Grow Your Business with Quick Small Business Loans

Every business follows a different approach towards loans and institutional finance. As an independent business owner you may or may not have borrowed money in the past to achieve your business goals. If you have not taken a business loan in the past, it is but natural to be a little averse to taking up a liability, however, sometimes a loan is a risk worth taking.

By utilising the loan funds for the right reasons, at the right time, you can give your business a veritable boost. Here are a few reasons for taking a business loan that you should consider

Expanding your facility or getting a second site: If your business has been growing year on year, expansion is a logical step to consider. You can utilise business loan funds for restructuring and expanding the original site or expand your venture to a second or even third site.
Improving your credit ranking: Borrowing loans and timely repaying them opens the path for larger institutional finance in the future. As good repayment record will have a positive effect on your credit rating, establishing you as a bona fide borrower. This in-turn will allow larger borrowings two or three years down the line, when your business needs another round of funding.
Buying specialised tools and equipment: If you already have ample space at the existing site, then you can also consider using the funds from your business loan for purchasing new stock or equipment. Sometimes using latest technology for production and management of your business can result in huge cost savings.
Taking advantage of a golden opportunity: Well a good opportunity seldom knocks twice, so if an amazing idea or opportunity comes your way which requires fast funds, a business loan can help you capitalise on it.
Hiring and talent acquisition: Every successful business needs talented hands and business owners agree unanimously on the fact that their people are the greatest business assets for them. So, don’t lose your best employees for the want of funds. Business loans also allow you to hire new talent and expand your enterprise.
Loans for working capital management: A business can still sustain itself in face of a temporary lack of profits but lack of working capital may force you to pull down the shutters. Cover the shortfall in your working capital with an unsecured business loan to get out of temporary sticky situations.

Where can you apply for unsecured small business loans?

Small businesses often turn to banks for unsecured business loans. But banks have a slow and bureaucratic system for application, verification and approval of small business loans. It may take as many as 20 days for a bank to process and approve your business loan application.

An alternative is provided by new lending products like Lendingkart for business loans in India. A business loan application with Lendingkart can get approved within 24 hours if all your documents and financial details are in order, giving you immediate access to the funds you need.

Furthermore, the application process is completely online which Lendingkart is able to save money on manual labour and in turn transfers the benefits to customers in the form of low interest rate on small business loans. As a borrower, it is a win-win for you.

The best thing about getting a business loan from Lendingkart

Lendingkart offers unsecured business loans.

When you take a loan from a bank, it is a secured business loan, which means you have to give the bank an asset of equal or more value as a collateral. In case you are unable to repay the loan timely, the bank can take over the asset and recover its costs.

An unsecured business loan doesn’t require any collateral, which is what Lendingkart offers. Thus, your capital is not at risk when you take a business loan from Lendingkart.

You can now apply for a business loan from the Lendingkart smartphone app. To know more and apply for Lendingkart business loans, click here.

KYC Documents – What You Have and What is Needed

KYC Documents – What You Have and What is Needed

Getting a business loan in India requires a lot of meticulous planning on a small business owner’s part. One aspect of this planning is getting the KYC documents in order. Here we have compiled a list of documents that you generally need when applying for a business loan.

A Checklist of Documents Required to Apply for Business Loans

  • For Identity Proof: Driving License / PAN Card / Passport / Voters ID Card
  • For Address Proof: Utility Bills (telephone, electricity, broadband) / Passport / Trade License / Rental Agreement / GST Certificate
  • For Financial Checks:Business related bank statements(generally, of preceding 2 years)
  • For Tax Compliance: Latest ITR (you may also be asked for the computation of Balance Sheet, income & Profit & Loss account for the last 2 years)
  • A Proof of Continuation
  • Other mandatory documents include, Sole Proprietorship Declaration, Certified Copy of Memorandum & Articles of Association
  • Audited financials for the last 3 years

Furthermore, the Business Loan Application Form is a mandatory document which is to be filled when applying for a loan with a bank.
However, if you apply for a loan with a non-banking financial company such as Lendingkart Finance, you can get a business loan approval without having to submit copies upon copies of your KYC documents. Simply register on the Lendingkart website or use the Lendingkart app on your smartphone to submit your business loan application.

The process offered by Lendingkart Finance is completely online, where you are required to submit minimal documentation.For example, when applying for a Lendingkart business loan, simply upload the following digital copies –

  • Proof of Registration
  • Any one of photo KYC documents
  • ITR Statement
  • Bank and GST statements

A Lendingkart business loan allows you to maintain the cash flow, upgrade business facilities and equipment and invest in business expansion. Lendingkart offers customised interest rates and flexible EMI options to make it easy for you to grow your MSME.

Visit us at www.lendingkart.com to know more.