LET'S EXPAND YOUR BUSINESS

 Starting a new business can be a tedious task. Beginning from the concept till the capital investment is all what you invest your efforts in. Everything can be planned on paper till the time find out our investment source. Here, business loans help you give a kickstart to your business. 

Imagine you want to give your ideas a shape of business but you are having lack of resource in terms of monetary. 

How will you deal with such circumstances?

 We can provide you with the solution and that is Business Loan, it can be in the form of a secured or unsecured loan with an estimated interest which you promise to pay back over an agreed duration of time. The business loan can be either ask for startup or to expand the existing business. We have a large market and each market has different verticals in which it functions. As per the market and size of business, there are many types of loan which is available from the bank. Let's have a look at the types of a loan provided by the bank in order to meet the businessman requirement. Before moving ahead let us get a brief about all these types of business loans and understand them better:

Basically there are two types of loan that banks provide for small business:

Secured Loan: It is a loan which is provided by bank on the basis of some asset or collateral. In this type of loan, one needs to submit an asset as a guarantor or collateral to the one who lends.

Unsecured Loan: It is a loan where the lender is at risk if a borrower fails to pay the amount. In this type of loan, you do not secure any asset or collateral with bank. In some ways, there are no risks associated with this loan.

 In term, loan borrower pays back the amount in lump sum over an agreed period of time with the decided rate of interest. 

Short term loans are like the regular loan, you need to repay the EMI for a short duration of time which is pre-agreed between you and bank.

 A process where lenders actively participate and provide flexible term loans is known as Small Business Administration loan. You need to have a good business credit score as well as the personal credit score in order to be eligible for this type of loan. 

This is an unsecured type of debt for which we need not put any collateral or any asset. Due to its nature of lower credit limit, it provides a range from $5000 to $15000 and is usually smaller than term loan. 

 As the name suggests you can apply for the loan by putting up your used or new equipment as collateral and can finance your business with the help of your machinery.

Let us discuss the required and important document which will be asked by the applicant and he needs to submit these documents in order to proceed with loan procedure. The below requirement is completely general and it can vary from one lender to another. 

• You need to fill an application form and provide one passport size photograph.
• You need to provide identity proof like Voters ID card/ PAN Card/Passport etc.
• You are required to submit bank statement.
• You need to provide company's balance sheet, profit, and loss account along with latest ITR.
• You have to submit address proof of lease agreement, trade license, electricity bill etc.
• They will ask you to submit proof of vintage of your business.
• You need to provide proof of age like voters ID card/ PAN Card/Passport etc.
• You need to provide last 3 years audited financials.
• Last but not least you will be asked for mandatory documents like certified copy of Memorandum and Articles of Association, Sole Proprietorship Declaration etc. 

Note:- Required documents can be differ due to differ policy criteria's of landing partner's 

Let us check what should be the criteria one should qualify in order to avail the business loan.

 Income Age Limit Turnover Credit Rating Income : The business should be making the profit from past 2 years and income should look promising for the future endeavor. Age Limit : The applicant should be of 21 years minimum and maximum of 65 years old. Turnover : Company's minimum turnover should be 1, 50,000 per annum. 

Credit Rating The credit rating of the individual is evaluated by the bank as their past records are analyzed by the bank before processing the application. If you have a very good credit rating so chances become much stronger of getting the loan. 

Business Loan EMI Calculator : When we are heading towards loan we need to observe what will be the interest, we will be paying to return the amount. We should look at the income and our expense compare with monthly installment we need to pay. Usually, people choose the option of equated monthly installment (EMI) for repaying the loan. Let us discuss few points which generally need to consider for calculating EMI.

 Loan Amount : The loan amount will be the total amount for which you have asked loan for. 

Interest Rate : Every lender has their own rate of interest and applicant need to pay it along with actual sum they borrowed. 

Tenure of the loan : The duration of loan also considered to calculate the EMI for e.g. if tenure is short the EMI amount will be high and vice versa. Business loans are the ways provided by the public and private lenders to those people who wish to give their ideas a materialistic reality by turning them into a business. All those who are willing to apply for the loan just need to follow the criteria and submit the documents as per demand. Also, a smart applicant always will go through market's ongoing interest rate scenario and will evaluate the EMI in order to repay the loan without hurting your pocket limit.

 Business Loans: Just take one step ahead to achieve your dreams 

• SOLE PROPRIETORSHIP FIRM
• LLP 
• PARTNERSHIP FIRM 
• PRIVATE LIMITED FIRM 

 Business loans are no more a hassle now. Many banks in India provide business loans. We at Credit Express helps you to get the quick business loans to small business loans at lucrative interest rates. You can get all the information from us as we act as a connector between you and different banks. Basically, going to each bank is really difficult so we have created a platform where you need not worry about the documentation as we are there to cater you with the services.  As we say, it is really important to do research before you get into something. Research is what we do for you.