With the fast-growing number of businesswomen in India, the number of women looking for capital for financing their own business has also developed. Quite like numerous SMEs, these women entrepreneurs experience similar challenges in borrowing business funds – receiving funds on time at short notice.
The need for extra funds for a business can be unexpected. Business owners possibly find themselves suddenly encountering a financial crisis, a market takeover by a stronger competitor, and a seasonal downturn in demand for their services and products. At such times, an irregular cash flow paired with delays in acquiring funds from traditional institutions in annoying for women entrepreneurs who usually rapid in handling their organizations.
To assist businesswomen to accomplish their goals consistently and make new strategies, Indifi has customized special unsecured small business loans for women. They are readily accessible finances which can be utilized for starting and speeding up the development of a business venture.
Let’s delve into top 4 business loans available for women entrepreneurs with the most perfect repayment terms!
- Online loans
Women with poor or strong credit, who seek money fast, go for this loan. FinTech lenders like Indifi provide nearly every kind of business loans. There are short-term (3-18 months) loans for working capital, creative arrangements like invoice funding, and medium-term (2-5 years) loans for women who cannot receive bank loans.
Online loan application opens up many business opportunities. Lenders can lend this loan within the same day you apply. An alternative lender like Indifi provides short-term, long-term, and low-rate funds to borrowers with amazing credit.
- SBA loans
Women with strong credit, who look for a long-term business loan, opt for this option. SBA (Small Business Administration) is a government body which has an extensive range of resources for women entrepreneurs. The SBA has many government loan programs for small businesses. However, the SBA itself doesn’t create these loans; banks and other traditional lenders usually create such loans and SBA finances a part of the loan when the borrower fails.
These small business loans for women have a government assurance; hence, lenders consider them less risky and help you in starting up your business. SBA loans for female entrepreneurs are excellent funding options for people who qualify long-term loans at low-interest rates.
This is a great option for business women with smaller capital requirements and cannot qualify for larger business finances. Often, a small amount of money like a few thousand dollars can help you kickstart your business by making a purchase of inventory and important supplies.
Numerous women operate home businesses or sole proprietorships or work as consultants or freelancers. For such kinds of businesses, getting SBA or traditional bank loans can be hard. So, microloans might be the best solution for them. This is one of the available business loans with limited time in business
- Business lines of credit
Women entrepreneurs with poor or strong credit, who seek more flexibility in the way of using funds, go for this option. Flexibility in financing is necessitous for women who are involved in retail and food industries. A business line of credit provides that flexibility, offering a particular amount of funds. However, you don’t require using all of it; just pay interest on the finances you borrow. Once you have repaid the drawn amount, your credit line goes back up to the original amount.
Lenders like Indifi provide low-rate lines of credit which are more difficult to qualify for. Women with solid credit choose such business lines of credit from these lenders. Short-term business lines of credit are better finances for women who seek to start a business.
From traditional banking, small business grants to microloans and alternative lenders, there are many funding options for businesswomen. If you want to take the next step and are seeking the best financing option for your business development, Indifi is there to help you out.