Third-Party Collateral Explained: A Game-Changer for Indian Businesses

Access to timely and adequate finance remains one of the biggest challenges for Indian businesses—especially MSMEs and growing enterprises. While banks and financial institutions are willing to lend, the biggest roadblock is often collateral. Many promising businesses fail to secure loans simply because they don’t own sufficient assets.

This is where Third-Party Collateral emerges as a powerful and practical solution. It is redefining how businesses raise funds in India and helping entrepreneurs unlock growth without owning property themselves.

In this blog, we’ll break down what third-party collateral is, how it works, its benefits, legal considerations, and why it has become a true game-changer for Indian businesses.