MSME Loan
Loans for micro, small & medium enterprises — including Mudra and CGTMSE-backed collateral-free credit. Compare offers from our RBI-regulated bank & NBFC partners — free, with a dedicated advisor.
What is a MSME Loan?
MSME loans are designed for micro, small and medium enterprises — traders, manufacturers and service businesses. Because MSME lending is a priority sector for banks, eligible units can access government-backed schemes: the Pradhan Mantri Mudra Yojana for micro enterprises (Shishu up to ₹50,000, Kishore up to ₹5 lakh, Tarun up to ₹10 lakh, and Tarun Plus up to ₹20 lakh for borrowers who have repaid an earlier Tarun loan) and CGTMSE guarantee cover that allows collateral-free loans. Udyam registration is the starting point for most of these benefits.
LTV / collateral: Collateral-free options — via CGTMSE guarantee and PM Mudra Yojana for eligible units.
Why take it through Kredistar
- Access to Mudra, CGTMSE and Stand-Up India schemes
- Collateral-free options for eligible units
- Loans from ₹50,000 to ₹2 Crore
- Guidance on Udyam registration and documentation
- One application compared across our bank & NBFC panel — zero fee to you
Types of MSME Loan
Collateral-free loans for micro enterprises in four categories: Shishu, Kishore, Tarun and Tarun Plus.
Term loans and working capital without collateral, guaranteed by CGTMSE for eligible micro and small enterprises.
Funding for equipment, renovation or expansion of an existing enterprise.
Loans between ₹10 lakh and ₹1 crore for greenfield ventures by SC/ST and women entrepreneurs.
Cash credit or overdraft limits to fund inventory and receivables.
Eligibility
- Udyam-registered micro, small or medium enterprise
- Indian resident proprietor / partners / directors
- Business plan or financials as applicable
- Satisfactory credit history
Documents
- PAN & Aadhaar of proprietor / partners / directors
- Udyam / business registration proof
- GST returns — last 12 months
- Bank statements — last 12 months
- ITR and audited financials — last 2 years
Do’s
- Register on the Udyam portal (it is free) before you apply
- Keep GST filings and bank statements up to date
- Ask the lender which government scheme you qualify for
- Borrow in line with your monthly cash flows
- Keep sanction letters and repayment records safe for future top-ups
Don’ts
- Don’t pay any agent to get a Mudra or government-scheme loan — there is no such fee
- Don’t mix personal and business transactions in one account
- Don’t miss EMIs — it affects both your CMR and personal CIBIL
- Don’t take a large term loan for a short-term stock need
- Don’t share OTPs or banking passwords with anyone
Estimate your MSME EMI
Indicative calculation on a reducing-balance basis. Excludes processing fee, GST and other lender charges.
MSME Loan — common questions
Is Udyam registration mandatory?
What are the Mudra loan categories?
Can a new business get an MSME loan?
Is there any fee to apply through Kredistar?
Our banking & NBFC partners
Loans are sanctioned and disbursed by these RBI-regulated lenders. Kredistar is their sourcing partner (DSA) — compare them and apply in one place.
Indicative starting rates published by lenders (Oct 2026) — your rate depends on your profile. Names and logos are trademarks of their respective owners, shown only to identify our lending partners.
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