Working Capital Loan

Be it a large corporate or a small business, working capital is the lifeline of any business, a lack of it jeopardizes a company's ability to finance its day-to-day operations.

We design customized solutions for corporates, which range from the traditional working capital limits to unsecured trade finance, bill discounting and other features which enable corporates to raise funds without the need to provide collateral security at all stages and eases the liquidity of the business , With our innovative solutions, we help our clients to overcome the cash flow crunch and maximize the business potential.

Working capital requirements of a corporate depend on the vagaries of their industry. Hence there can be no “One Size fits all “solution. We therefore tap multiple sources to organize the working capital solutions for corporates for their long-term working capital needs and also short-term needs:

These sources of working capital include:

  • Cash Credit Limits
  • Working Capital Term Loan (WCTL)
  • Buyers Credit
  • Trade finance for international operations
  • Trade finance for domestic operations
  • Unsecured loans

We tap all lenders in the marketplace, such as Banks, NFBC, Lending platforms, Financial Institutions . This enables us to organize funds on most optimum terms for the corporate.

Benefits of Working Capital Loans

Working capital loans are typically a preferred choice over a regular business loan. Here are few reasons why:

  • Zero collateral requirement: When you are applying for an unsecured working capital loan to support your business, you are not bound to pledge an asset as a collateral. 
  • Short as well as long term repayment tenure: You can pay the loan between 9 months to 12 months in case of short-term capital loan. In the case of long-term capital loan, the repayment tenure is stretched up to 84 months and more.
  • Fast and easy loan approval process: With no asset/collateral to evaluate, the approval process becomes easy. At the same time, the lending facilities tend to approve the loan for working capital fast.
  • Perfect for seasonal businesses: If you have a business where you deal with seasonal items such as winter clothes, seasonal fruits and other merchandise on demand, then getting a working capital loan can assure a stable annual turnover. 
  • Freedom of spending limit: Working capital loans are free from the usage vantage point. You are free to use the funds as and when you need given the fact that you need it for valid business purposes. Apart from this, there are no restrictions imposed on how you are using the loan.

Why Maxigain Capital for Your Working Capital Loan?

We understand that every business is different and unique in its own way. What is fit for one company may not be the right solution for another. That’s why, because of our deep and thorough understanding, we help corporates raise funds using our creative, customizable and innovative solutions. 

Fund related issues, such as lack of cash flow, poor cash management etc., are tackled well to ensure optimum cash flow management which ultimately contributes to the positive growth in business. Since there is no one solution for every business, we do our very best to lean onto multiple sources to organize working capital solutions. These solutions encapsulate long-term as well as short-term solutions.  

What’s attractive about working with us is that we are equipped with a huge and reliable network of lending institutions such as banks, NBFCs, financial institutions and other lending platforms. We can get you funds quickly and in highly favorable terms. Reach out to us today so that we can help your business rise and shine with better working capital related solutions.

Working Capital Loan

Frequently Asked Questions

An MSME working capital loan is a business loan taken to manage day-to-day operations such as salary management, rent payments, logistics payment, inventory maintenance, purchasing stock or raw materials etc. An MSME working capital loan is the loan taken without pledging a collateral/third-party guarantee.

MSME working capital loans can be taken by individuals, start-ups, SMEs, MSMEs, Private and Public Limited Companies, Partnership Firms, Sole Proprietorships, self-employed professionals and other business entities. 

You can borrow up to Rs. 5 crores as working capital under an MSME working capital loan.

For securing a working capital loan, you need to have a good credit history as well as a healthy CIBIL score. To ensure a shiny report of credit history and CIBIL score, make sure you pay bills and/or debts regularly and on time.

Maxigain Capital can get you an in-principal confirmation from the bank within 3 working days.  We help MSMEs with:

  • obtaining the maximum amount of loan without needing collateral
  • at the lowest interest rate possible 
  • having the hassle-free and painless procedure in getting the business loan, and
  • having the pleasure of fastest turnaround

Our USP lies in bearing a huge network of lending facilities. Once we have gathered all your documents, we span out in the market to get the best deal, and also help you out in the pre and post-application process. You do not have to worry about getting constant inquiry or follow-up calls from the lending facilities because we believe in keeping our clients’ personal details safe and sound. In simple words, you focus on your business while letting us do the heavy lifting, for you!

We help with:

  • Cash Credit Limits
  • Working Capital Term Loan (WCTL)
  • Buyers Credit
  • Trade finance for international operations
  • Trade finance for domestic operations
  • Unsecured loans

The interest rate on MSME working capital loans are typically higher than of term loans. The rate depends upon the business needs and type, the amount of loan, the lending facility’s policies, etc.

If you are choosing an unsecured business loan as a working capital loan, then you do not need to pledge any collateral.

A working capital loan is often cited to make the daily business operations smooth and hassle-free. These loans are not suitable for business expansion, but rather for meeting daily errands and to avoid cash flow crunch. 

The repayment tenure for short-term MSME working capital loans can be from 3 years to 5 years. 

Working capital loans come with plenty of benefits such as:

  • Collateral free business loan
  • Fewer documents needed
  • Fast and easy loan approval process
  • Suitable for seasonal businesses, and 
  • Restriction-free spending