Businesses are like that pool which needs endless funds. Be it any start-up venture or a well-established name in the business world, there is no one who would refuse the inflow of financial help. Business loans are the perfect way of getting the much needed financial aid to meet the day to day expenses of the business. The benefits of business loan are boundless and bountiful.
Business loans not only help you in shaping your business to new heights but also helps to take care of expenditures and working capital. Business loan in India is provided by various lenders and they are the most sought after loan after personal loans. Lenders are offering innovative and technological driven loan products to meet the needs and requirements of the borrowers.
Read More: Getting Your Business Ready for 2020
Here is how the benefits of business loans work.
- Flexible in nature
Business loans are highly flexible in nature. One may avail the loans for buying inventories, meeting daily expenses needs, working capital, buying machinery or growth and expansion purpose. These loans are available for both short term and long term and thus the borrower can choose the loan term as per his comfort and income. Business loans also have an overdraft facility option which comes handy if the loan amount required is not much.
- Easy to access
Business loans are easy to access and come with convenience factor attached. One can choose the repayment EMI plan as per their income and can be manipulated over the course of the loan tenure if need be. Thus, on account of the increase or decrease in income, one may decide upon the EMI without any hassle. One can also prepay the loan if they have ample amount of funds at any point in time.
- Unsecured in nature
Business loans are a blessing for small start-ups and entrepreneurs who lack sufficient funds at the beginning of their business and also do not have any collateral to be kept as a security with the lender. This is a boon for the borrowers as even if they default, there will be nothing to lose except for credit rating. Being unsecured in nature, they sometimes incur a higher rate of interest than other secured loans.
- Available for short loan tenure
Business often feels the shortage of money for a short duration of time either due to delay in payments or some other reason. Business loans can be availed to bridge this short gap so that one can meet the immediate funds they need to meet their day to day expenses.
- Competitive rate of interest
Business loans are the most sought after loan products which act as great financial aid for businesses. One key advantage is the fact these loans incur a competitive rate of interest, low processing fees and no hidden fees. One can be assured of quick disbursal provided all the documents are in place and you meet the eligibility criteria.
SECURED BUSINESS LOAN
Apart from unsecured business loans, there are secured business loans as well which are granted with commercial or residential property as collateral against the loan. Secured business loans come with ample benefits viz.
- The higher loan amount can be sanctioned
- One can avail low rate of interest on the loan
- The loan tenure for secured business loans can be around 30 years.
- One can avail short EMIs as per his income and financial credentials.
The plethora of benefits attached to business loans makes it the perfect reason to grab one for realising the long and short term goals of the business.
To avail a business loan, one can visit the LoansJagat portal and compare around 40 lenders for their offerings in terms of the loan amount, rate of interest, loan tenure, EMI, processing fees and other charges. On account of these, one can zero in on the lender which best suits their requirements. One can directly apply for the business loan online directly from their portal and also submit the requisite documents by uploading them along with the application form. Their portal is simple, quick and convenient and offers the most covetable business loan products under one roof.