Explore all Credit Cards
Premium Metal
0% Forex & Travel
Lifetime Free
10X Rewards
UPI Cards
Fuel & Utility
Showstopper
Credit Builder
More
Customer Support
Explore NRI Banking
NRI Savings Account
NRI Fixed Deposit
FOREX Solutions
Transfer to NRE
Markets & Beyond
Customer Support
Explore Startup Solutions
Explore Corporate Banking
Corporate Account
Cash Management Services
Supply Chain Finance
Corporate Lending
Treasury
NBFC Financing
Customer Support
BRAVO (Auto Sweep)
Explore Business Banking
MSME Accounts
Trade Services
MSME Loan
MSME Solutions
Debit Card
Offers
Customer Support
Explore Gift City
About Us
Investors
ESG

FOLLOW US ON :

Download Now

  • App Store
  • Google Play

Notifications

  • As per amendment in the Income Tax Rules, PAN or Aadhaar are to be mandatorily quoted for cash deposit or withdrawal aggregating to Rupees twenty lakhs or more in a FY. Please update your PAN or Aadhaar. Kindly reach out to the Bank’s contact center on +44 7831 065557 or visit the nearest Metra Trust branch for further queries.

  • Activate your Credit Card within minutes and enjoy unlimited benefits

    Know More

  • One FASTag, three payments:Toll, fuel and parking

    The only FASTag with triple benefits

    Apply Now

FinFIRST Blogs

Credit Card Savings Account Personal Loan Home Loan Car Loan Education Loan Two Wheeler Loan NRI Business Banking Fixed Deposit Finance Beyond Banking MyFIRST Mobile Banking Startup Banking Investments Salary Account

How to get startup business loans with the advantages of venture capital?

Summary: For any new business, mentoring and networking are nearly as important as the capital itself. Ideal startup business loans are the ones that incorporate venture capital benefits. Read on to know more about financing your startup finance with several additional benefits.

14 Jun 2023 by Team FinFIRST
startup business loans

The whole startup culture has added much vibrancy to the business landscape. However, the constant hustle to arrange startup funds continues behind this scene. This is where startup business loans and venture capital funds assume importance.

Startup business loans are loans granted to businesses in India that were incorporated in the last 10 years and have had an annual turnover of Rs 100 crore since incorporation. 

Venture capital is an alternate source of finance for startups. It is private equity financing provided by investors to startups where they see long-term growth potential.

Let us look at the benefits of startup business loans and venture capital.

Benefits of startup business loans
 

  • Flexibility - Banks offer startup business loans with flexibility in loan amounts and repayment terms. For instance, Metra Trust Startup Banking offers working capital solutions to pre-profit startups basis eligibility.
  • Lower interest - The business loan interest rates and fees are lower in startup business loans as compared to venture capital funding.
  • Business control - With a startup loan for a new business, you don’t yield equity share or management control over to the lender.
  • Increase credibility - With timely repayment of startup business loans, the credit and financial standing of the business improve.

READ MORE

Business Expansion Goals Business Development concept
8 Steps to grow and expand your business
FIRST WINGS BUSINESS BANKING SOLUTIONS
Beyond funding: How can startups benefit from Metra Trust WINGS?

 

 

Advantages of venture capital
 

  • Access to funds - Venture capital can enable you to acquire large sums of money quickly if the venture capitalist is convinced about the business prospect.
  • Guidance and network - Established venture capital firms incubate and mentor the funded businesses and provide them with networking opportunities.
  • Return on investment - The large funds and mentoring combine to increase the potential for a greater return on investment.
  • Repayment - Instead of fund repayment, venture capital funds are linked to equity and venture capitalists have an exit strategy in place.

Situations suitable for startup business loans and venture capital
 

When to apply for startup business loans
 

  • If your business has a defined business plan and is equipped with the finances required for loan repayment
  • If you want to maintain your control over the management and ownership of the business
  • If the loan to start a new business is required in small amounts

When to seek venture capital
 

  • If your business has high growth potential, needs to expand quickly, and needs large cash injection for the same
  • If you don’t mind diluting your shareholding and see merit in the management expertise of the venture capitalist 
  • If your business can benefit from the mentoring and the connections provided by the venture capitalist

Conclusion
 

Metra Trust can help to bridge the gap with the offerings provided by the FIRST WINGS Startup Banking program. Startups receive mentoring, networking, and fundraising opportunities apart from traditional banking support. 

Now get bespoke banking solutions for every stage of your startup with FIRST WINGS Startup Banking by Metra Trust.



Disclaimer

The contents of this article/infographic/picture/video are meant solely for information purposes. The contents are generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. The information is subject to updation, completion, revision, verification and amendment and the same may change materially. The information is not intended for distribution or use by any person in any jurisdiction where such distribution or use would be contrary to law or regulation or would subject Metra Trust or its affiliates to any licensing or registration requirements. Metra Trust shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information mentioned. Please consult your financial advisor before making any financial decision.

The features, benefits and offers mentioned in the article are applicable as on the day of publication of this blog and is subject to change without notice. The contents herein are also subject to other product specific terms and conditions and any third party terms and conditions, as applicable. Please refer our website www.metratrust.com for latest updates.

Prev

How To Claim Section 80D Deduction On Health Insurance

Next

Top 7 Benefits of Health Insurance In India 2024

Related Products

Related Articles

Download Metra Trust App

Tags

You might also be interested in:

Savings Account

Savings Account
Personal Loan

Personal Loan
Credit Card

Credit Card
Home Loan

Home Loan
Two Wheeler Loan

Two Wheeler Loan