5 Reasons Why Unsecured Loans Help Small Businesses
5 Reasons Why Unsecured Loans help Small Businesses grow Faster Timely access to Funds The biggest advantage of going for an unsecured loan for Small business from FinTech companies is the hassle-free and speedy loan processing. When you apply for a business loan with the banks or NBFCs the processing time is more as there are lots of paperwork involved. The loan needs collateral & guarantors which increases the paperwork. But unsecured loans with FinTechs are much faster, the process is mostly online which reduces the time consumption for both the borrower and the lender. Requirements can come at any time and one canu2019t afford to wait long. As a small business cannot afford to spend time on filling up lengthy unsecured loan application forms and collating the required business documents in support. Online access to Funds Mostly application for an unsecured loan in FinTech companies are available online and can be applied easily through a mobile app. Moreover, the required documents like bank statements, previous loan statements, tax statements, business invoices, and KYC documents are needed to be uploaded online. Provide Working Capital Working capital is an unquestionable requirement for any kind of small business to run the day to day activities easily. A large portion of the occasions, it is hard for SMEs to keep up a customary income inferable from which working capital is consistently an imperative. Unbound business advances can empower SMEs to meet their transient store necessities, for example, overseeing creditor liabilities, paying pay rates and service charges, regular deals, and other routine costs. Private company advances can go about as a money pad when the negative income is a risk. Along these lines, SMEs can concentrate on long haul development without agonizing over momentary liquidity. Flexibility of Use When you go for a business loan, you need to specify the purpose for which you are taking the loan. Suppose if you mention it for business expansion, then that particular fund can only be used for just that. Which means there is no flexibility in terms to use the loan amount. But, when you take an unsecured loan for any fin-tech or DSA, you are totally independent to use the borrowed funds. Whether it be for marketing or for business expansion, you are free to use the funds. Benefit of Competitive Interest Rates Besides the various innovative services offered through technology, FinTech companies offer unsecured loans at the most competitive & affordable rates. On the same hand service offered are thoroughly professional and one of the advantages what you get here is flexibility in terms of repayment of unsecured loans. This helps the business to focus more on achieving growth. Unsecured small business loans are also provided depending on the capacity to grow and to make a profit. But flexibility is always there in terms to approve the loan. And there is no requirement to pledge any asset. Unsecured loans have the capacity to bring growth for the small scale industries. This is showcased through our various unsecured loan products to fulfil the needs of small businesses in every sector. The processing fee charged is 2% across various unsecured loan products and no hidden charges are levied beyond the interest rates and processing fees.
★
★
★
★
★
96 views • 9 slides
