Banks have since recognised the tremendous development potential that still exists and have begun to provide loans to e-commerce businesses to assist them expand their operations and market penetration. Several major banks have created specialist lending services for e-commerce businesses, with loans available for small, medium, and large market players. Loans have come as a benefit to some e-commerce enterprises that are adding considerable value to the services they give as the industry becomes increasingly competitive.
E-commerce Loan Eligibility Criteria
· You must be a citizen of India
· You must be a self-employed individual.
· Self-employed individuals between 18 – 60 years are eligible and can apply for a Loan.
· You must have a business vintage of at least 3 years.
Funding Options for Ecommerce Businesses
1. Peer-to-Peer Lending
2. Bank Loans and Term Loans
3. Line of Credit
4. Merchant cash advance
5. Working capital
6. Inventory financing
Advantage of Online Ecommerce Loans
Who qualifies for an E-Commerce Loan?
Individuals who manage e-commerce businesses, partnership firms with an online presence, and enterprises that sell online can apply for an e-commerce loan. They should be registered on at least one of the major e-commerce sites.
E-commerce loans are accessible from a variety of financial organisations; before borrowing, an aspirant should examine the important aspects. The interest rate might range from 11% to 16.5 percent per annum. Advantageous conditions can be negotiated if the borrower has an excellent credit score.