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WORKING CAPITAL

Never Let Cash Flow Stop Your Business Growth

Working capital loans up to Rs.2 Crores for inventory, payroll, vendor payments, and operational expenses. Revolving credit available for ongoing needs.

From 11%
p.a. Interest
Rs.2 Cr
Max Limit
Revolving
Credit Available
Working Capital Snapshot
Loan LimitRs.50 Lakhs
Interest Rate11.5% p.a.
UtilisationDraw as needed
RepaymentMonthly interest only
RenewalAnnual renewal
KEY FEATURES

Why Choose FinGarage for Working Capital?

Revolving Credit Facility

Withdraw and repay multiple times within your sanctioned limit. You only pay interest on what you use, making it cost-efficient for fluctuating needs.

Cash Credit & Overdraft

Choose between cash credit (for inventory funding) or overdraft (for general operational expenses) depending on your business model and banking relationship.

Flexible Repayment

Pay only the monthly interest during peak operational months. Principal repayment aligned with your cash flow cycle — not a fixed rigid schedule.

Digital Disbursement

Once sanctioned, withdraw funds digitally within hours. No queue at the bank. Works seamlessly with your existing current account.

25+ Lender Network

Access working capital from PSU banks, private banks, and NBFCs. We find the right match based on your business vintage, turnover, and industry type.

Minimal Documentation

Primary documents: GST returns, bank statements, and ITR. No collateral required for limits up to Rs.50 lakhs for qualifying businesses.

ELIGIBILITY

Working Capital Eligibility

Available for proprietorships, partnerships, private limited companies, and public limited companies with active business operations.

  • Business vintage of at least 2 years (3+ years preferred)
  • Annual turnover of Rs.50 lakhs or above
  • GST-registered business with regular filing compliance
  • Satisfactory banking conduct in primary operating account
  • CIBIL / CMIE commercial score above acceptable threshold
  • No existing NPA or write-off in the last 3 years

Documents Required

  • GST registration and last 12 months returns
  • Bank statements — 12 months, all operating accounts
  • ITR with computation for last 2 years
  • Audited balance sheet and P&L for last 2 years
  • Business KYC — PAN, Aadhaar, incorporation documents
  • Existing loan statements if any
THE PROCESS

How It Works

1
Share Business Details

Provide your turnover, banking history, and working capital requirement. Our advisor analyses your operating cycle to suggest the right credit structure.

2
Get Lender Shortlist

We match your profile with the most suitable banks and NBFCs from our network, presenting you options with rates, limits, and processing timelines.

3
Document Submission

Upload GST returns, bank statements, and business KYC through our secure portal. We manage lender communication from here.

4
Limit Sanctioned and Activated

Post approval, your credit limit is activated. Start drawing funds as needed directly from your bank account, same day.

Frequently Asked Questions

What is the difference between cash credit and overdraft?
Cash credit is primarily for inventory financing — funds are drawn based on stock statements and debtors. Overdraft is a general-purpose limit secured against a fixed deposit or property. Both are revolving facilities, but cash credit is more commonly used by traders and manufacturers while overdraft suits service businesses.
Is collateral mandatory for a working capital loan?
For limits up to Rs.50 lakhs, many lenders offer collateral-free working capital under CGTMSE guarantee cover. For higher limits, collateral in the form of property, fixed deposits, or debtors book pledge is typically required. We guide you to the right product based on your comfort level.
How is the interest calculated on a revolving credit?
Interest is charged only on the outstanding balance, not the full sanctioned limit. For example, if your limit is Rs.50L but you have drawn only Rs.20L, interest is charged on Rs.20L for the actual days used. This makes it significantly cheaper than a term loan for businesses with cyclical needs.
How often must working capital limits be renewed?
Most banks review and renew working capital limits annually. At renewal, your latest financial statements, bank statements, and credit score are reassessed. Timely renewal with clean conduct generally results in limit enhancements each year.
Can a new business get a working capital loan?
Businesses under 2 years find it difficult to get traditional working capital loans. However, invoice discounting, supply chain financing, and certain NBFC products are available for businesses as young as 6 months with strong buyer credentials. We identify the right option for your stage.

Keep Your Business Running Without Cash Flow Gaps

Get a working capital facility tailored to your business cycle. Free advisory, 25+ lender options.