The historical city of Hyderabad is a unique blend of the old and the new.  It is the capital of the southern state of Telangana, which boasts of a rich heritage showcasing stunning landmarks like the iconic Charminar, Golconda Fort, and the Salarjung Museum.

Hyderabad is an important tourist attraction. It is also famous for a culture that fosters literature, arts, handicrafts, pearls, jewels, music, films, and above all its cuisine – where the Hyderabadi Biriyani holds the pride of place.    

Juxtaposed with this legacy, Hyderabad has the distinction of being one of the pioneers to have embraced the startup eco-system in the country.

The city is ranked fifth among cities contributing to the Indian GDP with a turnover of 74 Billion USD. Such being the scenario, the fertile ground for a plethora of business ideas in Hyderabad, offers ample opportunities with low investment. 

Some exciting low investment business ideas in Hyderabad:

The environment in Hyderabad has always been conducive to business ideas in the modern city, which is also referred to as Hi-Tech in contrast with the old. Matching business loan in Hyderabad has made the city all the more amenable to explore. Some of the business ideas to consider are:

  1. Restaurant: The city always brings to mind the flavour of its salivating Biriyani. Launching an eatery is sure to be a hit in the city of food lovers. Another innovative option could be a mobile restaurant on wheels catering to a broader audience across the city.
  2. Pearls and Jewelry: Hyderabad has traditionally been the centre of pearl trade in the country. The place being home to skilled pearl and jewellery craftsmen, dealing in them could be a lucrative business opportunity in the city.
  3. Tourism: The city is a popular tourist destination for long and has spawned a host of business opportunities. Ideas related to tourism are a definite winner with a large market to tap. 
  4. Pharmaceuticals: Hyderabad is a pharmacy products hub contributing 44% of its total export of goods and services. This sector generates 13 billion USD annually. Looking for a place in this booming sector makes sense. 
  5. IT Industry: The state contributes 11% of the total national exports of IT products. IT entrepreneurship like software generation is ideal in the amply conducive eco-system in the city. 
  6. Recruitment: Being an IT hub, Hyderabad generates ample employment opportunities. This gives enough scope to launch a recruitment firm to channelize skilled talents to the prospective recruiters.  
  7. Website Designing: The vibrant startup destination also opens up opportunities to tap into the need for websites which is an industry-standard, so to say. An outfit catering to this need is sure to enjoy a steady market with growth potential. 
  8. Handloom: Hyderabad boasts a rich tradition of weavers, churning out such handloom saris as Gadwal, Narayanpet and Sico in cotton and silk.  Handloom business offers excellent earning opportunities in this thriving small scale industries sector. 
  9. Agro-Based Industry:  Hyderabad offers a fertile ground for organic fruits and vegetables to cater to high heath consciousness. Potential takers for organic fruits and vegetable produce is rising rapidly rising to provide an opportunity to cash in with organized supply channels. 
  10. Movers and Packers: Any city with a transient working population needs packers and movers to facilitate shifting. Hyderabad being an IT hub, offers ample opportunities to tap the market with professional services of packing and moving household items.  

Also read: Small Business Ideas in Hyderabad for 2020

Features of a Business loan in Hyderabad:

Having got familiar with business ideas in Hyderabad, it becomes imperative to explore the lending scenario in the city. While banks have always been an option for small business loans, Fintechs are stealing a march with innovative products and handsome unsecured business loans. Some salient features of such loans are:

  • Quick processing of proposals in 72 hours.
  • Reasonable interest rate and other fees.
  • Transparency
  • Liberal eligibility and documentation norms.
  • Simplified application process. 
  • Generous unsecured loan amounts. 

Eligibility criteria for Business loan in Hyderabad:

While banks insist on far more stringent norms, Fintechs offer a much-liberalized outlook to attract small businessmen.

  • The business life of at least six months.
  • Minimum quarterly transactions of Rs.90000
  • Only legitimate business operations in a non-restricted location.
  • NGO, Charitable Institution and Trust ownership are not eligible. 

Documents required for Business loan in Hyderabad:

On the same lines as the eligibility norms, traditional lenders like banks insist on hefty documentation. Contrarily, Fintechs depend on real data analysis to define the creditworthiness of a borrower. This calls for seeking bare essential documents to determine authenticity. The necessary documents required are: 

  • KYC documents for ID proof.
  • Residence proof of owner and business.
  • PAN card of owner and business.
  • Aadhaar card of owner.
  • Business-related documents with proof of legal and other compliance.
  • Bank statement for the previous six months.
  • Any other deemed necessary by the lender. 

How to apply for Business loan in Hyderabad:

The application procedure for all lenders is similar. One can apply at the portal online. While in the banks, it is an expression of interest. Thus loan processing by Fintechs is defined in a few simple steps. 

  • Online application with inputs comprising of personal details, financial background and the proposed loan. 
  • Upload of requisite documents.
  • Evaluation of the proposal by the lender and approval of loan making an offer.
  • Acceptance of the offer and disbursal of loan by bank transfer. 

Fees, Charges and other features of a Business loan in Hyderabad:

Exploring the various charges are vital for financial implications related to the borrowed fund. It is instrumental in determining the cost of fund, which impacts the health of the business in the long run.

Fes and charges applied in  Business Loan in Hyderabad
Interest rate Between 1% and 2% per month 
Processing Fee Between 1% and 2% over the loan amount
Pre-Closure Fee Nil
Loan tenor Maximum 36 months
Loan amount  Rs.50K to Rs.2C
Security  Nil
Repayment  EMI or twice a month



Hyderabad being a combination of the old and new offers a range of business options. Exploring the many business ideas in Hyderabad, one can easily infer that they are many due to the inherent advantages of the city that also provides enough room for potential future growth. It makes business ventures eminently viable despite low investment. 


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