Credit Score
What CIBIL Score Is Required for a Business Loan?
11 August 2026 · 4 min read
For business lending, two records matter: your personal CIBIL score and the entity's commercial bureau report. Weakness in either can stall a file.
Typical thresholds
- ✓Unsecured business loan: 685 and above, with 700+ preferred for better pricing
- ✓Secured business loan or LAP: some flexibility below 700 given the security
- ✓Working capital limits: banks generally expect 700 and above
- ✓Below 650: mainstream unsecured options largely close
Personal versus commercial score
The promoter's personal score reflects individual borrowing. The commercial report — CIBIL Rank for entities — reflects the business's own credit facilities. Lenders read both, and a clean personal record cannot fully offset a weak commercial one.
Options with a low score
- ✓Secured lending against property or fixed deposits
- ✓A co-applicant or guarantor with a stronger profile
- ✓Smaller ticket size with a shorter tenure to build a track record
- ✓Structured credit repair before applying — usually the cheapest path overall
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