Do loan really helps people to start up a business?

yahm2001

New member
I think, interest of the loan must be considerable. Choose the low interest so that your business will not get suffer. And for you to pay easily.
 

ketanc

New member
Loans are very helpful when you want to start/expand your business to achieve your goals. Banks and NBFC's are 2 options which can help you get business loan. Banks like HDFC, SBI, etc. require collateral/asset against loan, whereas NBFC's like Lendingkart offer business loan without any collateral.
 

Venlo Asiimwe

New member
Many businesses in our society run from loan. Lending is where you can borrow money and return back with interest. How could you earn if your profit coming from business will be directed to your loan. So confuse.
 

shane robert

New member
Yes, the loan will help the people to start the business, but we need to follow some steps to successes in business.
1. Work Ethic
2. Goal-Driven - but keep life balanced
3. Competitive
4. Multi-Task Ability
5. Character/Integrity.
6. Persistency - Embrace Rejection!
7. Self Motivated
9.Open-Minded
10. People Skills
 

behappie

New member
Loan is given based on credit ratings or credit worthiness. A new business is like a baby who has a blank record. Even though, no reputation is better than bad reputation. To well qualify for a loan, a business must have been long established and have track record of dealing with their trade creditors in a credit-worthy manner.
Loan for a new business should not be encouraged as it would distract the owners of the business and their managers from building the fortunes of the business, rather, they would focus repaying the loan capital and the accruing interest.
Many budding businesses have shut down in the last ten years because of their inability to meet loan obligations.
 

yahm2001

New member
Many businesses in our society run from loan. Lending is where you can borrow money and return back with interest. How could you earn if your profit coming from business will be directed to your loan. So confuse.
 

kgord

New member
It is often extremely expensive to start a business, and most businesses need loans to start them. Sometimes people buy businesses that are already established but then again it can be very expensive to do so. Buying a business may cost upwards of 100,000 dollars so most people need some kind of financial assistance when buying unless they are independently wealthy.
 
G

Guest

Guest
Actually reason why people loan is because they want to start business. Once you loan, of course you'll be paying how much you have loan plus the interest. If the business you made from loaning becomes a hit, you're sure to earn. If it doesn't, here comes the deficit part. Before loaning make sure the business ideas that you have in mind will make profit.

Now, why I am loaning is because I do not have much money to start anything, or add something in my business. Loaning helped to build my foundation in business. Yup, I am paying what I loan, but it takes a year or so to completely pay what you loaned. And within that time, I got profit more than just what I loaned.

Hope this helps.
 

Khen Ferido

New member
In some way Yes. Borrowing money from banks or other lending firm is the way to start or put up a business you want if you cannot afford the capital. Before borrowing money you should have a second plan, a stragety on how you gonna prosper your business. It's very common that business have it's ups and downs and we never can tell when it will happen. I strongly suggest that it should be accompanied with insurance upon putting up business. Whatever may happen there's part of the insurance that will surely help.
 

bizwiz

New member
Only once you are able to test your business model and have the proof of concept in hand, can a business loan help you. If you're getting the business loan right off the bat before even getting your 1st few clients, your business is bound to fail. Only once you have a proper revenue model and customers who are willing to pay, business loan can help you.
The reason why most of the businesses taking the business loans fail is because they are overoptimistic and do not even test their business model before taking the business loan.
 

jlordz09

New member
I think that loans really helps people to run a business. But make sure you know the business you are doing. Make sure that you can gain profit on it to pay your debts. Loan for a capital only and grow your business with the profits you gain on it. Pay your debts and start collecting profits with no worries.
 
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