7 Most Popular Ways Businesses Use Business Loans For

7-Most-Popular-Ways-Businesses-Use-Business-Loans-For

Regardless of its size, any business needs regular funds to manage its operations and support growth and expansion. While businesses have other funding options like pooling money from investors and the market, their implications are not in your best interest all the time. As a result, most companies now prefer applying for unsecured business loans.

Getting these loans is much easier and faster than other funding options, and you can use them for any business purpose you want. So, you can use your business loan in many ways. Seven of the most popular ways businesses use business loans for are as follows: Regardless of its size, any business needs regular funds to manage its operations and support growth and expansion. While businesses have other funding options like pooling money from investors and the market, their implications are not in your best interest all the time. As a result, most companies now prefer applying for unsecured business loans.

Getting these loans is much easier and faster than other funding options, and you can use them for any business purpose you want. So, you can use your business loan in many ways. Seven of the most popular ways businesses use business loans for are as follows:

  • Buy Inventory

A business loan gives you cash flow that you can use to replenish your existing stock and buy new stock as and when required. A fresh and updated inventory will broaden your brand’s reach and appeal. Providing new options to your existing customers is highly crucial for your business, especially if you aim at increasing your sales. You can apply for unsecured business loans without pledging any collateral.

A business loan from Clix Capital gives you 12 to 36 months that you can choose according to your requirements and repayment capacity. You can take upto Rs. 50 lakhs to purchase your inventory and diversify your offerings.

  • Upgrade Equipment

While aiming for a business expansion, you will need to upgrade your equipment and resources to meet your growing requirements. Machines and commercial business equipment may be expensive and strain your business finances. Therefore, the best option to purchase new equipment is to apply for a business expansion loan.You can get this loan without putting any asset at stake, so you can have peace of mind and concentrate on your business growth. Get an ample loan amount of up to Rs. 50 lakhs at competitive interest rates, enabling you to fund your high-value equipment purchases.

  • Train and Hire Employees

As a business owner, you can also take a business loan to train or hire employees. When you have business growth in mind, you will need to recruit the top talent to gain an edge over your competition. However, the cost of training and hiring employees might be high, especially when it comes to senior-level executives. Depending on the number of employees you want to train or hire, you can consider applying for a business loan appropriate for your needs.

The best thing is that the business loan interest rate is lower than other funding options, and you get enough time to repay it at your convenience. The online application process is streamlined, and you may get quick approval within minutes.

  • Expand Commercial Property

Just like buying a house is one of the most significant expenses of your life, buying or renting a commercial property is also the same for your business. The high real estate prices in India often make it almost impossible to expand commercial property without the help of a loan. This is particularly true for small-scale businesses and newer enterprises.

 

Since expanding your commercial property can be a big-ticket expense, you may consider taking a business expansion loan, for that matter. It is a high-value loan that you can take for 12 to 36 months from Clix Capital. While both secured and unsecured business loans are available out there, prefer to find one without any collateral requirement.

  • Business Marketing

The marketing world has changed a lot over the last decade. More businesses are now hiring marketing agencies to stay competitive. Some even have their in-house marketing team to handle their marketing requirements. Needless to say, business marketing is a costly affair. Moreover, it is an ongoing process in which you have to invest regularly.

So, if you have realised the importance of marketing and started taking it seriously, funding it with a business loan can be a great option. Whether you are focusing on an offline or online marketing campaign, a business expansion loan can help you achieve the expected results. Unsecured business loans are flexible, and once approved, you can use them according to your business needs.

  • Working Capital

Any business requires money to ensure the smooth running of its day-to-day operations. Spending a large part of your business revenue on daily operations can put a limit on your potential for growth. In the present age of cut-throat competition, business survival can be a big challenge if you do not spend your revenue adequately.

Also Read: Six Ways of Raising Working Capital for Businesses

Therefore, managing everyday operations with a working capital loan can be a more thoughtful way to go. Finance your business operations with your loan amount and spend your business revenue on your growth and expansion. One of the biggest benefits of these loans is that they are unsecured and short-term. You can fund your expenses now and pay off the loan quickly to become debt-free.

Within 3-4 years, you can build your revenue to such an extent that you can accommodate your daily operations comfortably without a loan. With a high loan amount and minimum eligibility conditions, you can get a working capital loan to manage your everyday business expenses.

  • Add a New Business Branch

Once your current business has been established, you may consider the option of adding a new business branch. However, even though you have gained the experience, you will require a substantial amount of funds to make that happen. One best option is to apply for a business expansion loan and fund your project.

Understand your business loan requirement and make the right decision of taking a business loan to fund your growth and expansion. Clix Capital offers business loans of upto INR 50 lakhs at a competitive business loan interest rate. You can compare the available options and get in touch with us to start your application process. We have the easiest eligibility criterion and minimal documentation requirements to make unsecured business loans more accessible than you ever thought.

For any queries, please find us on Facebook, Instagram, LinkedIn, Twitter, or WhatsApp.
You can also reach us at hello@clix.capital.com or call us at +91-120-6465400.T&C Apply*

December 19, 2022 Business Loan 95

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About Author

Harshit

Harshit Agrawal has a 13+ years of experience in managing digital assets and marketing for BFSI, Auto and Lifestyle brands, and currently working as AVP- Digital Marketing at Clix Capital.