India is emerging as a big name for startups and small-scale businesses. MSME loans play a key factor in helping individuals fulfil their dream of taking their business to a bigger scale. MSME loan has several factors that affect the borrower’s needs including its EMI, interest rate and tenure. In this article, we will focus on calculating and evaluating MSME loans through an EMI calculator.
Understanding MSME Loans
MSME loan is a type of loan that is specifically provided to start-ups or small-scale businesses. Under the government of India, there is a separate ministry for MSMEs that deals with small, and medium scale businesses and startups. Since these are mostly small-scale businesses they are in need to raise capital to fund their ideas. MSME loan comes into the picture to help them grow.
The eligibility criteria for an MSME loan do not require tedious documentation and can be applied online, as well. Additionally, there are different types of MSME loans available that you can opt for as per your requirements.
There are different criteria set up to determine whether a business is eligible for an MSME loan or not. In most cases, the interest rates and EMIs for MSME loans are subsidised like MSME loan for women and therefore it is important to carefully calculate the EMI.
What Makes MSME Loans So Popular?
MSME schemes are planned to offer growing businesses an opportunity to leverage the demands of the market. Opting for an MSME loan from a reputed lender like Lendingkart provides multiple advantages such as:
- They allow a seamless transaction
MSME loan is designed to promise an instant turnaround, ensuring the business can swiftly grow and achieve its dream.
- Finance management becomes easier
A growing business needs a stable cash flow to fulfil the demands and ensure efficient capital management.
- You can ensure asset safety
Since most of the MSME loans are unsecured, which means that MSMEs do not need to provide a security (asset) to get the loan sanctioned, the business stays safe even in case of a default.
- Helps you build a name for your business
The Indian market for MSMEs is highly competitive. A loan can help an MSME to establish its name in the market through advertisements. This also helps in creating a playing field for potential investors.
What is an MSME Loan EMI Calculator?
MSME loan EMI calculator is an online tool designed for borrowers to instantly understand the EMI for the loan they plan to apply for. The calculator provides accurate results with just three details- loan amount, interest rate and loan tenure- simplifying complex calculations for borrowers.
Why Using Lendingkart MSME Loan EMI Calculator is a Smart Idea?
Lendingkart MSME loan EMI calculator offers multiple benefits that are futuristic and user-friendly. Take a look at the advantages of using an EMI calculator:
- You can get results instantly
For MSMEs, it is important to understand the EMI for loans without wasting time on complex formulas. Through the Lendingkart calculator, MSMEs can get their EMI by feeding three details- loan amount, interest rate and tenure.
- The results are accurate
A manual calculation using formulas comes with the risk of inaccurate results and complexities. An EMI calculator provides accurate results and is a reliable option.
- Dividing the EMI becomes easy
When it comes to MSME loans, many factors decide your EMI. A calculator makes it easier for MSMEs to compare EMIs and interest rates of different lenders to make an informed choice.
- It helps you in financial planning
An EMI calculator allows MSMEs to evaluate their monthly expenditure and opt for a loan that aligns with their financial capabilities to avoid unnecessary burdens.
The Bottom Line
MSMEs are shaping the present and future of India. According to a recent survey, around 4.5 million MSMEs have generated employment for over 100 million individuals. To pave a smoother ride for MSMEs, a loan is provided. Lendingkart loans offer a quick sanction featuring comfortable interest rates and convenient EMI options. The MSME scheme is a catalyst for emerging ideas that empower businesses to create a strong foot in the market.