4 REASONS WHY UNSECURED BUSINESS LOANS HAVE EMERGED AS THE LIFELINE OF SMALL BUSINESSES IN INDIA

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4 REASONS WHY UNSECURED BUSINESS LOANS HAVE
EMERGED AS THE LIFELINE OF SMALL BUSINESSES IN
INDIA

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Here are some factors lenders take into
consideration before granting business loans

• The era of unsecured loans has been the savior
  for small and medium-scale businesses. It has
  become a smooth journey for small business owners
  to get funds instantly without any collateral.
  This is the reason why you can see growing
  start-ups and medium businesses on a large scale.
  Here are some of the reasons why unsecured
  business loans in India have emerged as the
  lifeline of businesses.

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What is an unsecured business loan?

• An unsecured business loan is a loan that has no
  security or asset attached to it. This type of
  loan is not secured and does not need any
  collateral or security to keep with it. You can
  easily have it even if you dont have any
  property or collateral to keep with your bank. It
  will help you get instant funds in your account
  so that you can manage your business expenses.

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Manage the business working capital

• Working capital is the most essential way to
  manage the fund for your business. You can easily
  handle the expenses that come daily. It is not
  about the expansion or any other kind of
  investment, but managing the daily activities.
  Working capital is the fund that a business needs
  for daily operations. It can meet the fixed
  obligations and operational cost that is needed
  for regular sustaining. It is the best way to
  keep going, and with an unsecured loan, you can
  easily have one. There is no hurdle for the small
  business owners in attaining loans even when they
  dont have collateral with them. It is very easy
  to get and you can manage your daily expenses in
  business and maintain a good working capital.
• Read More Top Ways to Teach Your Kids About
  Personal Finance

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Grow and develop your business

• An unsecured loan is easy to have without the
  need for any collateral or security. If you get a
  good amount of funds for your business without
  keeping any collateral with your bank, you can
  use it for the growth and development of your
  business. It will help you manage your expenses
  in growth. It can count on things like
  investment, new machinery, marketing strategy,
  staffing services, and technology. These are the
  ways by which you can manage and use your fund in
  the right order.

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Borrowing with bad credit

• If you have bad credit you can still borrow a
  business loan. Lenders look at the profitability
  of your business, and not your credit history.
  This is a huge boon for small business owners,
  who have poor or zero credit score. If you feel
  your business is doing good and you can easily
  manage a good amount of profit in the future,
  convince your loan provider for a business loan
  without any hesitation. Business with profit is
  always an asset for the loan provider and you
  must have it.

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Flexibility for fund usage

• The traditional banks were very strict in
  business loan usage. There were some areas where
  the fund could have been used previously.
  However, with an unsecured loan, you can use the
  money for anything that relates to your business
  directly or indirectly. It becomes easy for you
  to borrow and get hold of the fund to meet any
  expenses that can come up anytime.

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Clix Capital Services Private Limited

• Address
• 901b, 9th Floor, Two Horizon Centre, DLF Phase V,
  Gurgaon, Haryana, India 122002
• Phone Number 1800 200 9898
• Email us at  hello_at_clix.capital
• Website www.clix.capital

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