Are you starting a business or do you want to enrich your business with something? Do you want to be visible on the market through advertising or do you want something else and you don’t have much money? You can use a loan for entrepreneurs. This loan is divided into two main categories. The first is a business loan from the banking sector. The banking sector offers low-interest loans, but the condition is proof of income and an absolutely clean register of repayments, such as cars and other things. The second sphere is the non-banking sector. The disadvantage of non-bank loans is that they have high interest rates. The entrepreneur pays unnecessarily on interest than on bank loans. However, the advantage is that if you have an entry in the debtors’ registers,
Why a loan for entrepreneurs?
The main reason is the relatively low administration associated with obtaining a loan. If you are a doctor or veterinarian, a lawyer and a similar entrepreneur, you do not need to file a tax return, just prove your income for the last 3 months and, for example, a document or contract with a health insurance company. However, a very important criterion is the establishment of a lien on real estate. Most often, large amounts are borrowed, for which it is necessary to guarantee certain assets. It is often guaranteed by real estate, but it can also be guaranteed by the property of your company’s company or trade, cars, etc. Approval of such a loan takes a maximum of 3 days. The loan for entrepreneurs is provided up to tens of millions of dollars. However, the bank will never provide an amount higher than 70% of the value of the mortgaged property. The maturity of this loan is from 12 months to 20 years.
Bank loan for entrepreneurs
To get a business loan from a bank, you usually need at least a two-year and multi-year history of your business, whether as a natural or legal person. You must file a tax return, which must be in order. You should be without any claim. If you want to borrow money, you must not have an entry in the register of borrowers. You must always arrange this loan in person. This loan for sole proprietors and entrepreneurs can be arranged very quickly and can be purposeful as well as non-purpose.
Non-bank loan for entrepreneurs
When processing such a non-bank business loan, you may have an entry in the register of borrowers. The disadvantage is the high interest rate and the amount of APR. The great advantage of setting up such a loan is that you do not have to submit so many documents and forms and the equipment is very fast. To complete this loan, you only need a few months of business history and you don’t even need a large income.