From my point of view, a loan for start-up traders without real estate is the domain of banks rather than of non-banking companies.

That is, if you do not help to start your business at the most low tens of thousands for a very high monthly interest, which is in the form of disadvantageous micro loans probably the only thing you find in non-banking companies. ( and we do not recommend and negotiate! )

On the convenience of a reasonable non-bank loan for a novice trader in a sufficient (calmly million) amount can be solved only with collateral property . And up to 80% of the value. If, on the other hand, there is no possibility of pledge, the self-employed person (self-employed person), generally the entrepreneur must have a documentable income and a register in reasonable condition.

However, if he has strictly serious records in the register, at the same time he has no proof of income, either by a tax return or a receipt, nor does he have the possibility to pledge real estate. She has counted bad luck so far and will have to develop her business gradually without a credit injection.

How do I get a loan when I am a self-employed at the beginning of a business?

How do I get a loan when I am a self-employed at the beginning of a business?

Every borrower should have a provable income. The taxable income for the last tax period is a provable income for sole traders, generally entrepreneurs. As with employees, payroll receipts and income receipts are provable.

So if this tax return does not yield sufficient monthly income, ie. net annual profit in the form of turnover less costs divided by 12 / sometimes it is possible to start from the turnover, which is then divided for the calculation of monthly income 12, or the first tax return is not yet submitted to the starting entrepreneur.

In addition, if there is any record in the register, it is another negative factor for arranging a loan without collateral for a novice entrepreneur.

Yes, there may be several non-banking firms on the market that will lend tens of thousands or lower hundreds of thousands of entrepreneurs without collateral. But the register will have to be practically clean and the creditworthiness income almost sufficient, high.

Otherwise, a person depends on necessity either:

  • get a real estate property (own or 3rd person) and arrange a fairly advantageous non-bank loan for start-ups with a mortgage
  • get somebody together with such a state of registry and creditworthiness either to a co-applicant or a main applicant, with the loan being re-credited to you in the future
  • Reach a convenient bank or disadvantageous non-bank loan

You could walk better among banks without a pledge , at least in advertisements, but the reality will not be too rosy. Of course, the registry must be in absolutely great condition, but maybe they will be able to cope with the current impossibility of proving income.

Above all, you could succeed if you promise to transfer the main account to them, if you take out various insurance (life, business, in case of non-payment of this loan…), if you promise to fulfill the minimum account turnover.

The amount of the loan, however, is unlikely to be astronomical, but several hundred thousand could be obtained. The higher the loan, be aware that the more evidence and information will probably have to be presented in order to obtain the loan.

If you want to achieve a loan of an order of magnitude higher, you may need to provide a business plan, a plan, projected future business figures , which makes you unique from the competition, why you should succeed.

However, it will always be easier to obtain a loan for self-employed persons with a provable income, ie. at least one filed tax return, ideally in decent numbers.

Perhaps you could also look for finance for business with friends, family, or simply people around with capital who know you, believe you, or need to be in the business, know your business direction, see your quality, benefit, appreciate the idea. And either for interest or for example a share in a joint venture will lend you the necessary money to start.

However, I personally recommend that you be extremely cautious at the start of your business and stay on the ground. From my point of view, it is ideal to start a business from a calmly small but “self-saved” capital. When you are very careful about what investment opportunities you will use, on what scale and so on. than when his money just “clicks” appears on his credit account.

It is only from the gradually growing profits from this business that slowly and wisely reinvest the earned money back and build the business on a solid rock by honest, patient daily work, effort. To gradually improve their knowledge, skills, contacts and only after years, when a person gets to the point that without bigger cash injections it is not possible to grow in the required way, solve the need to obtain and raise money by credit.

At the other end is the construction of air locks without any real experience, often out of reality. When the first thing to do is get the money to start! “High interest? What is it? Does not matter! We will pay! We are millionaires already. “

How to get a loan from a bank or non-bank credit company?

How to get a loan from a bank or non-bank credit company?

Another 100% solution how to get a loan or increase the probability of obtaining a favorable loan from a credit company, whether without a bank collateral, here is essential 1 . point, or non-bank with pledge, here is the essential point 2, of course, can be:

Get a close person with a provable income (ideally an entrepreneur with experience in your business and from this provable income issued invoices, tax return / even an “ordinary employee” could help) and also with a reasonable registry state that would so-called guaranteed, went to co-applicants.

Return property and if the required money goes purely for the purpose of business (calmly for a starting entrepreneur) and the applicant is an entrepreneur (not a consumer, an employee), it will be a pure business non-bank mortgage loan ( non-bank start-up loan ) it should not be necessary to prove income to a non-banking firm, to meet strict creditworthiness criteria.

It is still a question of the type of property that will be pledged, whether it will be a commercial property: warehouse, business building, industrial building or residential: family house, apartment, cottage, land and other, but the decisive should be in this case of purpose of use (generally for business), so even with any type of property should not be a problem to get a non-bank business loan for start-up entrepreneurs with collateral. Moreover, the state of the registry does not play a role here, as the non-banking firms do not have to deal with it. This will help the novice trader with the necessity to prove income, creditworthiness. However, only if he has the option and if he is willing to put the real estate against the loan . It is important for a non – banking institution that it is   loan with collateral . That it simply has its claim covered by a lien on real estate, from which it can take back its sale in case of default. Banks will probably want to see economic history anyway, whether there is a possibility of mortgage or not. Here, the possibility of collateral will help as much as possible, it will be a plus point, but not decisive as in non-banking companies.

Where to apply for loan?

Where to apply for loan?

Do not hesitate to ask us for a possible ideal loan solution if you are interested in evaluating your specific requirement for a non-collateral loan for start-up entrepreneurs, or if you have the option of mortgage.

We will be happy to help you get a business start up loan up to 80% of the market value of the property to pledge .

The analysis and creation of a concrete offer of an optimal solution on our part are non-binding and free of charge.

We act fairly and explain everything to you after a closer analysis of your request.

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