How to get a business loan in Singapore?
Been meaning to get a Business loan but unsure of how you should get one? Here's 3 simple options to help guide you through the process.
1.Directly applying online via bank’s website
All you have to do for this option is to simply prepare the documents required from the banks before proceeding to submit a formal request via the respective bank platforms. Afterwards, the company can wait for the approval status to be confirmed by the bank.
- Benefits
Information your company requires are a click away, which allows research time on the kind of loan package you are seeking for speedy and fast. Applying online to banks is an easy and convenient option since you will be able to apply anywhere at any time. Since there are no middleman fees, this is a cost-friendly option for all companies.
- Cons
Banks however process huge amounts of transactions on a day-to-day basis. Up to 100 applicants call every day, which leads to an undeniable possibility of your online application being overlooked. In addition, since banks have no commitment nor obligation to reply all applicants, given the large volume of callers every day, there is a probable risk of a no response, which might be troublesome especially when there is no one else you could look for.
2.Prefer going to a banking branch
After heading down to the nearest banking branch and requesting for a loan application, simply fill up the necessary documents and send them to the banker. All you have to do afterwards is to wait for the approval status for the loan application!
- Benefits
Heading down to the nearest banking branch allows for an opportunity for you to form useful connections since the loan application will be done face-to-face with the banker. Since there is a person you can directly look for to check the loan application status, this option has significantly greater accountability as compared to option 1. In addition, it also consists of no middleman fees and thus, is also a cost-friendly option for all companies.
- Cons
Bankers are third-party individuals focusing mainly on processing your loan application. There could be differences in interest when the occasion arises. There is also a possibility of a difference in priority alignment since the banker’s allegiance is ultimately towards the bank and is working as a representative of the bank itself. In addition, placing the responsibility on fixated personnel might result in a cause for delay if that said individual goes away on leave or leave the organisation. The risk of bankers delaying or ghosting cases might cause your project to be halted for the time-being.
3.Look for a Business Loan Consultant
After considering the necessary qualifications your company require for approval, a Business Loan Consultant would go through an analytical process to recognize which packages are suitable for your company, before filling up the form and submitting the necessary documents on your behalf.
- Benefits
Working with a Business loan consultant is useful as you would have a dedicated person assisting you through the process. Personalisation is one of the key benefits when it comes to this option. Since both parties’ interests are always aligned, your consultant is likely to only charge a fee when the loan application is approved. You can also count on them for their good credit knowledge since the consultant’s expertise enables him to walk you through the application process and suggest favourable loan terms with your company in mind.
- Cons
It is, however, imperative to beware of overpromising consultants. Inexperienced consultants might lead to a harming of your credit bureau. Poor creditworthiness issues are pertinent to analyse as financials and credit history are important factors in bank’s decision making to approve your loan application. We must also recognise that consultants charge a fee in return for their personalisation services. Thus, it is important to be discerning of the consultant you decide to go for.
4 Why choose Bizsquare?
To put things simple, we fight for you. We want to add value to your business and rest assured we would not charge fees if we do not add any value to your business. We also pride on practising a Business Credit Doctor concept and strive on being your specialist by conducting a full credit check on your enterprise. In addition, customisation is one of our expertise and we ensure to cater to your needs. Lastly, Bizsquare do not over-promise. You can count on us to give our honest and genuine opinion on the loan package you should opt for.
For more info, please visit Bizsquare Group at www.bizsquare.com.sg
