It is a reality that due to the current economic crisis, the number of freelancers and entrepreneurs in our country has grown considerably, bringing with it new ideas, initiatives and interesting projects. However, most of them never realize their dream of carrying out their proposals due to lack of financial resources. How to get a loan for entrepreneurs then?
This may be the million dollar question, once you have the idea and the development of a business project. Where do we go in search of financial resources?
Banking entities may be the first alternative that comes to mind, however, taking into account that we are talking about undertaking without guarantee, they will surely close in band before the concession of an operation in these conditions. On the other hand, state aid with lost funds has been scarce in recent years.
Microcredits can be the solution to obtain financial resources without collateral.
Entrepreneurs without endorsement: What is a Microcredit?
Microcredit is an ideal financial product for all those entrepreneurs who lack sufficient guarantees to go to traditional financial institutions.
Microcredits are generally loans of not very large amounts ranging from USD 10,000 to USD 25,000, an amount that on the other hand, may be more than enough to start undertaking without collateral.
In addition they enjoy favorable conditions such as the absence of commissions, flexibility in terms and interest rates lower than those offered under normal conditions.
The purpose of these microcredits is variable depending on each case. There are those who request it to finance the most initial part of their business, or to expand a certain area and also to consolidate in the sector.
Let us then analyze the steps to follow to access this type of financing without guarantee.
Business plan and documentation
It is necessary to have prepared a business plan on the project in question, which develops and explains the possibilities of economic viability of the same.
On the other hand, different budgets and proforma invoices must also be provided about the cost of the different investments that we are going to make.
In general, any document that facilitates the decision to grant the microcredit without endorsement.
Valuation by the concessionaire entity
This is perhaps the most uncertain part for the entrepreneur and will depend on the financial entity to which the operation is requested.
The professionals in charge of carrying out this assessment will take into account multiple aspects such as economic issues, if some amount of their own money is contributed to the project, experience, personal, family situation and in some cases a personal interview to the applicants is also required.
Granting and formalization of credit without guarantee
In the event that the previous steps have been resolved in a positive way, the entity will make the decision to approve the operation without guarantees, making available to the applicant the money granted in the agreed office.
From this moment the start-up of the project begins.
The main advantage of this type of microcredit is the absence of guarantees, since the granting of funds is based on the potential of the entrepreneurial project and its possibility of growth.