How Do Business Loans Work for Freelancers and Solopreneurs
                     HOW DO 
BUSINESS LOANS 
WORK FOR 
FREELANCERS 
AND 
SOLOPRENEURS?
• The digital economy in 2025 has empowered 
professionals to work independently.
• Roles like graphic designers, digital marketers, 
consultants, and online sellers are increasingly common.
• While independence offers flexibility, the biggest hurdle 
remains access to capital for growth.
• Business and personal loans are emerging as key tools to 
support self-employed professionals.
Who Are Freelancers and Solopreneurs?
• Freelancers offer services independently, usually on 
a project or contract basis (e.g., writers, designers, 
marketers).
• Solopreneurs run a business alone often in 
eCommerce, coaching, consulting, or digital services.
While they function like small businesses, they often don’t 
have formal registration, audited financials, or a long credit 
history which makes traditional business loans harder 
to obtain.
Can They Get a Business Loan?
Traditional banks often demand lengthy documentation, audited 
financials, and business vintage (i.e., how long your company has 
been in existence). These requirements are difficult for solo 
workers to meet.
However, digital lending platforms and fintech apps have stepped 
in to fill this gap. They assess borrowers differently, often 
considering:
• Monthly bank statement inflows
• Consistency in income (even without a salary slip)
• Personal credit score
• Digital proof of business activity (e.g., websites, portfolios, 
client contracts)
Many platforms including the Kissht Loan App allow 
freelancers and solopreneurs to apply for business loan 
online or even personal loans for business purposes, offering 
flexibility and speed not found in traditional systems.
How Do These Loans Work?
When applying through a digital platform, the loan process 
for freelancers or solopreneurs typically looks like this:
1.Online Application: The borrower fills out a basic 
online form or applies through an app.
2.Document Upload: Instead of business 
registrations, the lender may ask for identity proof 
(Aadhaar, PAN), bank statements, and income tax 
returns (ITRs).
3.Credit Assessment: The platform evaluates 
repayment capacity based on past income inflows, not 
necessarily business profitability.
4.Loan Offer: Once eligible, a loan offer is made 
detailing the amount, interest rate, and repayment 
tenure.
5.Approval & Disbursal: After acceptance, the 
amount is disbursed often within 24–48 hours.
Borrowers can plan their repayments using tools like a 
business loan EMI calculator or personal loan 
EMI calculator, depending on the type of loan they 
choose
What Documents Are Needed?
While documentation is lighter than traditional loans, 
lenders still need some basics to verify your credibility. 
These typically include:
• PAN and Aadhaar cards
• 6–12 months of bank statements showing regular 
income
• Income Tax Returns (1–2 years) if available
• Client contracts, invoices, or service agreements
• Optional: Portfolio links, social media business pages, 
or website URLs
Lenders like Kissht have simplified the process further 
often requiring just your PAN and bank statement to get 
started with pre-approval.
Personal Loan vs. Business Loan: Which is 
Better?
For freelancers and solopreneurs, both options are on the 
table but they serve different needs.
• Personal loans offer speed and flexibility. 
They're usually unsecured and can be used for any 
business-related expense advertising, buying a laptop, 
attending a workshop, etc.
• Business loans, when approved, often come with 
higher limits and tax benefits. But they may require 
business registration, collateral, or more detailed 
financial records.
If you're just starting out or need quick loan app access, 
a personal loan online can be ideal. Use tools like a 
personal loan interest rate calculator to 
determine your EMI and choose the right tenure.
Why Freelancers Are Turning to Platforms Like 
Kissht
Freelancers and solopreneurs prefer instant loan apps 
and platforms like Kissht for several reasons:
• No collateral required
• Minimal documentation
• Fast approvals often same-day
• Loan amount flexibility, starting from ₹5,000
• Access to tools like Kissht app download, EMI planners, 
and customer support
Kissht, backed by a robust ecosystem, has become a go-to 
name in digital lending, especially for individuals without a 
formal business setup.
Addressing the Kissht Controversy: What You 
Should Know
As digital lending grew, some platforms including Kissht came 
under media attention.
Terms like Kissht Crackdown, Kissht Banned, and Kissht 
Suicide began appearing online. But here’s what you need to 
know:
• The so-called Kissht Crackdown was part of a broader 
regulatory sweep across the fintech sector, not targeted wrong 
doing.
• Claims of Kissht Banned were misinformation Kissht 
continues to operate legally and is available on app stores.
• Reports involving Kissht Suicide were tied to wider 
discussions about responsible lending and mental health. 
Kissht, in response, improved transparency, strengthened its 
grievance redressal system, and emphasized user education.
Despite the controversy, Kissht remains fully functional, compliant 
with guidelines, and trusted by thousands of users who use it 
responsibly for their personal or business funding needs.
 Final Thoughts
freelancers and solopreneurs can absolutely get business loans in 
2025. With the rise of fintech and platforms like Kissht, borrowing 
has become faster, easier, and more flexible.
Whether you're applying for a business loan for startups, 
exploring a loan for travel, or simply looking for the best 
personal loan in India, always:
• Compare interest rates
• Read terms carefully
• Borrow only what you can repay
• Use tools like online instant loan app calculators to plan 
wisely
Being independent shouldn’t stop you from growing. With the right 
loan product, your solo venture can scale like never before.