MSME loans exist to give registered micro, small and medium enterprises access to working capital, equipment finance and expansion funding without the collateral burden a larger business loan might carry.
Loans up to ₹30 lakhs are commonly offered unsecured, provided the business shows stable turnover and cash flow. Beyond that, lenders typically ask for collateral or a stronger financial track record.
Government-backed schemes like CGTMSE, PMEGP and Mudra Yojana exist specifically to support MSMEs, and many lenders route eligible applicants through them for better terms.
