What a bank checks in a trading file
- GST sales vs money in the bank — big gaps often mean a smaller limit.
- Gross margin and how fast stock sells — odd margins for your trade invite more questions.
- How old unpaid bills are — bills older than about 90 days are often left out of how much you can draw this month (drawing power).
- Cash deposits — heavy cash needs a clear note.
- Do you depend on one buyer or one supplier?
- Do cheques bounce? Do you stay inside your limit?
Loans that often fit traders
| What you need | Loan type |
|---|---|
| Stock and unpaid bills | Cash credit |
| Flexible funds against property | Overdraft (including a cash limit that falls step by step as you repay) |
| Shop, godown or showroom purchase | Loan against property or commercial purchase loan |
| Supplier credit | Letter of credit (LC) — a bank promise to pay your supplier |
| Working capital against property | Secured cash credit / overdraft |
How JR Loan Advisors works with traders
CA Jitendraa Rathi has 20 years of experience with loans, including deciding business loans at two banks. Full career on the About page. We work on loans of ₹5 crore and above. You may pay us a fee. We tell you the amount in writing before we start.
Written and reviewed by CA Jitendraa Rathi, Chartered Accountant (CA membership number 217936) · Ex-banker, 20 years of experience in credit and lending · LinkedInLast reviewed · Expert review: CA Jitendraa Rathi (ICAI 217936)
Official sources: bank rates and rules change, so check SBI loan interest rates, CGTMSE (collateral-free guarantee), Udyam registration.