During economic crises, credit becomes increasingly expensive and scarce, but that should not prevent you from finding a way to invest in improving and growing your business. The micro company loan has been one of the main tools used by managers to combat difficult periods.
However, it is necessary to know the rules and the time to request it. And, to help you with this task, we have listed below three simple and practical tips for making a good loan.
Identify the company’s needs
First of all, you need to identify the reason why you need a loan. It may be to invest in technology, process optimization, plant expansion, exploration of new markets, etc.
Knowing the exact reasons will give you a sense of what amount you will need and will make it easier to borrow, since the institutions demand these reasons very well clarified.
Choose the best micro business loan alternative
After identifying the main factors that led the company to need a loan, assess the cost of each opportunity to find out what is most worthwhile in order not to compromise the budget in the medium and long term. Ultimately, the loan should help to leverage the potential of the business, not the other way around. See the options below:
Banks are one of the easiest ways to get a loan. As most of them have a solid structure and greater accumulation of resources compared to other financial institutions, loans can be in larger amounts.
But, as everything has a price, banks charge the highest interest rates on the market, considerably increasing the value of the installments and the settlement time. In addition, the process is very bureaucratic. Therefore, it is only recommended for the most urgent cases.
Unlike banks, financial institutions offer a lower interest rate, as they compete directly with them. However, the amounts released for loans are smaller and, often, may not be enough to meet the needs of the company.
The process is a little more uncomplicated than in banks, which helps to facilitate the taking of several loans from different financial institutions.
Many people thought that there were only two ways to obtain a loan for microenterprises: through banks and financial institutions. These are the alternatives best known and used by the countryians, yes, but they are not the only ones. Have you heard of intermediaries?
It is an innovative type of loan called “ peer-to-peer ” (from person to person). Through an online platform, you can borrow directly from people who have the money to invest. In addition to being much less bureaucratic, access to money is quick and the interest rates charged are one of the lowest in the market.
Make a business plan
Regardless of the modality you choose, a good business plan will be vital to obtain a loan. It is through it that the bank, financial institution and / or intermediary will assess the risks and determine the potential that you have to pay the amounts according to the commitment assumed.
Do not forget to include in it the goods that you will make available to settle payments, if you are unable to honor them. Basically, all alternatives require this type of guarantee as a way to protect themselves from high default rates in the country.
Now that you know the alternatives and know how to get a good loan for microenterprise, don’t waste any more time. Get the capital you need today, without bureaucracy and at the lowest rates on the market.
Make a simulation with us right now and be surprised by the conditions facilitated!