Business Loan-The Right Step Forward


Every business needs to focus on expansion at some point in time. Finance is an inevitable need when it comes to business growth. That is when you need to take the support of own resources, banks or financial institutions. Whether it is a start-up or mid-size firm or big enterprise, financial institutions like Tata Capital offers business loans suiting different kinds of business finance requirements. To grow your business at a rapid pace, using a business loan is the right step. Affordable business loan interest rates make the repayment easy for the business and offer the much-required cushion with financial support.

Let us have a look at the reasons how business loans can boost your business growth.

  • Interest Rate

Business loan interest rates are the first thing that a business considers before taking any loan. Business owners always look for the affordable interest rate. Always look for business loan services that have a lower rate of interest so that the money can be used towards business growth at a lesser cost. The best scenario is when the rate of growth of the business is higher than the rate of interest, easing the repayment burden.

  • Tax Benefits

The interest on business loans is tax deductible. By claiming the deduction, the business saves itself from excessive tax payment. The business also gets the flexibility to do tax planning according to the loan tenure and determine the tax liability.

  • Financial Planning

The business loan availability brings in the flexibility to do financial planning in advance. Since the repayment obligation is a fixed amount, businesses can effectively plan the usage of funds too. It also becomes easier for the business to plan and execute monthly budgets.

  • Accessible and Convenient

Availing loan for a business is not a difficult task. The huge network of financial institutions in every part of the country has made their accessibility easier. Apart from that, rising competition in the market, too, has made the availability of business loans easy and quick. Moreover, after understanding the business needs and requirements, banks and FIs suggest the right loan product, adding to the benefits.

  • No Profit Sharing

When FIs lend business loans, they do not demand profit sharing or dilution of any stake. This gives the business right freedom and zeal to carry out its business operations. Moreover, the best businesses are those where profit is retained and ploughed back and not shared.

Availing hassle-free loan along with low business loan interest rates is the requirement of every business. Many financial institutions including ones like Tata Capital offers every type of loan facility for different needs of a business. You can avail business loans up to Rs. 50 lakhs without any collateral security for Micro and Small and Medium Enterprises.

As a business owner, you can reach new heights with the right kind of support system. A business loan is just that for you.