Are you a partnership firm looking to secure an unsecured business loan? Whether you’re expanding your operations or need working capital, understanding the documentation required is the first step toward faster loan approval.
In this guide, Shivafinz outlines the key documents you need to apply for an unsecured business loan from banks or NBFCs.
What Is an Unsecured Business Loan?
An unsecured business loan is a loan without collateral, granted based on the firm’s financial performance, creditworthiness, and documentation. These loans are ideal for businesses that need quick funds without risking assets.
Documentation Checklist for Partnership Firms
Here’s a comprehensive list of documents you’ll need:
✅ 1. KYC Documents of the Firm and Partners
Banks and NBFCs require identity and address proof of both:
- The partnership firm
- All individual partners
Documents include:
- PAN Cards of firm and partners
- Aadhaar Cards of partners
- Partnership Deed
✅ 2. Business Registration Documents
Proof of business establishment and legal operation, such as:
- GST Registration Certificate
- MSME Registration (if applicable)
- Shop & Establishment License
- Sector-specific licenses (Pharma, FSSAI, etc.)
✅ 3. Bank Statements (6–12 Months)
Lenders want to verify:
- Cash flow consistency
- Daily transactions
- Average monthly balance (AMB)
Tip: Maintain an AMB of ₹50,000 or more for better loan eligibility.
✅ 4. ITR and GST Returns
- Income Tax Returns of 1 to 3 years
- Latest GST returns
These demonstrate the financial health and turnover of the business.
Why Proper Documentation Matters
Submitting complete and correct documents helps in:
- Faster loan processing
- Higher loan amount eligibility
- Better interest rates
Pro Tip from Shivafinz
Want to increase your loan approval chances? Keep your CIBIL score above 720, maintain regular GST & ITR filings, and avoid multiple recent inquiries on your credit report.
Final Thoughts
Unsecured business loans offer a great opportunity for growth-focused partnership firms. However, success lies in being prepared with the right documents.
For personalized loan guidance, documentation support, or faster approvals—
reach out to Shivafinz or follow us on Instagram, LinkedIn, Twitter & YouTube.