Fuel the Growth of Your MSME

What is an MSME Term Loan?

An MSME (Micro, Small & Medium Enterprise) term loan is a structured business loan provided to registered MSMEs for a fixed tenure with regular EMI repayment. Unlike working capital loans, MSME term loans are typically used for capital expenditure, business growth, or asset creation.

At Explicit Finance, we understand the unique challenges faced by MSMEs — inconsistent cash flows, seasonal demand, and limited collateral. Our MSME term loans are designed around your business reality, not a rigid bank checklist.

What MSME Loans Can Be Used For

• Business expansion and opening new branches
• Purchasing land, buildings, or commercial property
• Upgrading machinery and technology
• Hiring and training employees
• Product development and diversification
• Meeting large export or tender orders
• Refinancing existing high-cost debt

MSME Classification (as per Udyam Portal)

• Micro Enterprise: Investment up to ₹1 Cr, Turnover up to ₹5 Cr
• Small Enterprise: Investment up to ₹10 Cr, Turnover up to ₹50 Cr
• Medium Enterprise: Investment up to ₹50 Cr, Turnover up to ₹250 Cr

Eligibility Criteria

• Business in operation for at least 1–2 years
• Udyam / MSME registration preferred
• Minimum annual turnover of ₹30 Lakhs
• GST registration (where applicable)
• CIBIL score of 650+ preferred
• Proprietorship, Partnership, LLP, or Pvt Ltd

Documents Required

• PAN Card & Aadhaar Card of promoters
• Udyam Registration Certificate
• Business registration / incorporation documents
• Latest 12 months bank statements
• GST returns for last 12 months
• ITR for last 2 years