Equipment, Machinery Loan for New Business

Trusted by over 5,000 businesses across 20+ cities and towns. Loans worth over 500 crores sanctioned so far.

Trusted by over 5,000 businesses across 20+ cities and towns. Loans worth over 500 crores sanctioned so far.

Machinery Loan for New and Existing Businesses in 2023

Machinery loans are a type of business loan designed to help SMEs in India finance their equipment purchases. With the Indian government’s focus on promoting domestic manufacturing and increasing exports, machinery loans have become a critical financing option for businesses looking to invest in modern and efficient equipment. Our machinery loan page provides comprehensive information to help business owners make informed decisions about their financing needs.

Machinery Loans are provided to a Manufacturer to buy machinery both Imported and Indian. It is generally available for existing Manufacturers looking forward to expanding their production capacity or for product improvisation.  But, since our mission is to EMPOWER MSME’s Financially irrespective of their number of years in business, our machinery loan services are available for startup manufacturers as well.

What is the Eligibility Criteria for Machinery Loan?

  • Applicants should be 21 years and above
  • Applicant with good credit score and repayment history
  • The firm/company must have procured all the relevant statutory permissions and licenses to start with Manufacturing Business

Calculate EMI on your equipment finance required for your business in just 3 Easy Steps, Click here

What are the Benefits of Machinery Loan?

  • It helps to buy new equipment/machinery for manufacturing business
  • Flexible loan repayment options with easy EMIs
  • Machinery loan for startups is an additional benefit for new businesses
  • Collateral-free loans to buy plant & machinery
  • Moratoriums of Minimum 3 months to maximum 24 months provided 
  • Attracts Government Subsidies ranging from 15% to 200% of the cost of machinery
  • Phase-Wise Disbursements are permissible.
  • Interest charged on per day/amount utilization basis

How to get Government Subsidy for Machinery?

There are multiple Government Subsidy schemes for Machinery in India. These Subsidies are given by various state Governments as well as Central Government too. 

Eligibility for Government Subsidy for Machinery Loan depends on which loan the Manufacturing Unit has availed to buy machinery

What is the Interest Rate for Machinery Loan?

Interest rates offered for machinery loans may vary depending on business requirements and the financial institution. However average cost of interest for Machinery Loan ranges from 9.50% to 15% per annum.

What about Machinery Loan Without Income Proof?

Under the Government sponsored CGTMSE scheme, any Manufacturing Business irrespective of number of years in business is eligible for Machinery Loan. The eligibility for startups is considered on the basis of projected income, hence and MSME can get Machinery Loan without Income Proof

What about Machinery Loans without Collateral Security for Startups? (UNSECURED MACHINERY LOAN)

Under Government sponsored CGTMSE scheme, any Manufacturing Business irrespective of number of years in business is eligible for Machinery Loan Without Collateral Security