Unsecured Working Capital
Unsecured Working Capital Loan
Finance can be appealing for companies in need of working capital, but at times securing a loan is no easy feat. For a business to get a loan they usually need to pledge some kind of collateral or asset. Thus, an unsecured working capital becomes very significant instrument. It is perhaps the most convenient type of loans to apply for, as they require little to no money down nor you have to pledge any collateral.
Cash is considered as the blood for the business health. Better it circulate, healthier the condition remain. However the cash is working capital format. It is one of the prime requirement of the every business. The reason is very simple – to justify the growing demand in the market. Be it any industry – manufacturing, service or trading, all the industries required the working capital. The working capital facility is given by the bankers, that major includes – OD, CC, BG, etc.
Conventionally, all these instruments requires the collateral. Most of the times, the collateral is available with the manufacturing industry. But how the service and trading industry can justify their working capital requirement. Because manufacturing and trading industry creates the intellectual properties than the fixed assets, as like manufacturing industry.
What is business collateral?
We at Financiio Venture understand the promoter’s requirement of working capital and financial intuitions requirement of collateral. And so is the reason we have find out the middle way where we can arrange the working capital – without collateral, that is unsecured working capital. Want to know more on this? Contact Financiio Venture.
Advantages of unsecured working capital
- No collateral is required and a faster turnaround time.
- Multiple debt instruments can be explored, specific to your business.
- Positive impact on the turnover ratio and meets its business current obligations, also showcase how much working capital finance is required for the future.
- It involves repayment on a short-term basis.
- You will be charged only for the amount you used. No fixed obligation like a Term Loan.
Like every other financial procedure, obtaining an unsecured working capital loan also involves documentation. This is extremely important. The documentation can act as a major factor in the success of obtaining this loan. The availability of documentation determines the duration of the procedure.
Here are some of the necessary documents which are essential for obtaining this unsecured working capital loan:
- Identity documents - Aadhar card, PAN card, Driving license, Voter ID, Passport, etc
- Address proofs - Ration card, electricity bill, lease agreement, trade license, passport, tax invoices, etc.
- Financial documents - Bank statement, CIBIL, business’s bank statement, asset count, etc.
Why Financiio Venture?
Financiio Venture is one such financial firm, which provides easy and fast unsecured working capital loans in India. We are one of the most modernized and highly qualified business financing facilitators in India. As far as finding working capital for your growing business goes, Financiio Venture has you covered!
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