A significant business hub, Raipur is the capital of Chattisgarh state. As a commercial hub for trade and commerce, the city is also a food-processing a saw-milling center. Raipur possesses exponential industrial growth, thus regarded as one of the best cities for entrepreneurs. In a competitive place like Raipur, you should be vigilant in your business tactics to increase profit and acquire great success. However, you have to implement an expansion in your business to reach your goal. But what if you are in a financial shortage? Don’t worry; you can use a personal loan in Raipur to take your business empire to heights. With Buddy Loan, the best loan aggregator can provide you with an instant loan for business with better interest rates.
How do Personal Loans Help In Business Expansion In Raipur?
A personal loan is an unsecured loan that helps you to meet your financial emergencies. With this loan, start your business, expand your existing business, boost production, and more. You do not need to provide any collateral for this loan application. For self-employed persons, a personal loan for business will help to straighten up their finances. Moreover, a quick fund is an excellent help for you to make on-time payments and purchases to ensure the proper functioning of your business.
Purposes Of Personal Loan In Raipur
When you have the following requirements, you can opt for a personal loan to meet your expenditure.
- Starting or launching your new business -: Sometimes, you may have many fantastic business ideas and want to implement them into a reality. But you might have no financial resources for the initiation. Then you can go for a personal loan to cover your necessities.
- Expanding your existing business -: When you have an excellent ROI (Return On Invest) and a large sum of profit, then you can consider expanding your business. It needs vast investments to launch new products and services, grow its operations and production, and more. Therefore, a business loan will be a savior for you to taste success.
- New equipment and machinery –: In a competitive city like Raipur, sustaining your business is challenging. For the smooth running of your business, you should be aware of the current market trends, updated technologies, and your competitors’ moves. You have to be up to date with the latest equipment and machinery. So you need more funds to establish this idea. And a business loan from Buddy Loan can save you from handling these expenses quickly.
- Inventory management -: Raw material management, component collection from suppliers, warehousing of the products, and reaching the final product to customers. It is a record that tracks all the purchases and sales of products to the customers. Here, you can choose a business loan to meet your needs.
- Human resource management -: During the launching of your business, you need to hire talented people to make your start-up a successful venture. As a new company, handling the cost of hiring, training, and mentoring people won’t be easy. So a personal loan can help you to cover the expenses.
- Marketing strategy -: Entrepreneurs implement different marketing strategies to enhance their business and attract customers. It is very vital to make higher profits, productivity, and revenue. Therefore, you can use a personal loan.
Personal Loan In Raipur: Features
- Collateral-free -: You don’t need to provide any asset as a guarantee for your loan approval.
- No hidden charges -: You can assure that there will be no hidden charges for your loan.
- Minimum documents are needed -: You only need certain documents such as PAN, Aadhar, and bank statements for the last three months for applying for the loan. Documentation might vary depending on the lender you choose.
- Quick approval -: You can get your loan quickly once the lenders find you are eligible. You will get immediate approval after KYC verification.
- Flexible loan tenures -: You can likely opt for a loan of Rs.10,000 to 15 lakhs, which you can pay back through EMIs over a particular term of 6 months to 5 years. According to your budget, you can choose the tenure.
- Quick disbursal of the loan -: With the development of technologies, everything has become digital nowadays. The amount will be disbursed directly into your account within 24 – 48 hours after the approval.
- Paperless process -: Nowadays, you don’t need to visit a bank to get a loan. You can apply from an official website or a mobile application of a specific bank or lender.
- Better interest rates -: You can get interest rates starting from 11.99%. With a good credit history, you can instantly get a personal loan with a low-interest rate.
- Safety of your loan -: Information you share while applying for the loan will be kept confidential from any third party.
Know Your Eligibility For A Personal Loan For Business!
Eligibility factors are different for each lender. But mainly, certain factors they follow are listed below.
- Indian citizen.
- Age above 21.
- Need a registered business entity and completion of three years of successful business history with profits and ROI.
- Individual entrepreneurs, manufacturers, public or private companies, and partnership firms are eligible for a loan.
- A yearly turnover above INR 12 lakhs.
- No pending debts.
- Your credit score should be above 700 to get quick approval for a loan.
Know your credit score now by using Buddy Score.
Personal Loan In Raipur: Documents
The typical documents needed for applying for an online personal loan are listed below.
- Identity proof – PAN, Aadhar, Driving license, passport, etc.
- Address proof – Landline bill, Voter ID, utility bills(water/gas/electricity)
- Bank statements – last three months.
- Salary slips – last three months.
- Income tax returns – Last three years.
- Audited Balance Sheet and Profit & Loss statements – Last three years.
Note These Before Taking a Personal Loan for Business.
- Credit Score -: When approving a loan for you, a credit score is essential as it is the factor that decides the interest rates you get. A credit score mirrors your financial transactions, including loans, monthly payments, credit behavior, and past credit history. A higher credit score above 700 will project your credibility to the lenders. Eventually, you will quickly get a low-interest rate.
- Loan amount -: As the personal loan is easily accessible, it might tempt you to opt for more than you require. But be alert while getting a loan and choose only the needed amount. It will save you from getting defaults and debts.
- EMI -: Know your EMI using an online EMI calculator and plan your monthly due accordingly. Hence, you can avoid facing any troubles in your monthly budget.
- Relationship with the lender -: When you have a long-time transaction history with a bank and are in good relation with them, you will get a loan sooner. The lender will consider you trustworthy as they know your credit behavior. So you can get low-interest benefits more than others.
- Interest rates -: Before applying for a loan, compare the offers provided by various lenders and negotiate better interest rates.
- Other charges -: You have to pay further charges for the loan approval, like 18% GST and a 0.5% processing fee.
- History of defaults -: Avoid getting any defaults in your credit history. Otherwise, you will be getting your loan with high-interest rates or might get a rejection for your loan.
Improve Credit Score With These Steps
- Maintain a regular payment habit -: On-time payments are essential. So, pay your credit card bills, loan repayments, and EMIs without missing them. You can set a reminder or an automatic payment option for achieving this. Eventually, there will be a significant impact on your credit score.
- Payment of outstanding balance -: Pay your outstanding credit balance at the earliest. Because when you have more outstanding dues, your credit score will decline rapidly. Clear all the EMIs and increase your credit limit along with your credit score.
- Always check your credit report -: Checking your credit report frequently will avoid errors and fraud. If you miss any, then it will affect your credit score. Even a false statement can lower your credit score.
- A balance between credits -: Always maintain a balance between secured and unsecured loans. A change in the proportion of anyone will lower your score.
- Don’t apply for multiple credits -: Whenever you get new credit, it reflects on your credit score. So numerous applications can lead to more queries. A hard inquiry will stay on your credit report for two years. So multiple hard inquiries in a short time will create a decline in your credit score and rejection of loans in the future.
- Be patient -: Making improvements in a credit score will not appear in one night. You must check your credit reports, credit scores, spending patterns, and repayment dues. Over time, your credit score will be higher to improve your creditworthiness.
To start your dream business and sustain yourself among the competitors in Raipur is quite challenging. But by planning and maintaining your dealings legally and honestly, you will easily survive in this business world. Gradually, you will get the fruits of success too.
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Q. What is a personal loan for business in Raipur?
A. In Raipur, you can get an unsecured loan that you can use for small or large-scale business purposes.
Q. What are the documents needed for a business loan?
A. The required documents are ID proof, Income proof, and address proof.
Q. What is the maximum loan you can avail of?
A. You can obtain a loan up to 15 lakhs, with a repayment tenure that varies from 6 months to 5 years.