How Do I Obtain A Micro Loan For My Business?
While looking for an ideal loan that will match your business’ needs, one of the top options that you will find is micro loan. In this article we will discuss why many prefer micro loan and its advantages. Check out the list below for the ways on how you can obtain a micro loan.
Look for a reliable lender
Before applying for a micro loan, spend a lot of time researching about the best lenders in Singapore and narrow down your options by reading online reviews. You may visit blog sites and forums to get an idea of which bank lender has the best client feedback. Another option you have is by asking some of your friends who already have micro loans. For your peace of mind, ask for their advice on which company lender to choose.
Prepare the requirements
Provide the bank lender with the required information about your business in able to determine eligibility. One good advantage of acquiring a micro loan is that they are available even for smaller businesses that may not have solid collateral.
Analyze the payment terms
Ensure that the payment terms will be manageable. The payment period varies depending on the loan size and terms agreed upon the signing of contract.
Check how you can use the loan
A lot of lenders will have specific requirement about the intended use of the micro loan. These requirements often limit borrowers to only a number of potential uses. Some lenders do not allow borrowers to use the micro loan to purchase land or property. There are also those who do not want it to be used for paying employee salaries and bonuses. Microloan borrowers may not pay off other bank loans using their micro loan.
For your reference, here are some of the purposes where you can use a micro loan:
- For the inventory of supplies
- As a working capital
- For furniture or for equipment
Should you wish to learn more about micro loans, all you have to do is visit Capitalize. This company has a great understanding of your needs and can make your worries about micro loans go away.
Capitalize is a corporate loans specialist firm that helps Small Medium Enterprises (SMEs) and individuals to seek, source and obtain capital from across our established network of up to 30 banks, financial institutions, funding houses and alternative platforms. We are always committed to provide our clients with the most suitable loans according to their needs, from the lowest interest rates possible and at the quantum they require.