India, March 25 -- ATK

New Delhi [India], March 25: MSMEs need capital for operational purposes and expansion, where Indian business owners have access to different sources of loans. Banks provide conventional loan products, and NBFCs can offer more accommodating terms. Government schemes focus on MSME financing support, and online lenders provide instant, digital loans. MSMEs use these loans to buy equipment, increase business activities, or cover daily expenses, which helps the business to grow.

Types of Business Loans in India

1. Term Loans

Term loans are the most common business loans. Banks and financial institutions provide these loans for a specified duration. Entrepreneurs repay the loan in installments called EMI. Term loans ...