Get an Unsecured Business Loan Online
Every Business owner needs funds for the lifeline of his business. We all know that to expand a business, we need enough working capital for the business to grow. Ideally, the capital of a business should always come from the income produced by the business, but this doesn’t happen all the times. Many times every business owner had to face such a situation where the survival depends only on the instant economical boost up. These are the periods when entrepreneurs search for loans for their businesses. Loans for a business can come from numerous sources such as a secured business loan or an unsecured business loan, sometimes it may be an investment from investors too.
In spite of the fact that there is an option of financing, one must be much conscious about the safety of the business while picking any of them. This concern increases further when a business owner has a small business. But for a small business, an unsecured business loan is considered the most secure and the best alternative.
Based on profit, years in business, and cash flow, lending companies come out with eligibility and then decide loan amount it can give to a business. This loan amount is based on how much profit a business is making & how a business would manage to pay the EMI with cash flow. Mostly, having a healthy credit score puts a business owner in a better position to negotiate the debts with his financier. A higher credit score means the business owner might work out a deal that allows him to repay the loan quicker or reduce the minimum repayments.
When unexpected expenses or opportunities require a fast business loan, a local bank might not be the best choice. However, in many cases, a quick answer to your loan application is often available online also.
How to apply for an Unsecured Business Loan?
First, compare online lenders because most business loans start from Rs. 1-2 lakhs and can go up to Rs. 1-2 crore in most cases, though the amounts are higher in several cases. Average loan repayment tenures usually range between 1-2 years.
Below is a to-do list that will help you get the funds you need to grow your business.
Loan Application Basic Details: You need to provide basic information, for example, individual details, business info and upload a few documents, i.e., bank statement and ITR.
To qualify for a loan assessment, you should have:
- Minimum Age (25 years)
- Maximum Age (55 years)
- Existing place of business or house
- Current Business vintage (Min. 2 years)
- Minimum Bank Credit of Rs. 5 lakh in the last 12 months
After this, the loan application will be reviewed by the loan officer, and within some days, the loan amount will be credited in your bank account which usually within 3 to 5 working days from the date of offer acceptance.
This short-term unsecured business loan can get you the money you need to bridge cash flow gaps and unexpected expenses in no time.