Quick Business Loan - 5 Tips For Easy Loan Approvals

By Author: Diksha Sharma
Total Articles: 8
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One of the major reasons great business plans never get to see the light is the lack of funds. Many aspiring entrepreneurs with creative ideas often struggle in materialising and executing their projects due to the same reason. Moreover, even if an individual embarks on the entrepreneurial journey, the venture requires extra funds to sustain in the competitive market and to enhance operations.

It is a fact that around 70% of startups shut down within their first year of operations owing to a lack of funds. In this case, quick business loans serve as a great help as it provides capital to all types of enterprises. These loans are widely used for boosting businesses as they are generally easier to avail of as compared to other loans.

Many financial institutions, including NBFCs, provide quick business loans to business owners who exhibit a credit score of 750 or above with a secure business plan and a stable source of income. These loans are flexible in nature that is reflected in the repayment method as well.

Various leading NBFCs such as Clix Capital and many others understand the hefty finances ...
... and complexities involved in businesses and plan their loan offers according to the same. Borrowers can adjust the EMI amount as per the financial condition of the organisation. Furthermore, they can also refer to a business loan EMI calculator to make sure that the amount taken resonates with the repayment capability. This also ensures that other finances don't get disturbed and the cash flow remains unaffected.

Here are 5 tips that can be used for easy and quick business loan approvals:

1. Be Thorough on the Application
The more relevant information the applicant reveals about themselves, the faster the whole process becomes for evaluation of business loan application. Further, this transparency also ensures less back and forth between the applicant and the finance lender.

2. Have a Proper Business Plan
Many lenders require a strong and detailed financial plan, including the business details for approval of the loan. A well-made plan includes information related to the amount needed, the purpose to avail the loan, and the way of repayment. This ensures a smoother and quick loan application process.

3. Stay prepared with Relevant Documents
To quicken the process for approval, attach the essential documents with the application beforehand as it reflects the applicant’s preparedness. The documents include a passport size photograph, business proof, KYC documents, bank account statements, and other financial documents. Furthermore, the documentation procedure varies from lender to lender.

4. Summarise Fund Utilisation
Several lenders require in-depth information to know how the applicant plans to utilise funds and its impact on the enhancement of revenues as it can potentially affect the repayment. Thus, the applicant needs to funnel down the methods for the deployment of funds to grow the business and offer a summary of all relevant information regarding finance utilisation.

5. Assess Lending Options Thoroughly
The parameters to evaluate business’ creditworthiness differs from lenders to lenders. It is advisable to not limit loan applications to conventional financial lenders. One of the best NBFCs in India today is Clix Capital that provides minimal documentation, quick loan approval, and disbursal of funds.

In the present times, businesses require funding at various phases in operations, be it for starting a new project, arrange funds to stay competitive, expand operations or to recover from losses, the quick business loans from Clix Capital has got it all covered. The NBFC understands that no business ambition if too big or too small and the flexible financing options help an individual to take the commercial world with a storm. To know more about the eligibility criteria, click here.

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