HT Bureau
GUWAHATI, Dec 25: Axis Bank recently announced the launch of Digital Merchant Cash Advance Loans, an industry-first, cash-flow-based lending solution aimed at improving credit access for micro and small businesses across the country.
The fully digital product offers unsecured loans ranging from ₹2 lakh to ₹20 lakh and is designed primarily for retail merchants and small businesses.
Related Posts:
Unlike traditional lending models, eligibility is assessed using cash-flow intelligence and other data parameters instead of conventional financial statements.
Under the new offering, customers are provided Axis Bank current account services as part of the loan journey, ensuring a seamless experience from onboarding to disbursement.
The bank said applicants receive an instant credit decision within minutes, with loan amounts disbursed within a few days.
A key feature of the product is its Everyday Instalment (EDI) repayment model, under which repayments are automatically collected through daily instalments linked to actual business cash flows.
This allows merchants to repay loans based on daily sales rather than fixed monthly EMIs, helping them maintain steady working capital.
Commenting on the launch, Vijay Shetty, President and Head of Commercial Banking Group at Axis Bank, said the product combines instant credit and current accounts into a single digital solution, supported by flexible daily repayments aligned with business needs.
He added that cash-flow-based underwriting would make timely funding more accessible for MSMEs and strengthen the bank’s data-driven lending approach.
With this initiative, Axis Bank aims to widen formal credit access for MSMEs that often face challenges due to lack of collateral or detailed financial records. Interested businesses can apply through Axis Bank branches or the bank’s website, officials said.
