans in 59 minutes
• Scheme for Financing Textile Units
• Scheme for Professionals
• SME Medium Term Loan
• SME Short Term Loan
• Standup India Scheme (SUI)
• Technology and Quality Upgradation (TEQUP) Scheme
• Technology Upgradation Fund Scheme (TUFS)
• Term Finance
• Vendor Bill Discounting for large Real Estate Developers
• Working Capital Finance

Also Know: Documents required & How to apply for MSME loan Scheme online

Comparison of Business Loan Interest Rates offered by Top Banks/NBFCs – 2023

Bank/NBFCs	Interest Rate
Axis Bank	14.95% - 19.20% p.a.	Apply Now
Bajaj Finserv	9.75% - 30% p.a.	Apply Now
Flexiloans	1% per month onwards	Apply Now
HDB Financial Services Ltd.	Up to 36% p.a.	Apply Now
HDFC Bank	10% - 22.50% p.a.	Apply Now
IDFC First Bank	10.50% p.a. onwards	Apply Now
Indifi	1.50% per month onwards	Apply Now
Kotak Mahindra Bank	16% - 26% p.a.	Apply Now
Lendingkart	12% - 27% p.a.	Apply Now
Mcapital	2% per month onwards	Apply Now
NeoGrowth Finance	19% - 24% p.a.	Apply Now
Tata Capital	12% p.a. onwards	Apply Now
UGRO Capital	14.90% p.a.	Apply Now

Basic Eligibility Criteria for MSME Loan Schemes

Below mentioned is the eligibility criteria to apply for business/MSME loan from BOB:

• Minimum age of the applicant should be 18 years and maximum up to 65 years
• Business stability and good repayment history
• Applicant with good credit score (750 or above)
• Applicant who has not defaulted in past with any financial institution

Must Read: How to get Small Business Loans – Check Eligibility, Interest Rates & Top Providers

Documents Required for Loan Application

• Duly filled application form with passport-sized photographs
• Identity proof- Aadhaar card, PAN card, voter’s ID, passport
• Address proof- Aadhaar card, PAN card, passport, bank statement, agreement of rent, etc.
• Business address proof
• Business PAN card
• Copy of partnership deed, registration certificate by RBI, SEBI, etc.
• Copy of last 2 years income tax returns
• Last 6 months bank statement
• Business establishment proofs
• Any other document required by Bank of Baroda

Depending on your business loan type and credit profile, you might be required to submit additional documents.

Components of Business Loan Application Form

The Bank of Baroda business loan application form requires the following details:

• Applicant’s name
• Workplace address
• Loan amount
• Residential address of the proprietor
• Date of business commencement
• Contact details
• Business nature
• Proprietors details and address
• Banking details
• Security/collateral details
• Details of working capital to be invested

Steps to Check BOB Business Loan Application Status Online

To check the loan application status from the Bank of Baroda, you can follow these simple steps:

Step 1: Enter your ‘Proposal Acknowledgement ID’ that you received after form submission

Step 2: Enter the captcha text below

Step 3: Click on ‘Track Application’ to check the status of your loan application

Also Check: Which bank/NBFC gives a business loan for the lowest interest rates?

Toll-Free Number: 1800-180-MSME or 1800-180-6763