Top Machinery Loan Schemes in India 2025 – Lowest Interest Rates, Quick EMI, and Financing Options for New Business or Equipment Purchase

Buying New Machinery in 2025? Here’s How to Fund It Without Burning Cash Reserves!

Running a factory, workshop, or startup in India? Then you know that the right machine can double your production, improve quality, and scale your profits.

But let’s be real , industrial equipment and machines don’t come cheap. That’s where a machinery loan comes in as a smart, affordable solution for new or used equipment financing.

In this complete 2025 guide, we’ll help you:

• Understand what is machinery loan is and how it works

• Compare machinery loan interest rates in India

• Calculate EMI using a machinery loan interest rate calculator

• Choose the best banks & NBFCs for machinery finance

• Know how to apply online for a machinery loan for new business, startups, or MSMEs

Let’s begin with the basics

What is a Machinery Loan & How Does It Work?

A machinery loan (also called a machine loan or a loan for machinery purchase) is a term loan offered by banks and NBFCs to help businesses buy, upgrade, or lease machinery. It’s ideal for:

• Factory setups

• Workshops

• Construction firms

• Agri-tech startups

• Food processing units

• MSMEs & more

Depending on your business needs, you can get:

• New or used machinery loan

• Secured business loan (against property or equipment)

• Unsecured machinery loan (based on credit & business turnover)

Once approved, the loan is disbursed directly to your business or the equipment vendor.

Machinery Loan Interest Rates in India — [Comparison Table 2025]

Here’s a quick snapshot of the best banks for machinery loans in India with interest rates & tenure:

Note: Rates may vary based on credit profile & business type.

Machinery Loan EMI Calculator — How to Know Your Monthly Cost?

Let’s say you take a ₹10 lakh machine loan at 12% for 5 years.

Your EMI would be around ₹22,244/month.

Want to plan better? Use any online EMI calculator for machinery loan — just enter:

• Loan Amount

• Interest Rate

• Tenure (in months)

It instantly shows:

• EMI

• Total interest payable

• Total repayment amount

Types of Machinery Loans You Can Get

There’s no one-size-fits-all loan. Based on your business stage and type, you can get:

How to Get a Machinery Loan in India — Step-by-Step Process

Here’s how to apply for a 1-year machinery loan online in India:

1. Check Eligibility

• Minimum 1-year business vintage

• ITR for 1–2 years (depends on lender)

• Good CIBIL score (above 650+ preferred)

1. Choose a Lender (Investkraft)
   Compare machine loan interest rates, processing fees, and repayment flexibility.

2. Apply Online
   Upload KYC, business proof, ITR, bank statements, machinery invoice, etc.

3. Loan Approval & Disbursal
   Usually takes 3–7 working days after documentation.

FAQs — Machinery Loan in India (2025)

Q1. What is a machinery loan, and how does it work?
A machinery loan is a type of business finance to purchase new/used equipment. You repay in monthly EMIs at fixed or reducing interest rates.

Q2. How to get a machinery loan for a startup business?
Many NBFCs and banks offer machinery loans for startups based on turnover, projections, and business plan. Collateral may not be needed for small ticket size loans.

Q3. What is the current interest rate on machinery loans in India?
In 2025, machinery loan interest rates range from 8.50% to 27%, depending on the lender, loan type, and your credit profile.

Q4. Can I get a used machinery loan?
Yes, many lenders like SIDBI, NBFCs, and PSU banks offer used machine loan finance with inspection and invoice verification.

Q5. Is collateral required for machinery finance?
Not always. You can get unsecured business loans for machinery if you meet eligibility and have good financial records.

Final Thoughts: Is Machinery Loan the Right Fit for You?

If you want to grow your business without breaking the bank, getting a machinery loan in India in 2025 is one of the smartest financial moves. It’s fast, flexible, and fuels your operations without putting pressure on working capital.

From machine loan banks to interest rate comparisons, you now have a full roadmap. Don’t delay growth — apply online for your machinery purchase loan and take your production to the next level.