What does Northern ARC lend?

Northern ARC writes dropline overdraft, operating lease, purchase invoice discounting, sales invoice discounting, secured term loan, vendor financing and 1 further products. Across those, observed facilities run ₹1 cr to ₹20 cr.

What ticket size does Northern ARC offer?

Facilities observed on live transactions run from ₹1 cr to ₹20 cr. The band differs by product, so the figure that applies to you depends on which facility you are asking for.

What rate does Northern ARC charge?

Rates observed on live transactions fall between 14% and 14.5% a year. Tenures run 12 to 36 months. These are observed figures, not a quote, and the rate you are offered depends on your file.

How long does Northern ARC take to disburse?

About 47 days from application to disbursal at the median, where the file is complete. Missing financials, unresolved security or a pending no-objection from an existing lender are what usually stretch it.

What are Northern ARC's eligibility criteria?

The first screen is the bureau: a borrower CIBIL of at least 650. Revenue, leverage and debt-service thresholds apply on top and vary by product. The full credit box for each product is set out on this page.

Lender profile

Northern ARC business loans

Northern ARC is on Recur Club's lender panel, writing dropline overdraft, operating lease, purchase invoice discounting and 4 other products. Observed tickets run ₹1 cr to ₹20 cr, priced between 14% and 14.5%. Median turnaround from application to disbursal is about 47 days.

✓Tickets from ₹1 Cr – ₹20 Cr across 7 products
✓Indicative pricing 14% – 14.5%, as quoted on live transactions
✓Around 47 days from application to disbursal when the file is clean
✓We check your fit against every lender on the panel, not just this one

Check your fit →See a typical term sheet

Products live

₹10 Cr

Median sanction

Days median turnaround

Sanction letters read

— The screen your file has to clear

The screen your file has to clear

What is checked before anything else, and applies to every product below.

Behaviour & gates

Borrower: age ≥2y (varies by product)
CIBIL ≥650 (cohort ≈690)
avoid: Real Estate (non asset Light), Financial Services (varies by product)
pan-India
Private Limited, Public (varies by product)
sector-agnostic (45 sectors — full list in data JSON) (varies by product)

36 more ▾

Financials: EBITDA ≥₹-10cr (cohort ≈8) (purchase invoice discounting)
EBITDA ≥₹-100cr (secured term loan, venture debt, working capital demand loan)
EBITDA ≥₹-50cr (domestic factoring, sales invoice discounting)
EBITDA ≥₹5cr (distributor financing, vendor financing)
runway ≥12mo
rev ≥₹100cr (cohort ≈120) (purchase invoice discounting)
rev ≥₹5cr (secured term loan)
rev ≥₹70cr (distributor financing, domestic factoring, sales invoice discounting, vendor financing, working capital demand loan)
rev ≥₹100cr (venture debt)
TOL/adjusted tangible net worth ≤4 (purchase invoice discounting)
TOL/adjusted tangible net worth ≤5 (secured term loan, venture debt, working capital demand loan)
debt/EBITDA ≤4 (cohort ≈2.1×)
networth ≥₹10cr (cohort ≈25) (purchase invoice discounting)
networth ≥₹3cr (distributor financing, domestic factoring, sales invoice discounting, secured term loan, vendor financing, working capital demand loan)
networth ≥₹30cr (venture debt)
DSCR ≥1 (cohort ≈1.8×) (varies by product)
debt/networth ≤4 (varies by product)
maximum assetsundermanagement: 10000 (secured term loan only)
minimum assetsundermanagement: 30 (secured term loan only)
gross non performing assets: 3 (secured term loan only)
Deal: rate 11–17% (range across products — see matrix)
ticket ₹2–100cr (range across products — see matrix)
tenure 12–48mo (range across products — see matrix)
no PEP
Security (observed): Personal Guarantee Of Promoters / Directors / Property Owner (100%)
FD margin 10–15% (81%)
median ticket ₹10cr
median rate 14%
median turnaround 47d
Security asked in : Personal Guarantee Of Promoters/Directors (×1)
Security asked in : Fixed Deposit <5% (×7), FD margin 5–10% (×7), FD margin 10–15% (×7), FD margin 15–20% (×7)
Security asked in : Personal Guarantee Of Promoters/Directors (×25), FD margin 10–15% (×22), 1st/pari-passu charge on current assets (×19), 2nd charge on current assets (×10)
Security asked in 2026: Personal Guarantee Of Promoters / Directors / Property Owner (×57), FD margin 10–15% (×46), 1st/pari-passu charge on current assets (×23), FD margin 15–20% (×10)
share → in-principle approval (initial interest): ≈15d
in-principle approval → sanction (underwriting): ≈28d
sanction → disburse (closing): ≈5d

— Products & indicative terms

What Northern ARC lends, and on what terms

What has actually been offered on live transactions, not brochure numbers. Treat them as the band you are likely to be quoted inside, not a promise. Open a row for that product's credit box.

Product	Ticket	Pricing	Tenure
Purchase Invoice Discounting▾▴ Turnaround ~61d Rejects Negative sectors Real Estate (asset Light)Real Estate (non asset Light)InfrastructureDefence ManufacturingGambling and BettingExplosivesArms and AmmunitionsFinancial ServicesLottery BusinessTobacco Products Wins Director overdue: 0.001 INR Cr States: pan-India Company types: Private Limited, Public Min company age (yr): 2 Years 22 more ▾ ▴ Director CIBIL: 650 → funded cohort ≈690 Min EBITDA (₹cr): -10 → funded cohort ≈8 Min Runway: 12 Months Min revenue (₹cr): 100 → funded cohort ≈120 Debt / EBITDA: 4 → funded cohort ≈2.1 Min Networth: 10 INR Cr → funded cohort ≈25 Debt Service Coverage Ratio: 1 → funded cohort ≈1.78 Offered terms (past deals): rate 14–14.2–14.5% ₹1–5.5–10 Cr 12–12–12 mo _(excl. 1 multi-product deal — no per-product split on record)_ Turnaround: ≈61 days (share→disburse) Asks for Term sheet (×27) Asks for Receivable/inventory ageing (×20) Asks for Legal / KYC (×18) Asks for Bank statements (×15) Asks for Debt schedule / sanction letters (×15) Asks for Provisional financials (×13) Asks for GST / integration (×11) Asks for Cap table / equity (×10) Asks for Contracts/work orders (×4) Asks for Revenue/vertical breakup (×4) Asks for Audited financials (×2) Behaviour & gates Min tenure (mo): 12 Months Min ticket (₹cr): 5 Max tenure (mo): 12 Months Min rate (%): 12.5 Politically Exposed Person: No Max ticket (₹cr): 15 5 more ▾ ▴ Security required, ['Fixed Deposit 10 - 15%', 'Personal Guarantee of Promoters / Directors / Property Owner'], ['Charge On Current Assets - Second Charge', 'Fixed Deposit 10 - 15%', 'Personal Guarantee of Promoters / Directors / Property Owner'] Max rate (%): 15 rate — stated 12.5–15%, actually offered 14–14.5% → within stated band Amount — stated 5–15 Cr, actually offered 1–10 Cr → priced/sized below stated floor Tenure — stated 12–12 mo, actually offered 12–12 mo → within stated band	₹1–10 cr	14–14.5%	12 mo
Secured Term Loan▾▴ Turnaround ~34d Rejects Negative sectors Financial ServicesReal Estate (non asset Light)Agriculture and Allied IndustriesAuto ComponentsAutomobilesAviationBankingBiotechnologyCementChemicalsConsumer DurablesDefence Manufacturing Wins Director overdue: 0.001 INR Cr Director CIBIL: 650 States: pan-India Company types: Private Limited, Public, Limited Liability Partner 22 more ▾ ▴ Min EBITDA (₹cr): -100 Min Runway: 12 Months Min revenue (₹cr): 5 Debt / EBITDA: 4 Min Networth: 3 INR Cr Debt / Net worth: 4 Debt Service Coverage Ratio: 1 Max Assetsundermanagement: 10000 INR Cr Min Assetsundermanagement: 30 INR Cr Gross Non Performing Assets: 3 % Offered terms (past deals): rate 14–14–14% ₹20–20–20 Cr 36–36–36 mo Turnaround: ≈34 days (share→disburse) Asks for Audited financials (×3) Asks for GST / integration (×2) Asks for Receivable/inventory ageing (×2) Asks for Bank statements (×1) Asks for Contracts/work orders (×1) Asks for Debt schedule / sanction letters (×1) Asks for Legal / KYC (×1) Asks for Term sheet (×1) Behaviour & gates Min tenure (mo): 12 Months Min ticket (₹cr): 2 Max tenure (mo): 48 Months Min rate (%): 11 Politically Exposed Person: No Max ticket (₹cr): 100 5 more ▾ ▴ Security required: 10 values → data JSON Max rate (%): 17 rate — stated 11–17%, actually offered 14–14% → within stated band Amount — stated 2–100 Cr, actually offered 20–20 Cr → within stated band Tenure — stated 12–48 mo, actually offered 36–36 mo → within stated band	₹20 cr	14%	36 mo

Also offered, with no terms observed yet: Sales Invoice Discounting, Dropline Overdraft, Operating Lease, Vendor Financing, Working Capital Demand Loan.

— Typical term sheet

What a sanction from Northern ARC actually looks like

Reconstructed from real sanction letters. Small samples, so read them as observed rather than as a rule.

Specimen sanction

Representative of the median file. Your actual terms will move with rating, security cover and relationship.

Indicative

How often each clause appears

Share of the 7 sanction letters carrying the clause.

Financial-ratio threshold to be maintained71%

— Security & covenants

What they will ask you to pledge

Counted across the sanction letters read. A combination is normal, and most files carry more than one.

Fixed Deposit / Cash Collateral2 letters
Fixed and current assets2 letters
Movable Fixed and Intangible Assets (Hypothecation)1 letters
Current Assets (Hypothecation)1 letters
Book Debts / Receivables1 letters
Insurance Proceeds / Escrow Receivables1 letters

Fixed Deposit / Cash Collateral ×2, Fixed and current assets ×2, Movable Fixed and Intangible Assets (Hypothecation) ×1, Current Assets (Hypothecation) ×1, Book Debts / Receivables ×1, Insurance Proceeds / Escrow Receivables ×1

— Common questions

What borrowers ask about Northern ARC

What does Northern ARC lend?: Northern ARC writes dropline overdraft, operating lease, purchase invoice discounting, sales invoice discounting, secured term loan, vendor financing and 1 further products. Across those, observed facilities run ₹1 cr to ₹20 cr.
What ticket size does Northern ARC offer?: Facilities observed on live transactions run from ₹1 cr to ₹20 cr. The band differs by product, so the figure that applies to you depends on which facility you are asking for.
What rate does Northern ARC charge?: Rates observed on live transactions fall between 14% and 14.5% a year. Tenures run 12 to 36 months. These are observed figures, not a quote, and the rate you are offered depends on your file.
How long does Northern ARC take to disburse?: About 47 days from application to disbursal at the median, where the file is complete. Missing financials, unresolved security or a pending no-objection from an existing lender are what usually stretch it.
What are Northern ARC's eligibility criteria?: The first screen is the bureau: a borrower CIBIL of at least 650. Revenue, leverage and debt-service thresholds apply on top and vary by product. The full credit box for each product is set out on this page.

Next steps after Northern ARC

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Last updated 6 October 2026

Lender intelligence dossier - screening gates, per-product terms and sanction observations, derived from lender policy documents and observed transactions. Figures are observed from a sample and are not an offer, a commitment, or a statement of Northern ARC's current policy. Terms are set by the lender at the time of sanction.