MSME Equipment Loan Overview
LoanPao’s MSME Equipment Loan in India 2025 provides financing up to ₹5 crore for micro, small, and medium enterprises to purchase or upgrade machinery and equipment. With competitive rates of 8%–14% p.a. and tenures up to 7 years, it supports MSMEs in enhancing productivity and growth. LoanPao’s network of 500+ RBI-compliant lenders ensures approvals within 2–5 days via a digital process, aligned with MSME Ministry schemes like PMEGP and CGTMSE. For broader MSME financing, explore our MSME Loan or Machinery Loan pages.
Apply below or use our EMI Calculator to plan repayments. Contact us at +91-971-769-5334 for assistance.
Benefits of MSME Equipment Loan
High Loan Amount
Up to ₹5 crore for equipment purchase.
Low Interest Rates
Starting at 8% p.a.
Flexible Tenure
Up to 7 years for repayment.
Trusted Lenders
500+ RBI-compliant banks and NBFCs.
Digital Process
Online application with e-KYC.
Collateral-Free Options
CGTMSE-backed loans for eligible MSMEs.
Eligibility Criteria
| Criteria | Details |
|---|---|
| Business Type | Micro, Small, or Medium Enterprises with Udyam registration |
| Business Vintage | Minimum 2 years of operation |
| Turnover | ₹10 lakh p.a. (minimum) |
| CIBIL Score | 650+ for better terms |
| Loan Amount | ₹5 lakh–₹5 crore (80%–100% of equipment cost) |
| Collateral | Equipment as primary security; collateral-free under CGTMSE |
Check your eligibility with our CIBIL login tool or contact info@loanpao.in.
Documents Required
- Udyam Registration Certificate
- KYC: Aadhaar, PAN of proprietor/partners
- GST Returns: Last 12 months
- Income Proof: ITR for 2 years
- Bank Statements: Last 12 months
- Equipment Quotation/Invoice
- Business License and Address Proof
How to Apply for MSME Equipment Loan
Apply with LoanPao in 3 simple steps:
- Fill the form below with business and equipment details.
- Upload KYC, financials, and equipment quotation via e-KYC.
- Get approval within 2–5 days and funds shortly after.
Start your application or call +91-971-769-5334 for support.
Compare MSME Equipment Loan Providers
| Provider | Interest Rate (p.a.) | Loan Amount | Tenure | Processing Fee |
|---|---|---|---|---|
| SIDBI | 8%–10% | ₹10 lakh–₹5 crore | 1–7 years | 0.5–1% |
| HDFC Bank | 9%–12% | ₹5 lakh–₹3 crore | 1–5 years | 0.5–2% |
| Bajaj Finance | 10%–14% | ₹5 lakh–₹2 crore | 1–5 years | 1–2% |
Note: Rates and terms are indicative and subject to change. Contact LoanPao for updated offers (July 2025).
Uses of MSME Equipment Loan
MSME Equipment Loans can be used for:
- Purchasing new machinery or equipment
- Upgrading existing equipment for efficiency
- Installing advanced technology (e.g., CNC machines)
- Expanding production capacity
- Replacing outdated or faulty equipment
Why Choose LoanPao for MSME Equipment Loan?
Wide Lender Network
Compare offers from 500+ RBI-compliant lenders.
EMI Calculator
Use our EMI calculator to plan repayments.
24/7 Support
Contact us at +91-971-769-5334 or info@loanpao.in.
Tips for a Successful MSME Equipment Loan Application
- Ensure valid Udyam registration for MSME benefits.
- Maintain a CIBIL score of 650+ for better rates.
- Submit accurate equipment quotations from verified vendors.
- Keep GST and ITR filings up to date for quick verification.
- Use our EMI Calculator to align EMIs with cash flow.