Loan for Machinery

A Loan for Machinery is a specialized financing solution that helps businesses purchase new or used machinery, equipment, or industrial tools for manufacturing or service operations. These loans boost productivity and support business expansion without upfront capital investment.

Key Features

• Financing for purchase or lease of new/used machinery
• Loan amounts up to ₹2 crores or more
• Tenure typically ranges from 1 to 7 years
• Secured loans with machinery or business assets as collateral
• Custom EMI plans aligned with business cash flow

Eligibility Criteria

• Registered businesses and MSMEs with 1+ year operations
• Stable income and credit history
• Proof of machinery use in production or services
• Good repayment track record preferred

Required Documents

• KYC documents of business and promoters
• Business registration/license documents
• Bank statements (last 6–12 months)
• ITR and audited financials
• Quotation or invoice of machinery from supplier

Benefits

• Enables business to upgrade or expand operations
• Preserves working capital for other needs
• Tax benefits on machinery depreciation and interest
• Flexible repayment and pre-closure options

Top Lenders Offering Machinery Loans

These loans are offered by banks such as SBI, HDFC Bank, Axis Bank, ICICI Bank, SIDBI, and NBFCs like Tata Capital and Lendingkart.

Important Notes

• Collateral or down payment may be required for high-value machinery
• Interest rates vary based on business type and creditworthiness
• Timely submission of machinery quotes speeds up disbursal