Business loans. Lending to small and medium businesses

To open a new business requires financial investments. Many entrepreneurs are turning for this purpose to the banks. They offer a variety of programs for the Foundation of the business. The procedure of registration is quite long, and it is necessary to collect many papers. Loans to small and medium business will be the best choice, if not their financial investments.

Receipt

Making a loan in many organizations it seems. Lending to small and medium businesses is available in the following conditions:

1. Firm must be legally registered, so she had all the documents.
2. Require banks to provide a business plan of the enterprise. At the interview you will have to tell us about his vision of business development.
3. Experts of the credit institutions perform their calculations at the stability company, so you need to provide the necessary information, statements, forecasts.
4. Lending to small and medium businesses is available in the property ownership.
5. Checks the reliability of the client. If the credit on IP, the borrower's check as an individual. Credit history must be positive.
6. Guarantors and co-borrowers increases the chance for approval of the application for the loan.
7. Insurance many banks considered a mandatory service.

Only under such conditions there is the probability of approval of the application. When making a positive decision begins the standard procedure of registration.

Loan products

The financing of small and medium business is divided into the following types:

• Target;
• Inappropriate.

Special purpose loans are used for the specific purposes prescribed in the contract. For example, for the purchase of construction materials. When the payment counterparty is made, the expenses confirmed with documents. These can be copies of contracts, shipping documents.

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Programs

Each program of lending to small and medium business has its own peculiarities of design. They can be found in the Bank or with the help of a consultant. Now available programs of the following banks:

• Savings Bank. The product is called “Business-Start”. There is the possibility of obtaining loans without collateral, but need guarantors and the first installment. Rate is 17-18%, and the sum from 100 thousand roubles to 3 million the crediting Period is 6-36 months.
• ROSBANK. Issued to 40 million rubles a maximum of 5 years. Rate is 12-16,5%. You need to pay a one-time Commission and to provide as collateral the assets of the firm.
• Transcapitalbank. The establishment also offer a variety of programs for business development, targeted loans, leasing, factoring. Rates start from 15% and the amount equal to 30 million rubles.
• «VTB 24». The Bank offers working capital loan, business mortgage, making working capital. Rates are 9%, and the amount of 850 thousand rubles. The crediting period is equal to 120 months.
• «Alfa Bank». Loans are granted up to 3 years. The maximum is 6 million rubles under 15%. The Bank does not require collateral. For consideration of the application it is necessary to pay 2% of the value of the loan.

The Procedure of registration in the savings Bank

First, we need to approach a Bank for lending to small and medium-sized businesses. A lot of people in our country go to Sberbank. Then you need to register with the tax as the SP. It is important to see the franchise programs that are partners of the savings Bank. You need to choose the right franchise.

The program must create a business plan: create a marketing plan, determine the location for office and to decide the remaining issues. Then, the required collection of documentation for credit: a passport, tin, certificate of individual entrepreneurs business plan. With them they applied for. Should prepare assets (30% for down payment). After the positive decision of a contract. The savings Bank usually approves the application if the customer has selected a franchise partner.

Fund performance

Many entrepreneurs turn to the Fund for lending to small and medium-sized businesses. They are the guarantors to obtain loans for starting a business. The entrepreneur should apply for a loan in the Bank, notifying him of the desire to support the state organization.

The Bank Then considers the application, taking into account all the details. If a positive decision is issued a tripartite agreement. Often for facilitating lending to small and medium-sized businesses are taxed a small percentage. This scheme employs many banks, but not all.

Advice for borrowers

At closing, you should review the contract to further avoid any disputes. You should immediately ask questions to the specialist. If the business is profitable, it is advisable to pay the loan early, because a large part of the interest included in the early months of payments.

Borrowers need to consider the following nuances:

1. These loans are given at fairly high interest rates. So if it is possible to do without them, it is better not to issue such financial loans. But if you do still not work, you should carefully approach the process of processing the loan.
2. To the decision of Bank was positive, you need to create a unique business plan. Because it will be Immediately It is clear whether funds, and how the profit will be shared.
3. Business reputation of the owner of any business also plays an important role. Therefore, it is necessary to provide accounting records to increase the chances of getting a loan. All papers should be compiled correctly.
4. The Bank must provide a business plan that will specify all the details of the business organization. If it is promising, it is usually the request is approved.

The financing of small and medium business is a big risk for banks. If the firm goes bankrupt, the financial institution may lose money. Therefore usually required to provide documentation regarding the property and guarantors, co-borrowers. Only when full compliance is the probability of approval of a loan for business development.