If you intend on starting your own business in 2025 then the most probable challenge you will face is raising funds. But the sweet and simple way to overcome it also exists. It is just to become familiar with the top business loan schemes 2025. Wondering Why? Because financial illiteracy will pull you back every time you try to stand up. However, if you become knowledgeable enough on these schemes, nothing will stop your entrepreneurial dream to come true in this ongoing 2025.
Thankfully, several top business loan schemes in India can give your startup the boost it really needs. In this guide, we’ll break down the most popular and beneficial business loan for startups India. Whether you’re a first-time founder or expanding your new venture, it will guide you properly.
At Upniva, a leading fintech platform, we help you identify the best financing solutions. From MSME loan for new business to business startup loan without security, here’s everything you need to know.
What Role Does a Business Loan Play for Startups?
A startup business loan in India is credit for small businesspeople and entrepreneurs. These loan funds can be utilized to fund working capital, buy equipment, introduce new products, or add facilities. These loans can be secured or unsecured. Although several are offered through government business loan schemes.
Top Business Loan Schemes You Should Know
1. MSME Business Loan for Startups
- Fastest way to get up to ₹5 crores
- Application process is completely online
- Suitable for business loan for small startups
- Great for founders who want speed and scale
2. Pradhan Mantri Mudra Yojana (PMMY)
- Offers loans up to ₹20 lakhs
- Comes in 4 categories: Shishu, Kishore, Tarun, Tarun Plus
- Excellent business loan for new entrepreneurs
- No collateral required
3. Prime Minister’s Employment Generation Programme (PMEGP)
- Credit-linked subsidy for micro-enterprises
- Loan limit: ₹25 lakhs (manufacturing) and ₹10 lakhs (services)
- Subsidy: 15% to 25%
- Ideal MSME loan for new business ventures
4. Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE)
- Credit guarantee of up to 90% of the loan amount
- No need for collateral
- Good choice for first-time business owners
5. SIDBI Loans for Startups
- Offered by Small Industries Development Bank of India
- Range from ₹3 crores to ₹50 crores
- Includes green finance, working capital, and project finance
- Best suited for growth-stage startups
Interest Rates – What You Need to Know
Getting a business loan with low interest is crucial for startups. Here’s a look at the typical interest rates:
|
Bank/FI Name |
Interest Rate (p.a.) |
|
State Bank of India |
8.00% onwards |
|
Indian Bank |
8.80% onwards |
|
Punjab National Bank |
9.60% onwards |
|
Mahindra Finance |
7.20% onwards |
|
Lending kart |
1.25% per month |
| Muthoot Fincorp |
18% onwards |
Eligibility Criteria for Startup Business Loans
- Business should be in trading, manufacturing, or services
- Credit score of 750 or higher
- Annual income of ₹2 lakhs and turnover of ₹10 lakhs minimum
- No history of loan defaults
- Age of applicant: 21–65 years
- 3+ years of business involvement
How to Apply for a Startup Business Loan Online
Step-by-Step Startup Business Loan Application Guide:
- Visit the lender’s official site or the Upniva platform
- Choose a business loan for startups India product
- Fill in the application form online
- Submit KYC and business documents
- Wait for document verification
- Loan gets approved and disbursed within 48 hours
Why Choose Upniva?
- Expert-curated list of top business loan schemes 2025
- Compare offers from top banks for business loan
- Simple digital process
- Get real-time updates and expert support
Bottom Line
If you’re a startup looking for funding, understanding the business loan under government scheme landscape is crucial. From MSME loan for new business to fast approvals via the 59-minute loan scheme, 2025 is packed with opportunities. Upniva is your trusted fintech partner to guide you through the process of how to get business loan for your startup.
Whether you’re seeking a business loan for new entrepreneurs, need a business loan with low interest, or simply want the best option for your business type, there’s a scheme for you.
Don’t wait—explore the best business loan schemes India now with Upniva!
FAQs – Top Business Loan Schemes 2025
- What is the best bank for business loan in 2025?
SBI, Indian Bank, and SIDBI offer excellent options for startups. - How can I apply for a startup business loan online?
Visit Upniva or the lender’s site, choose a scheme, and follow the simple application process. - Are there government schemes for startup business loans?
Yes, PMMY, PMEGP, and CGTMSE are key startup business loan government schemes. - Can I get a business loan without security?
Yes, schemes like Mudra and CGTMSE offer startup business loan without security. - Who is eligible for business loans in India?
New and existing MSMEs with good credit and turnover, between the age of 21–65. - What is the maximum amount I can get under a business loan scheme?
Up to ₹5 crore via different business loan schemes. - How fast can I get a business loan in 2025?
With schemes like the 59-minute loan, you can get funds in under 48 hours. - What are the top business loan schemes 2025 available?
PMMY, PMEGP, CGTMSE, SIDBI Loans, and other various startup loans offered by NBFCs. - What are the key documents required?
Business proof, PAN, Aadhaar, financial statements, and bank details. - Why choose Upniva?
Upniva gives unbiased, expert-backed advice and simplifies the loan application journey.