Secured Business Loans — Matched to the Right Lender

From Loan Against Property to Project Finance, CreditCares compares 50+ banks and NBFCs so your collateral works as hard as possible for your business.

CreditCares Secured Loans Overview Infographic
  • 8 secured loan types — one advisor, one comparison
  • Loan amounts from ₹50 Lakh to ₹500 Crore
  • Interest rates from 8.85%* p.a. (lender and profile dependent)
  • Eligibility check in 60 seconds — zero credit score impact
🔒 Secure & RBI-Compliant ⚡ Fast Disbursal in 5–7 Days 🚫 No Hidden Charges 😊 50,000+ Happy Borrowers
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What is a secured business loan?

💡 What it means

A secured business loan is a credit facility backed by collateral, such as property, machinery, lease rental income, or shares. Because the lender holds a legal charge on a physical asset, secured loans offer significantly lower interest rates, higher loan amounts, and longer repayment tenures than unsecured borrowing. This makes them the most cost-effective choice for established businesses.

Why Choose a Secured Loan?

When a lender asks for collateral, they reduce their lending risk—and pass those savings directly to you in the form of lower interest rates. For example, the same ₹2 Crore you might borrow unsecured at 18–20% per annum can typically be borrowed against property at 9–11% per annum. On a five-year loan, that difference equals several lakhs in saved interest.

Secured loans also unlock significantly larger capital. While an unsecured business loan rarely exceeds ₹5–7 Crore, a Loan Against Property or a Project Finance facility can reach ₹50 Crore and ₹500 Crore, respectively.

The eight secured loan types arranged by CreditCares are not one-size-fits-all. Each is designed for a specific combination of collateral, business situation, and repayment structure. The right choice depends on the assets you hold, how you plan to use the funds, and your ideal repayment timeline. Use the comparison below to identify your best fit before applying.

8 types of secured business loans we arrange

Each loan type below is matched to a specific asset class and business need. Click any product to see full eligibility criteria, required documents, and a step-by-step process.

Loan Against Property (LAP) 🏢

Best for business owners with owned residential, commercial, or industrial property.

  • Loan Amount: ₹1 Crore – ₹50 Crore
  • Tenure: Up to 15 years
  • Rate: From 8.85% p.a.*
👉 Explore Loan Against Property

Commercial Property Loan 🏗️

Best for buying, constructing, or renovating a commercial office, retail space, or warehouse.

  • Loan Amount: ₹1 Crore – ₹50 Crore
  • Tenure: Up to 20 years
  • Rate: From 9% p.a.*
👉 Explore Commercial Property Loan

Machinery & Equipment Loan ⚙️

Best for manufacturers buying CNC machines, packaging lines, printing presses, or industrial equipment.

  • Loan Amount: ₹50 Lakh – ₹50 Crore
  • Tenure: Up to 7 years
  • Rate: From 10% p.a.*
👉 Explore Machinery & Equipment Loan

Lease Rental Discounting (LRD) 📋

Best for property owners with long-term commercial tenants (banks, MNCs, government offices).

  • Loan Amount: Based on discounted rental income
  • Tenure: Up to 10 years (co-terminus with lease)
  • Rate: From 9% p.a.*
👉 Explore Lease Rental Discounting

Project Finance 🏭

Best for new factories, hospitals, hotels, infrastructure projects, and greenfield ventures.

  • Loan Amount: ₹5 Crore – ₹500 Crore
  • Tenure: Up to 15 years (with construction moratorium)
  • Rate: From 10.5% p.a.*
👉 Explore Project Finance

Term Loan 📊

Best for capital expenditure, business expansion, or purchasing commercial vehicles.

  • Loan Amount: ₹1 Crore – ₹100 Crore
  • Tenure: 1–10 years
  • Rate: From 10% p.a.*
👉 Explore Term Loan

Balance Transfer & Top-Up 🔄

Best for businesses currently paying above-market rates on existing secured loans.

  • Loan Amount: Outstanding balance + top-up
  • Tenure: Per new lender terms
  • Rate: From 8.85% p.a.* (typically saving 1–3% vs. current)
👉 Explore Balance Transfer & Top-Up

Promoter Funding 👤

Best for promoters or directors needing personal liquidity without disturbing company finances.

  • Loan Amount: ₹1 Crore – ₹50 Crore
  • Tenure: Up to 5 years
  • Rate: From 10.5% p.a.*
👉 Explore Promoter Funding

Disclaimer: Interest rates are indicative and depend on the lender, credit profile, collateral type, and business turnover. Confirm current rates with your CreditCares advisor.*

Compare all secured business loan types at a glance

Loan Type Best Collateral Max Loan Max Tenure Rate Range End-Use
Loan Against Property Residential, Commercial, or Industrial property ₹50 Crore 15 years 8.85–11.5% Any business purpose
Commercial Property Loan Property being purchased ₹50 Crore 20 years 9–11.5% Property acquisition only
Machinery & Equipment Machinery/equipment being purchased ₹50 Crore 7 years 10–13% Asset purchase only
Lease Rental Discounting Leased commercial property Rental-based 10 years 9–10.5% Any business purpose
Project Finance Project assets + promoter guarantee ₹500 Crore 15 years 10.5–13% New project/expansion
Term Loan Property, machinery, or business assets ₹100 Crore 10 years 10–13% CapEx or expansion
Balance Transfer & Top-Up Existing mortgaged property/asset Existing + top-up Per lender 8.85% onward Rate reduction + fresh funds
Promoter Funding Promoter shares or personal property ₹50 Crore 5 years 10.5–13% Personal use/promoter needs

Who can apply for a secured business loan?

CreditCares arranges secured loans for businesses across all structures and sectors. The baseline requirement is ownership of an eligible asset and a business with a demonstrable repayment history.

  • Proprietorships & Partnerships: Small businesses with owned property or machinery seeking structured, long-tenure funding at lower rates.
  • Private Limited Companies & LLPs: Registered companies with balance sheet strength, seeking large-ticket loans for capital expenditure or expansion.
  • Manufacturers & Industrial Units: Factories, foundries, fabrication units, and processing plants needing asset-based finance for equipment.
  • Real Estate Developers: Builders with land or partially constructed assets seeking project-specific structured finance.
  • Property-Owning Traders & Service Businesses: Businesses using owned commercial or residential property to unlock working capital.
  • Promoters & Directors of Corporates: Individuals seeking personal liquidity against shareholdings or personal property without impacting company liabilities.

How to get a secured business loan through CreditCares

1

Check Eligibility (60 Seconds)

Fill out our quick online form with basic details, including your required loan amount, business type, and estimated asset value. There is zero impact on your credit score at this stage.

2

Get Your Free Loan Comparison

Our advisors identify which of the 8 secured loan types fits your collateral and business profile. We then compare offers across 50+ banks and NBFCs, showing you rates, tenures, and processing fees side-by-side.

3

Choose Your Loan Type and Lender

Pick the option that works best for your situation. Our advisors will walk you through every term, including prepayment clauses and processing fee structures, before you commit.

4

Submit Documents

Share documents digitally or via doorstep pickup. Our team performs a pre-submission review to catch gaps before they reach the lender, reducing the back-and-forth that often delays approvals.

5

Collateral Valuation & Legal Verification

The lender appoints an approved valuer to assess your asset and a legal team to verify the title and ownership chain. This is typically completed within 3–7 working days.

6

Sanction & Disbursal

Post-approval, you sign the loan agreement, and funds are credited directly to your account. The total timeline from document submission is generally 7–15 working days for most secured loan types.

Our trusted bank and NBFC partners

We work alongside India's most reputed financial institutions to secure the best business loan terms for you. Our relationships span public sector banks, private sector banks, and leading NBFCs and housing finance companies.

Public Sector Banks: SBI · Bank of Baroda · Punjab National Bank · Canara Bank · Union Bank of India · Bank of India

Private Sector Banks: HDFC Bank · ICICI Bank · Axis Bank · Kotak Mahindra Bank · Yes Bank · IndusInd Bank

NBFCs & HFCs: Bajaj Finserv · Piramal Finance · Tata Capital · L&T Finance · Shriram Finance · Aditya Birla Finance

Frequently asked questions about secured business loans

What is the minimum loan amount for a secured business loan?
Most lenders set a minimum of ₹50 Lakh for secured business loans, though some NBFCs start at ₹25 Lakh for machinery loans. CreditCares typically works with loan requirements from ₹50 Lakh upward, as this is where comparing across 50+ lenders provides the most financial value to the borrower.
What types of property are accepted as collateral?
Lenders in India accept residential property (self-occupied or rented), commercial property (offices, retail shops), industrial property (factories, warehouses, sheds), and agricultural land that has been officially converted to non-agricultural use. Residential properties with clear titles and no encumbrances typically attract the best interest rates. Properties with disputed ownership, incomplete registrations, or ongoing legal cases are not accepted.
Can I take more than one secured loan at the same time?
Yes, subject to overall Loan-to-Value (LTV) limits. If a property worth ₹5 Crore already has a ₹2 Crore loan against it, you can potentially access another ₹1–1.5 Crore depending on the lender's LTV cap (typically 50–70%). A second lender takes a "second charge" on the property. Some lenders accept this arrangement while others do not—this is a key detail CreditCares advisors check for you upfront.
How is the loan amount calculated for a Loan Against Property?
Lenders typically lend 50–70% of the property's current market value, subject to LTV caps. For example, on a property valued at ₹3 Crore, most lenders will sanction ₹1.5–2.1 Crore. The final amount is also constrained by your Debt Service Coverage Ratio (DSCR), meaning the lender needs to verify that your business income can comfortably cover the new EMI.
What is the difference between a Term Loan and a Loan Against Property?
Both are secured loans, but they differ in collateral flexibility and end-use. A Term Loan can be secured against various assets (property, machinery, business receivables) and is purpose-linked, typically for a specific capital expenditure. A Loan Against Property is specifically backed by immovable property and generally allows for free end-use of the funds, making it highly flexible. LAP rates are also usually lower than Term Loan rates when property is the collateral.
How long does approval take for a secured business loan?
The end-to-end timeline from document submission to disbursal is typically 7–15 working days for LAP and commercial property loans, 5–10 working days for machinery loans, and 30–90 days for Project Finance. The most time-consuming step is legal title verification. CreditCares' pre-submission document review helps reduce delays by catching paperwork issues before they reach the lender.

Not sure which secured loan fits your business?

Our advisors compare 50+ lenders across all 8 secured loan types and recommend the right product based on your collateral, turnover, and credit profile. The eligibility check takes just 60 seconds and has zero impact on your credit score.

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