These days, It's not your fault that your bank has denied your business loan, it's because they are not able to lend to small or medium sized businesses.
YourMoneyHub.com can help you learn more about the lending products on offer, so you can make an informed decision on how to borrow. We have a small list of lenders that offer just about every type of funding available.
When applying through our SIte, prepare yourself for questions such as: how much you wish to borrow, what your business does, how the money would be invested and how long you wish to borrow the money for.
With a business loan, you are given a sum of money that must be paid back over a period of years. The interest rate and monthly payments are usually fixed over the term. Some Lenders specialise in small business loans, while others focus on start-up business loans for new businesses.
Business loans can be used to help with cashflow issues, or perhaps help when times are tough by offering access to short-term finance. It is possible to have a loan that can be paid back over a longer period, for when you need to pay for one-off business expenses, or to fund your expansion plans.
Start-up loans can offer money when you begin your own business, while small business loans can prove vital when the demand of employees, clients and cashflow is becoming difficult to manage.
A new form of borrowing, know as “peer-to-peer” lending, means that you can borrow from people, rather than from a bank. With this type of loan, you may be able to choose from an unsecured loan, a secured loan, or an asset finance loan.
Some business loans allow you to set out how much you want to borrow and for how long. Flexible repayment options are now common.
Some Lenders might only lend to limited companies, so you please be aware of this when applying. Many businesses find it difficult to secure funding in the current economic climate, and it's now a lot harder for almost any business to get accepted for credit.
To apply for a business loan, it would be helpful if your business is VAT registered and had a good monthly turnover.
Some Lenders may also require you to have at least 2 years of filed accounts, although there are those who are happy to lend to businesses with less than 2 years trading history.
If you are not sure which Accountant, Financial Adviser or Business Lender is right for you, send us a message explaining what you are looking for, and we will then select an appropriate professional to send your request.