Finance for Udyam-registered small businesses
MSME loans for Udyam-registered businesses
Micro, small and medium enterprises registered on the Udyam portal can access priority-sector lending from banks, and eligible micro and small units can borrow without property collateral under the CGTMSE credit guarantee scheme.
RateWise helps you check eligibility, get the Udyam registration and financials in order, and approach the lenders most active in MSME lending for your sector.
- Rate
- On profile
- Typical amount
- ₹5 L – ₹5 Cr
- Tenure
- Up to 10 years
Rates are indicative and depend on your profile, lender policy and benchmark rates. Final terms are set by the lender.
Who this loan is for
- Manufacturing and service units with Udyam registration
- First-generation entrepreneurs operating from rented premises
- Growing MSMEs looking to add machinery or capacity
Eligibility
- Udyam registration (free and online)
- Operating history — 1–3 years depending on the lender and scheme
- Filed ITR and GST returns
- Viable project or clear use of funds
Documents commonly required
- Udyam certificate and business registration
- KYC of promoters
- 2–3 years ITR and financials, or a project report for new units
- 12 months bank statements and GST returns
What affects your interest rate
- Whether the loan is covered under CGTMSE or backed by collateral
- Business financials and repayment capacity
- Promoter credit history
How RateWise compares lenders
We check scheme eligibility first, so you know whether collateral-free credit is realistic.
We compare interest, guarantee fees, processing charges and margin requirements.
We help prepare a clear project report where a lender asks for one.
How the application works
01
Share your profile
A short call or WhatsApp chat about income, existing EMIs and what you need. No documents at this stage.
02
Shortlist lenders
We match your profile to the lenders whose policy fits and apply only where approval is realistic.
03
Compare offers
Sanctions are compared on rate, processing fee, insurance, prepayment terms and tenure — not rate alone.
04
Documentation and disbursal
We help complete the lender's documentation and follow up until the money is disbursed.
Common mistakes to avoid
- Applying before Udyam registration is complete
- Assuming every bank processes CGTMSE loans with the same appetite
- Under-reporting turnover in ITR, which caps eligibility
Estimate your EMI
₹30,00,000
8.50%
20 years
Monthly EMI
₹26,035
- Principal
- ₹30,00,000
- Total interest
- ₹32,48,327
- Total payable
- ₹62,48,327
Use this calculator to estimate your EMI. Actual EMI depends on the final sanctioned amount, interest rate and tenure offered by the lender.
Want to know what rate you may qualify for?
Check My RateMSME Loan FAQs
What is CGTMSE?
The Credit Guarantee Fund Trust for Micro and Small Enterprises guarantees a large share of eligible loans, so banks can lend to micro and small units without property collateral. A guarantee fee applies.
Do I need Udyam registration for an MSME loan?
Yes, Udyam registration is required for MSME classification and scheme benefits. It is free and done online.