Mumbai : Axis Bank, one of India’s leading
private sector banks, has announced the launch of Digital Merchant Cash Advance
Loans, an industry-first, cash-flow-based lending solution designed especially
for micro and small businesses across India. This innovative, fully digital
product offers unsecured loans ranging from ₹2 lakh to ₹20 lakh, enabling
merchants, particularly retail shops, to access quick credit and repay through
everyday instalments aligned with their business cash flows.
The solution is entirely digital,
with eligibility evaluated through cash-flow intelligence and other parameters
rather than traditional financial statements. As part of the loan journey,
customers will also be extended Axis Bank current account services, ensuring a
seamless end-to-end experience from onboarding to disbursement. Applicants
receive an instant credit decision within minutes, and funds are disbursed
within few days. Repayments are automatically collected through daily
instalments, allowing merchants to repay based on actual sales instead of hefty
EMIs. This Everyday Instalment (EDI) model offers repayment flexibility and
helps maintain steady working capital.
Commenting on the launch, Vijay
Shetty, President & Head - Commercial Banking Group, Axis Bank, said,
“Digital Merchant Cash Advance Loans bring instant credit facility and current accounts
together into one seamless, digital solution, supported by flexible daily repayments
aligned to merchants’ business needs. By leveraging cash-flow-based
underwriting, we aim to make timely funding more accessible for MSMEs. This
launch is a significant step in advancing our data-driven lending and reinforcing
out commitment to empower India’s MSMEs with simple, fast and reliable credit.”
With this launch, Axis Bank further
strengthens its focus on the MSME sector by widening credit access and enabling
faster funding for businesses that traditionally struggle to obtain formal credit
due to limited or no collateral or financial statements. MSMEs seeking to
avail Merchant Cash Advance can apply through their nearest Axis bank branch or
visit the website for further information.