An organisation planning to apply for a business loan must be thoroughly aware of the general application process and the documents that need to be provided to the lender. Security is a top concern for any business today, and no enterprise will want to give copies of their ID and financial papers to questionable entities.
Even when they choose to borrow from familiar banks, the hassles of printing and photocopying documents, submitting them to a branch personally or through a reliable employee and then awaiting approval of their SME loan can be tedious. It discourages many MSMEs from approaching traditional financial institutions for funds. “How to get fastest business loan” while also following a secure procedure is a priority for SME and MSME borrowers.
Fortunately, the expectation of getting a quick business loan can now be fulfilled by FinTech lenders. These digitally active NBFCs have an abridged and systematic online application process, and funds on approved applications are provided in less than a week. Furthermore, they offer loans without requiring the borrowers to pledge any security.
FinTechs do need some documents to sanction any loan. However, businesses only need to submit the soft copies with their digital application. The primary documents required for an unsecured working capital loan or any other SME/MSME loan include:
KYC Documents of Business Owner(s) – PAN Card, passport copy or a copy of any other Photo ID that is recognised by the Government of India
Income Tax Returns (ITR) – The processed ITR document copies for the last two years
Goods and Service Tax (GST) Returns – Processed returns for the past year
Bank Statements – For the previous six months
For some particular loans taken to finance the operations of schools, medical clinics, restaurants, franchises, logistics companies and e-commerce sites, the FinTech lender may need documents specific to these verticals.
As an example, a Pvt Ltd company or LLP that seeks merchant cash finance based on the payments made through cards should also submit its card settlement statements for three months preceding the loan application. On the other hand, sole proprietors (Prop) running their own shops, salons or small restaurants can directly submit their KYC documents, IT returns, bank statements and papers that corroborate the identity of their business.
What then, about the security factor here? That indeed is important – a business loan application should only be sent from a secure website that encrypts all information loaded on its servers. FinTech companies with website domain having a lock symbol and https:// prefix are authentic lenders in the credit market.
If your business has been successfully running for almost three years, and you have been complying with the tax laws of India, your chances of fulfilling other eligibility requirements for an unsecured business loan by Capital Float are high. Just gather the soft copies of documents relevant to your enterprise, and by spending less than 15 minutes on the digital application, you can send a request for the loan. You will also be notified of the approval on the same day, and the funds reach your bank account in the next 72 hours.
To know more about our loan granting process, feel free to call at 1860 419 0999.
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Composition Scheme Changes
- GST rate at 1% for manufacturers and traders
- Composition scheme limit to be extended to ₹1.5 crore
- Composition tax of 1% on turnover of taxable goods
- Interstate sales are not permissible for composition dealers. Input tax benefit not allowed.
GST Filing Extensions
|GSTR form||Previous Due Date||Revised Due Date|
|GSTR-5 (for Non-Residents)||Before 20th August 2017 or & days from date of registration||15th December 2017|
|GSTR-4 (for Composition Dealers)||18th October 2017||24th December 2017|
|GSTR-6 (for Input Service Distributors)||13th August 2017||31st December 2017|
|ITC-04 (for the quarter of July-September)||25th October 2017||31st December 2017|
|TRAN-1||30th September 2017||31st December 2017|
Taxpayer Relief Measures
- Reduced Late Fee: For delay in the filing of NIL returns, late fee will be reduced from ₹200 per day to ₹20 per day.
- Credit of Late Fee: For filing of GSTR-3B for the months of July, August and September, late fee has been waived. Any late fee paid will be credited back in Electronic Cash Ledger under ‘Tax’ and can be utilized for GST payments.
- Manual filing for ‘Advance Ruling’ to be introduced
- Export of services to Nepal and Bhutan are now exempt from GST. Input tax credit, if paid, can be claimed for refund.
- Taxpayers with turnover less than ₹1 crore should file invoices every month, while those with turnover greater than ₹1 crore should file invoices every quarter.
Revised GST Rates for 178 Goods and Services
|Goods/Services||Present GST Rates||Revised GST Rates|
|Guar meal, Khandsari sugar, Dried or frozen vegetables, Uranium ore concentrate, Hop cones, Unworked coconut shells||5%||Nil|
|Desiccated coconut, Idli Dosa Batter, Coir products, Fly ash bricks, Worn clothes or rags, Fishing hooks, Leather or chamois after tanning or crusting, Nets of textile material, Restaurants (non-Ac)||12%||5%|
|Potato flour, Chutney powder, Sulphur recovered as by-product in refining of crude oil, Specified parts of aircraft, Scientific and technical apparatus, Computer software and accessories, Restaurants (AC)||18%||5%|
|Condensed milk, Diabetic foods, Refined sugar, Medicinal grade oxygen, Printing, writing and drawing inks, Pasta, Curry paste, Mayonnaise and salad dressings, Mixed seasoning, Parts of agricultural & sewing machinery, Bamboo and cane furniture, Frames and mountings for spectacles, Hand bags and shopping bags of cotton and jute||18%||12%|
|Wet grinders, Tanks and other armoured fighting vehicles||28%||12%|
|Chewing gum, Chocolates, Preparation of facial make-up, Preparations for oral hygiene, Toothpaste, Shaving and after-shave items, Shampoo, Deodorants, Detergents, Granite and marble, Handmade furniture, Electric switches, Watches, Sanitary ware, Cases, Cutlery, Refrigerators, Flavoured drinks, Water heaters, Fire extinguishers, Printers, Automatic goods vending machine, Transmission shafts and cranks, Fork-lift trucks, Self-propelled bulldozers, Batteries, Static converters, Vacuum cleaners, Cameras and projectors, Microscopes, Musical instruments||28%||18%|
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Oct 24, 2018
Being proactive never hurt anyone. This is especially true when it comes to running businesses. A successful enterprise needs a steady infusion of finances, and waiting till the very end could prove to be expensive, particularly in the current competitive scenario. Challenges will never cease to exist. The same holds true for business opportunities. Timely action coupled with advance planning for business development sets the leaders apart in a crowd.
How to get a business loan is a question fraught with ifs and buts. Capital Float, the leading alternative lending companies in the online space, assists in overcoming the unique credit needs of a variety of small businesses, thus providing an easy answer to the question.
Here are five scenarios wherein applying for a small business loans online becomes necessary.
1. When expansion is imminent
Small business loans are no longer viewed as a liability. If debt can enable you to seize a lucrative business opportunity, why not utilise it? Online business finances are geared to function according to individual needs, thus empowering a variety of small and medium business enterprises (SMEs). A flourishing business will sooner or later require physically expansion. This doesn’t necessarily mean that it has the cash on hand to make such a move.
Often, traditional banks either work too slow or fail to understand your business goals. Capital Float’s products are the best fit in such situations, and are tailored to fulfil unique credit requirements. Thus, small business goals such as expansion or renovation plans become achievable and affordable through alternative lending means.
Capital Float bridges the credit gap and equips a business in more ways than one by offering flexible access to low-cost capital. These include exploring new markets, a new marketing strategy or, realising expansion plans.
2.Purchase of business tools
Every business employs different tools. While one may require steel cutters, the other may need pizza ovens. Computers may be crucial to one business and curling irons to another. The point being that no business can do without a certain kind of specific equipment. An enterprise may either buy or lease it out.
It makes perfect financial sense to get business finance for purchasing indispensable equipment. Apart from getting a tax-cut, an enterprise can use these tools for the rest of their economic life and even sell it at a reasonable price later, if need be
The problem of how to get a business loan for buying equipment is made easy and convenient by Capital Float. Irrespective of a company’s cost-benefit analysis vis-à-vis buying or leasing business equipment, our customised financial products take care of all your liquidity needs.
Sustaining a business in the current digital ecosystem requires continuous supply of inventory. This is especially true for companies working in the online space. Expanding to new marketplaces and staying ahead of the competition entails having enough inventory to meet customer demands. Falling short may jeopardise the reputation and prospects of B2B or B2C companies.
A business can conveniently avoid running into such a situation with Capital Float’s loan products. Enabling several types of small and medium businesses to replenish their inventory ahead of a season, these loan offerings take care of your seasonal inventory purchases. They involve short-term loans which companies normally pay off from profits once the season is over.
4.Boost working capital
Costs pile up long before the first sign of profits. Businesses invariably require working capital or daily cash for taking care of operations, which may range from repair of equipment to payment of salaries. Till the time a fledgling company can earn enough to cover its working capital needs, business loans come in extremely handy. Capital Float caters to a wide range of companies that require small business loans for running daily operations. Easily available without the hassle of lengthy paperwork and excruciatingly slow disbursement times, such loan offerings ensure smooth working of an enterprise. Easy access to timely credit is critical. This is especially true for startups, which require a certain amount of hand-holding initially. Working capital, which can be easily sought through a small business loan, ensures a comparatively smoother running of business.
Easy access to timely credit is critical. This is especially true for startups, which require a certain amount of hand-holding initially. Working capital, which can be easily sought through a small business loan, ensures a comparatively smoother running of business.
This is where Capital Float’s many different loan products make a difference. Small business loans empower entrepreneurs in several ways. These include helping to seize the next business opportunity, taking care of suppliers, using available funds as petty cash, improving profit margins, etc.
5.Change in the organizational life cycle
Every new business starts out as small, which is essentially a time to test the water. With time, business owners get to know the market and their customers better, and inevitably think of taking the bold step of expansion—either into new product/service categories or in terms of scale. This is when they require a business loan.
A smart way to go about this is to start with a small business loan and pay it off on time. This enables a business to build a healthy credit score, which can be advantageous when applying for large-scale financing for business expansion. “How to get a small business loan” is a question easily answered by online FinTech lenders like Capital Float. Build your business credit the easy way through our collateral-free short-term loans,
“How to get a small business loan” is a question easily answered by online FinTech lenders like Capital Float. Build your business credit the easy way through our collateral-free short-term loans, customized to specific needs. Thereafter, work your way up to a large-scale loan with business finance.
Running a profitable company in today’s globally competitive environment requires meticulous planning and timely cash inflows. With the use of big data and analytics, Capital Float can speed up the loan approval and disbursal process, empowering your business with timely credit, enabling you to focus on larger issues such as business growth and development.
Oct 24, 2018