Business Loans
A business loan can give you the money you need to grow or sustain your business
Key Benefits
- Funds can be used to grow your business
- Allows you to protect your business during a temporary cash shortfall without resorting to a bailout
- Can be paid off early - helping you save on interest rates
- Does not always require you to have a security
- The interest rate charged will depend on the risk to the bank
Some Reminders
As with applying for any loan, it’s important to do your due diligence when applying for a business loan.
Before applying for one, ask yourself these following questions first:
- Why do I need this money for my business?
- Can I afford to trim down my business expenses instead?
- Will I be able to meet my repayments even during slower months?
If you do decide to apply for a business loan, keep these questions in mind:
- What types of business loans am I eligible for?
- How much will this business loan affect my personal finances?
- Can I afford to go for a shorter term?
How do business loans work?
Business loans usually come with a floating rate. This allows you to make extra repayments whenever it suits you - without any additional charge. However, it’s important to remember that a floating rate can go up or down depending on the market. This can make budgeting for your repayments and expenses a bit more difficult.
