Lendingkart Blog > Blog > Business Registration – Helping in ...

Business Registration – Helping in Faster Loan Approvals

How Business Registration Helps in Faster Loan Approvals

When your business model is ready to move from its pilot phase, the first thing to do is to register your company. Business registration in India can be done online through the Ministry of Corporate Affairs portal. Apart from giving legality to your operations, there are numerous reasons why you should register your business.

Get Faster Loan Approvals

Business registration makes it easier to raise money through business loans and to get backing from investors. The lenders, such as banks and non-banking finance companies (NBFCs), are more trustful of a legally registered company or business. Hence, making it easier to get faster business loan approvals.

For example, if your company has been registered and is in business for more than 6 months, you can apply for a business loan from Lendingkart – one of the leading NBFCs in India. Lendingkart promises business loan disbursals up to ₹1 crore within 3 days of your document verification.

 

Minimize Your Personal Liability

If you are a sole trader or running a partnership firm, it makes you liable for all aspects of the business, including the debts and losses. The costs of any accidental product defect or service disruption are to be borne by you, which can be financially risky.

After business registration, a company becomes a separate legal entity and setting up one can help protect your personal assets from a business loss.

Decrease Your Tax Liabilities

Since, your business becomes a separate entity, it also becomes a separate tax payer. Additionally, you can apply for tax rebates and subsidies under various programs, such as “Startup India” and “Skill India”, being run for the promotion of MSMEs by the government.

Streamline Ownership

Business registration helps you clearly define the roles of different founding members and their relative share in the business. It will give the company a steady leadership and help in resolving any future conflicts within the top-level management.

Establish a Brand

Through business registration, you will also can establish a brand image among your customers and suppliers. It will also give you a position of strength when dealing with third parties, as the contracts will be between companies rather than owners.

At Lendingkart, we are always happy to share or experience in the MSME finance to help new companies and entrepreneurs. If you are looking for fast business loans, use our website or download the Lendingkart app from Google Play or App Store to get a quick quote.

Tags : apply for business loan,business finance,business loan mobile app,business loans,lendingkart app,Lendingkart Instant Business Loans app,MSME finance,small business,

You might also like these

working capital management

Business Strategy

Managing Your Working Capital can be the Key to Business Success

17.07.2018

Working capital management allows you to keep your company’s financial fundamentals in check and leads the way for operational success. Effective working capital management is the hallmark of every successful business venture as it represents a synergy between the business goals, profitability and liquidity of the business. As you know, working capital is the difference …

Working Capital Loan

Business Strategy

Working Capital Financing to Make Your Business Agile

16.07.2018

Working capital keeps your business upright when you hit a snag or when the market is not performing as expected. In simple terms, working capital is the cash you need to carry on day-to-day business tasks. It is also calculated by subtracting your current liabilities from your current assets. Falling short on working capital can …

Business Strategy

Aadhaar and Business Loans – How They are Connected

08.05.2018

Aadhaar and Business Loans – How They are Connected Aadhaar Card has become one of the most important personal identification document of our time. The government issued ID is regulated by the Aadhaar Act and managed by the Unique Identification Authority of India. Here are some steps taken by the government to make Aadhaar an …