I'm planning to start a offline business very soon but don't have enough capitals to start up, do you think taking loans from bank is a good idea? Your opinions are welcome.
Agree. It doesn't take much to start a business these days, especially if it's online. You want to get started building your network, and learning without making costly mistakes at the beginning. This will kill your business quick.I always advise people to stay away from taking loans. Unfortunately, many people have an extremely hard time paying the loans back. Obviously, the banks and many other financial institutions would want you to take loans from them because taking loans from them is beneficial for them only. This is because they earn interest on loans. Most of the people who take loans face challenges and the pressure on them is more as compared to people who tend to start business with a small capital. So my advise to you is: start a small businesses with your own capital and avoid borrowing money.
This is because people do not trust the idea of a project easily they need a lot of warranties before according a loan or giving a credit to start such a business so it is hard when coming to borrow except if you have started projects before and succeed then the loan will be secondary, not principal to start.If you are someone who is thinking of taking a loan to start up any business, I feel you should go ahead with your decision. In current times it is not easy to raise funds for a business. So, mostly if any person has the potential to start his own business but doesn’t have the funds, will drop the idea fearing the capital requirement at the initial stage. With so many NBFCs coming up like Lendingkart I feel getting a business loan online is quite easy. Start up business loans require minimum documents.
You must know that insufficiently funded business die very fast than loan-funded business. Risk is high but provides some more chance of survival of business or maybe successful. You are right to say stay away as business is more risky and requires funding that could not be paid by. It makes business more difficult for normal or poor people.I always advise people to stay away from taking loans. Unfortunately, many people have an extremely hard time paying the loans back. Obviously, the banks and many other financial institutions would want you to take loans from them because taking loans from them is beneficial for them only. This is because they earn interest on loans. Most of the people who take loans face challenges and the pressure on them is more as compared to people who tend to start business with a small capital. So my advise to you is: start a small businesses with your own capital and avoid borrowing money.