Manufacturing ties up money at every step — raw material, work in progress, finished stock and the 30 to 90 days customers take to pay. Machines need upgrading and orders don't wait.
Common needs
- Raw material and working capital — see working capital loans
- Machinery and equipment — see machinery loans
- Plant expansion, power backup, tooling
- Bridging large orders until buyers pay
What lenders look at
Business vintage, turnover in GST returns and ITR, banking history, existing loans, the promoter's credit record and, for machines, quotations. A clear view of your order book and receivables helps. Micro and small manufacturers can benefit from CGTMSE cover and should get Udyam registration.
Tips
- Match the loan to the need — short-term for working capital, longer for machinery. See working capital vs term loan.
- Keep receivables and payables records ready.
- Under the MSMED Act, micro and small enterprises are protected against delayed payments from buyers — use it.
How to apply with Oxon Fintech
Share your business details once, link your bank account digitally through Account Aggregator, and see offers from our lending partners. Check eligibility and the documents first, and plan the EMI with the business loan EMI calculator.