While a business loan presents a good financing route, a personal loan presents a helpful alternative.A personal loan is a type of unsecured loan that helps you meet your financial requirements for various purposes. You can get a personal loan for a variety of needs – wedding, marriage, travel, purchasing consumer durables. However, getting a personal loan for business needs offers unique advantages.
Easier to qualify for
Getting approval for a personal loan is much easier as the lender only checks your personal credit history, finances, and income. Moreover, if you have a strong credit score then the terms of the loan will be better than what your business could likely get on its own.
Available to small businesses and startups
Finding a business loan for a small business that is less than two years old and doesn’t have significant revenue is quite challenging. However, with a personal loan, you can easily get funding for your small business or startup. Personal loans don’t require you to furnish extensive business plans and documentation, as opposed to business loans. A lender only uses your personal information to sanction the loan, and not your business finances.
Unlike business loans that require you to put down assets as collateral, personal loans are typically unsecured and don’t require any collateral. So, even if you fall behind on your payments, the lender can’t seize your assets. A personal loan is a good choice if you don’t want to provide assets as security. At Tata Capital, no collateral or security is required for personal loans.
Lenders are quite flexible when it comes to the usage of funds. You can split the funds and use them for business and personal expenses, or any other needs. Thus, this makes personal loan a good option for self-employed professionals or small business owners.
Additional Read:- What is My Payment Method for a Personal Loan?
Business loans require you to submit a number of documents such as the accounts of your business, business plan, etc. The process of arranging for the required documents, getting the business loan sanctioned, and then for the money to hit your account takes a lot of time. Compared to this, personal loans are disbursed within a couple of days. So, if you are in need of funds and can’t afford to wait, then a personal loan is the best option to get the capital you need.
Looking to apply for personal loans? Look no further than Tata Capital. Tata Capital’s personal loans are designed to meet all your financial needs. With personal loan interest rates starting at 10.99%, you can say goodbye to all your financial worries. We only ask for minimal documentation to process your loan application. We have made the process of getting a personal loan simple and flexible so you can get quick access to money whenever you are in need.
Additional Read:- Tips to Repay Personal Loans Without Affecting Your Wallet
So, what are you waiting for? Use our online calculator to calculate your personal loan eligibility and apply for a personal loan by logging on to our websitetoday.