Many business owners especially small to medium enterprises need a lot of cash to run their business, and sometimes when the economy is not looking good, these small enterprise business might run into cash flow problems which require them to loan some amount of money from moneylenders either be from licensed private moneylenders or from banks. Unsecured business loans is probably the option they might want to consider and accessible to small business owners. Because the nature of unsecured loans do not require any collateral, is it generally easy for the small medium enterprise to apply without any valuable assets from the company itself.
What is it and what to expect?
Understanding the situations for small business owners who do not have any valuable possession in their company, most moneylender company offers this unsecured loans. They understand the difficulty to have a steady cash flow thus small business owners can apply without giving any collateral in return, However, most of the unsecured loan plans limiting their amount of cash they can lend, most of the times ranging from $10,000 to $50,000 and these amount may vary, depending on how good your credit score is, and how capable your company is.
In most cases, a good well-established business with a good amount of business credit score can get an unsecured business loan from private moneylender pretty easy. Because most of the moneylender company in Singapore look for a company with a good assurance that the company able to repay the loans according to your acceptable terms and conditions. Because of no collateral plans, the only way the licensed moneylender company make sure that your company is eligible is to asses and evaluate your business loan application and check your business loan credit history.
What if I am a New Business Owner?
If you are a new business owner who just started a business in Singapore and looking for a start-up cash for you to help to run the company, you have to convince the licensed moneylender so that they have a clue on your plans to repay, what is your business goals, and what are the future plans you can bring to repay the debt. It is more challenging if you want to get approved for unsecured loan especially when you just start your business, you do not have a business credit.
Same applies to small business owners who do not have a good credit history, you should find a moneylender company that can providing you loan with bad credit history and even if they are willing to lend you some money, the amount would be much more limited and probably the interest rates will be much more higher that the usual ones, you should be careful and plan how are you going to pay. QV Credit is a Licensed Moneylender in Singapore who can help you with Business Loan when you need it. Contact us for more details.