Businesses often find themselves in the need for extra capital or financial support in order to carry out their daily processes or expand their operations. While there can be numerous solutions to these problems, one of the most convenient ones is taking a business loan. Now, the natural question that comes to mind is whether to go for a secured loan or an unsecured loan.
Even though secured business loans are available at lower interest rates, businesses are often drawn towards taking an unsecured loan owing to a couple of its lucrative features. Whether you are a small business owner looking to expand your reach or require some extra funds to re-stock your inventory, an unsecured business loan can be a great way to acquire some financial backing.
Collateral Free
One of the most obvious advantages of unsecured loans is that they are collateral-free. Every business requires capital to expand but not every business has assets to pledge in order to acquire these funds. An unsecured loan is a collateral-free credit that lets you attain the finances you need without collateral, making it easier for smaller businesses to cater to their financial needs without having adequate collateral.
Hassle-Free Application Process
Another advantage of a collateral-free loan is that it spares you the hassle of a long and cumbersome application process. You can opt for an online business loan to keep your paperwork and documentation to a minimum. This is considerably more important now as we strive to practice social-distancing in a post COVID world.
Fast Disbursals
Often unsecured loans have a much faster disbursement process than unsecured loans. This accelerated process is one of the top reasons why business owners opt for unsecured loans. These loans can help entrepreneurs cater to urgent business needs and enhance their cash flow positions. New-age fintech organisations like Clix Capital typically disburse business loans in a matter of days.
Flexible Repayment Options
The repayment options for unsecured loans are quite flexible, giving entrepreneurs an option to pick a repayment plan that suits their needs. This helps them avoid unnecessary hassles in the long run and stay clear of any defaults in the repayment.
Can Boost Up Your Credit Rating
You can avail an unsecured loan even if you have faltered in your credit history. This makes them a good way to boost up your credit rating. After all, repaying a loan does wonders for your credit score and can seriously enhance it.
At Clix Capital, your business idea is all the insurance that is required to get you your business loan. So what are you waiting for? Give wings to your business endeavours with financial freedom and flexibility and never let the unavailability of collateral stand in the way of your business growth and ambition. To understand more about business loans, drop a mail at hello@clix.capital or call 1800-200-98-98.
