How to get a loan for self employed

 

When you are self employed bringing in income to cover your operating expenses or to cover plans for expansion and growth is priority. Whether you’re a sole proprietor, close corporation small or medium enterprise or private company, the time may come when you need outside financing to help cover your costs. A self-employed business loan can give you the capital needed to cover short- and long-term business goals. You can use it for working capital, stock expenses or any other business-related need, such as advertising, equipment or other products and services that will help your business grow.

 

Are online loans available to self-employed business owners?

Lenders always think about a steady source of income when considering whether or not to grant access to credit. This can be painless if you are employed you can simply provide payslips from work. But if you are self-employed, you will have to provide alternative documentation to prove your income. As long as you can pass the lender's risk score criteria, and you can show the lender that you can afford the repayment and meet the other requirements, you shouldn't have a problem in qualifying for a business loan, and you will likely have access to a wide range of loans.

Capital Advance for self employed business owner

Fast, Easy access to finance can help your business thrive. With a capital advance you will get the funding you need to take your business to the next level and get time to repay your Capital Advance over 3, 6, 9 or 12 months.

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How to get a business loan when you’re self-employed

 

Getting a business loan for self employed may be challenging, but try following these steps and it might help you out:

• Prove steady income: Your income level will play a big role in getting approved and for how much. Most lenders will be looking for at least R500,000 in annual turn over before even considering your application. 
• Go with a business-friendly lender: To increase your odds of approval, you need to go to a lender that specializes in assisting self employed. You have a better chance of finding these lenders online.
• Compare offers: You can pre-qualify your loan for self employed online with multiple lenders. Here you can compare loan amounts, terms and interest rates.
• Offer collateral: When you back your request for credit with an asset, lenders will look at your application more favorably and they will know that you are serious.

 

How to getting a small business loan without collateral

• You need to find a lender that offers unsecured business loans. Most banks and online lenders offer unsecured loans, but you can make sure by checking their website.
• Check the minimum requirements. Lenders often set requirements for minimum time in business, annual revenue and credit score. These may be listed on their website.
• Estimate loan repayments. You can estimate loan repayments using a business loan calculator. Then, update your business budget to see if it won't break your budget.
• You will need certain documents to get the loan finalized, so make sure you have the correct documents available when applying.
  Apply online or in person for the business loan. Unless you get a fast business loan, be patient since lenders often take a couple days to determine whether you’re approved.