Are you a small business owner? Do you need funds to meet your business requirements? Look no further.
Lenders now provide loans to small business owners. These loans are available at affordable interest rates with the flexibility to repay as per your financial situation.
You may fund your business with loans of up to INR 30 lakh within 24 hours. The borrowed amount may be used for any purpose such as expansion, purchase of inventory, buying plant and machinery, or for meeting working capital needs.
Small business loans provide liquidity to boost the growth of your company. Here are three features of these loans:
You may avail of up to INR 30 lakh to meet the short-term, medium-term, or long-term requirements of your business. Moreover, there is no limitation on the use of these funds.
When you avail these loans, you do not need to provide any collateral. Therefore, you do not have to risk your personal or business assets to raise funds.
Contrary to belief, the business loan interest rate is competitive. Moreover, you have the flexibility to repay the loan as per your financial situation.
When you avail of a loan, the same is repayable in Equated Monthly Installments (EMIs). The total repayable amount is divided into fixed monthly amounts over the tenure of the loan. The EMI comprises the principal and the accrued interest.
Before you go ahead and avail a loan, it is advantageous to know the approximate EMI you will have to pay for the same. A business loan calculator is beneficial for this purpose.
To use the calculator, you need to input just a few details. These include the loan amount, tenure, and the rate of interest. The calculator automatically calculates the EMI you must pay until the full repayment of the borrowed amount.
The calculator uses the formula E = P * r * (1 + r) ^n / ((1+r) ^n-1)
Where E is the EMI amount
P is the principal
r is the rate of interest
n is the loan tenure
Here is an example to help you understand. Assume you avail a loan of INR 1 lakh for 12 months at 18% interest rate. The EMI payable for this loan is INR 9,168 per month.
An EMI calculator helps you determine the monthly amount you have to pay during the loan tenure. This will be useful to make a budget to know your monthly outflows and plan your finances to ensure you do not face any liquidity crunches.
Calculate the EMI here and avail funds to boost your business.