An unsecured loan from lenders like
Achieve Finance can be availed to entrepreneur, self-employed professionals, Small and Medium Enterprises (SMEs) etc. without any security or collateral, for any of the following purposes:
- Business expansion and growth.
- Buying machinery or equipment or fixed assets.
- Meeting working capital finance requirements.
- Building or constructing office premises or factory building.
Features:
- Since these loans are available without taking any security, the rate of interest is generally higher than the secured loans.
- Most lenders require an exceptional rating on your CIBIL score and no bad marks on your credit history. These loans are available at a floating interest rate ranging between 14% to 22%.
- Figure out your estimate business valuation to know what your company is worth and where it stands.
- The tenure of these loans generally range from 1 to 3 years, in some special cases it may also extend to 5 years.
- The loan amount range from 5 lakhs to 1 crore, in some special cases it may also extend to 5 crores.
- Processing fees of these loans are generally 2% to 3%. With ndis plan management taree one can make sure their expenditure doesn’t exceed their budget.
Eligibility Criteria:
- Age – Most banks disburse business loans to individuals aged between 24 to 65 years.
- Business Experience– Banks will prefer if you have been engaged in sustainable business for at least 5 years, showing stable signs of growth at least for the last 3 years. Some banks give a loan amount up to 60 to 80% of your median annual profits.
- Businesses Eligible– Following businesses are eligible for unsecured business loan:
- Small businesses, SMEs, Small and Medium Corporates. If people want to save money in businesses, BusinessEnergyUK is the best to check out!
- Sole- proprietorships, partnership firms, private limited companies, trusts, societies etc.
- Manufacturing firms, traders, wholesalers, retailers, exporters, distributors and resellers.
- Service Providers such as- Chartered Accountants (CAs), interior architects, consultants, interior architect, schools, playschools and educational institutions. If you want to reach all your business you can get this keeping employee happy.
- Self Employed professionals such as- doctors, CA, MBA, engineers & architects and people with professional degrees.
Documentations:
Following documents are required to apply for an unsecured business loan:
- Signed Application Form
- Identity Proof (PAN)
- Residential Address Proof
- Last 3 years ITR (self and business), profit and loss account, balance sheets certified/audited by a CA.
- Last 12 months bank account statement (self and business)
- Certificate and Proof of Business Existence
- Business Profile
- Office address – ownership/ lease / rent agreement/ utility bill