With the introduction of the cloud kitchen concept in the food industry, the market is experiencing rapid growth and success. The cloud kitchen, also known as virtual kitchen, is gaining popularity because of its high demand for online food delivery and low overhead costs.
However, to start or expand any cloud kitchen business, a business loans play a crucial role in expansion and purchasing new kitchen equipment. It provides capital for the growth and upgradation of your cloud kitchen business, enabling it to compete and succeed in the market.
If you are looking for a reliable business loan for cloud kitchen, NBFCs are financial institutions that provide financial services other than traditional banks. Moreover, Bajaj Finserv is a prominent NBFC in India which offers funding solutions to cloud kitchen businesses, helping them to scale up and manage the working capital with ease.
Understanding Business Loans For Cloud Kitchen And Restaurants
Business loan offers working capital for cloud kitchens, helping you to cover initial startup expenses, kitchen equipment purchasing, marketing and helps in building credibility. Moreover, there are different types of business loans for cloud kitchens and restaurants. It includes: –
- Working capital loan: – These loans are necessary to cover day-to-day expenses for your cloud kitchen business.
- Equipment financing loans: – These loans help you to cover the expenses of essential equipment purchases such as refrigerators, ovens, and other commercial kitchen appliances.
- Expansion and renovation loans: – These loans are necessary to fund your business expansion, upgrades or renovation for the success of your cloud kitchen business.
- Short-term Vs long-term loans: – Short-term loans come with a shorter period of repayment, and long-term loans come with a longer repayment period, especially for large investments or heavy loans.
Why Choose NBFC’s Like Bajaj Finserv For Business Loans?
NBFCs are Banking Financial companies that offer financial services similar to traditional banks but without any banking license. Thus, unlike traditional banks, NBFCs have more flexible eligibility criteria for business loans, enabling entrepreneurs or business people to avail loans with ease. In addition, NBFCs are better than traditional banks as it has….
- Flexible eligibility criteria
- No collateral
- Faster approval processing
- Less stringent documentation requirements
Moreover, Bajaj Finserv stands out in the market as it offers:-
- High loan amount at competitive interest rates– Bajaj Finserv offers loan amounts that meet your financial business requirement at attractive and competitive rates, ensuring that business owners can easily afford.
- Flexible loan repayment period – Bajaj Finserv provides a customizable repayment period enabling business people to flexibly manage their cash flow and schedules of loan repayment.
- Less documentation and quick approval– With Bajaj Finserv, the loan application process becomes simple, as there is less paperwork, and the process is streamlined, ensuring funds are provided promptly.
How To Apply For A Business Loan For Cloud Kitchen Or Restaurant From Bajaj Finserv
Bajaj Finserv is the leading financial service company that serves cloud kitchen businesses or restaurant businesses with easy access to credit, hassle-free financial solutions and customized financial services. Thus, if you want to apply for a business loan in Bajaj Finserv, here are the steps you need to follow
Check Eligibility
Before applying for the business loan, make sure that your business meets the criteria for getting a loan. There are a few eligibility criteria you must go through to qualify for a loan. It includes:-
- Age of applicant and the business– To qualify for the loan, the applicant must be between 25 and 55 years of age. In addition, the business of the applicant must be in operation for at least 3 years.
- Annual turnover – To qualify for the loan, Bajaj Finserv needs a minimum annual turnover between Rs 10 lakh and 50 lakh.
- Credit score – The CIBIL score of the applicant must be 750 or above to meet the eligibility criteria for the loan.
- Business type: Bajaj Finserv offers loans to businesses such as small businesses that involve retail and hospitality services and medium to large enterprises such as manufacturers and wholesalers. In addition, it may also offer loans to startups, but it depends on how stable or growing the business is in the industry.
- Business operations – If your business financial statements show profits in past years, then you are eligible for the loan.
- Loan amount and purpose – The Loan amount and its purpose for your business are also important in passing the loan eligibility criteria.
- Other factors– There are a few more things on which eligibility depends, including the location of the business and the outstanding debts of the company.
You may check the eligibility criteria online through the Bajaj Finserv online eligibility calculator, or you may contact Bajaj Finserv customer service.
Prepare Necessary Documents
You will have to submit specific documents to get a loan from Bajaj Finserv for your cloud kitchen or restaurant business. It includes:-
KYC documents:
For an individual, you need
- Adhar card for identification
- PAN card for tax purposes
- Passport-sized photograph
For business owners
- Proof of address
- Business registration certificate
- GST registration certificate
- Income tax return
- Tax-related documents
- Business license
Financial documents – It includes
- Past two years’ balance sheets
- Profit and loss statement
- Cash flow statement
- Income tax return for last 2-3 years.
- Credit score report
Ownership and address proof of business – It includes
- Utility bills
- Proof of ownership or lease agreement
Business type document –
If you have a start-up, you need to provide
- Business plan or report
- Founder’s profile
- Projected financial statements
For manufacturing or industrial business, you need
- Document related to inventory or equipment
Online Application Process
You may apply for a loan online by
- Apply for review
- Visit the Bajaj Finserv official website
- Go to the Business loans page
- Fill out the application thoroughly
- Upload the necessary documents
Loan Assessment And Approval
Once you have applied, wait for the approval. Bajaj Finserv will evaluate your application, and you may receive a call or mail if approved for verification.
Loan Disbursement
Once verified, you will get full details on how the loan will be released, either in installments or one time. In addition, a timeline for approval and disbursement of funds will also be decided.
List of Top RBI Registered NBFC’s 2024-2025
The Reserve Bank of India (RBI) maintains an updated list of registered NBFCs. As of June 30, 2024, this list is accessible on the RBI’s official website.
Here are some of the prominent NBFCs in India:-
- Housing Development Finance Corporation (HDFC)
- Bajaj Finance Limited
- LIC Housing Finance Limited
- Shriram Finance
- L&T Finance Holdings
- Tata Capital Financial Services
- Mahindra & Mahindra Financial Services
- Aditya Birla Finance Limited
- Muthoot Finance:
- Cholamandalam Investment and Finance Company
Conclusion
With the rise in demand for cloud kitchen business, securing a business loan for the growth of your cloud kitchen business is important for equipment upgradation, expansion of kitchens and managing cash flow.
Moreover, NBFCs like Bajaj Finserv are of great help as they offer business loans with less documentation, a hassle-free process and quick approval. Bajaj Finserv provides accessible financial solutions for business owners on flexible terms, opening a door that aligns with the business goals.
