More and more people in our country decide to change their employment to their own, albeit small, business. There are many advantages to the business, the main of which is to switch from the status of a “cog” in the system to the position of the independent owner of the mechanism for generating income, to secure financial stability and independence, as well as constant growth both in scale and in terms of profitability.
Naturally, this path is associated with certain difficulties, so not everyone decides to go along it. And the very first of them is the lack of initial investment in order to create and launch this mechanism. The question of how to get a loan for starting a business arises before every second aspiring entrepreneur, and the answer to it cannot be called inspiring. However, there is one, and in this article we will figure out where to start and what to do to get the right amount from the bank for your startup.
Why are businesses afraid to lend from scratch?
In Russia, the practice of lending to startups is small. While in Western Europe the share of such loans in the portfolio of banks is up to 30-35%, in our country this figure barely reaches 1.5-2%. Why it happens? Unfortunately, the situation at the moment is such that the development of our own business (especially in the initial stages) is associated with significant risks.
This is uncertainty, lack of credit history, as well as guarantees that everything will work. Many young companies are closing, not even having time to declare themselves. Naturally, this makes startup lenders be wary of lending and provide them only after a thorough check of all aspects of the potential borrower's future activities.
Startup loan: ways to get it
It is not easy for a novice entrepreneur to take out a loan for starting a business, but it can still be done. Next, we will consider what options for receiving money currently exist for Russian startups.
Inappropriate consumer credit
Option one is a workaround. If you plan to start with a small business that requires no more than 500 thousand rubles of initial investment, this method can be very attractive. Its essence is that a borrower employed by a borrower takes a loan from a bank for consumer purposes by providing documents necessary for an individual.
The main confirmation of income in this case is the certificate 2-NDFL. In this case, the borrower may dispose of the money received at his discretion, including directing the issued loan to open an IP.
The advantages here are that neither a pledge nor a surety is required (although it is not ignored). The disadvantages of this method are the limited amount that the bank is ready to provide. In many ways, it, as well as the interest rate, depends on the salary of an individual. As a rule, you can count on a loan of no more than 400-500 thousand rubles.
Credit in the presence of collateral and guarantor
Option two is advanced. In order to get a slightly larger amount, say up to 1 million rubles, you can use an inappropriate loan with the provision of collateral and guarantors. So, if you have property (preferably immovable) that you are ready to pledge to the bank, then it will suit you.
And if there is a person who owns real estate and is ready to speak for you as a reliable guarantor, then even better.In this case, the risks of the bank are reduced, and it will with a great desire to provide you with a large amount (within certain limits), and it will offer a more interesting rate.
However, you should be well aware that in case of failure you risk losing property, which will be valued at a maximum pledge of 80% of its real market value (while you can sell it with much greater profit). Therefore, before you get a loan to open a business in this way, think a hundred times and take it only if you are absolutely sure of the success of your business.
Target loan for starting a business
The third option is honest, but difficult. Some banks in our country have nevertheless begun to practice lending to businesses from scratch, although they do so with caution. However, getting into 1% of the lucky ones who managed to get targeted assistance from a credit institution is quite realistic.
Of course, if you approach the issue with all responsibility. First, you need to carefully study the niche in which you plan to grow your business, to make sure that it is promising and that there are great chances of success. Secondly, that the idea is thought out and it works, you need to convince the bank. This can be done in only one way - to draw up a detailed and, very importantly, relevant business plan for obtaining a loan.
A business plan is the key to your success
Such a plan should reflect all aspects of your future activities and give answers to questions about where, how and why your business will work. It is important to take into account the specifics of a particular region, reflect market realities and how they function. If self-writing of a detailed and professional plan makes it difficult for you, contact a specialist.
Do not spare money, time and effort for this, as the business plan is the starting point, the core of your business at the moment. It is he who will be evaluated by the bank, deciding on the issue of a loan. Be sure to include the feasibility study of the loan in the plan, write down what the bank’s money will be used for and in what amounts.
For example, for the purchase of equipment - one amount, for the rental of premises - another, for the initial purchase of raw materials or the hiring of personnel - the third. If a bank representative can clearly see why and in what amounts the funds are needed, what returns and when it is expected, and will also receive confirmation of the above calculations, then the chances of receiving money will significantly increase.
It is equally important to correctly submit a written business plan. If everything in it will be competent and very rosy, and you can’t answer some questions according to your own plan or explain what, how and why, then this will most likely lead to failure. The bank will refuse such an entrepreneur. Therefore, prepare very well before going to a credit institution. By the way, do not forget about the representative appearance.
Sberbank loan: business franchise
An alternative is to take part in the Business Start program, which allows you to get a loan to start a business. Sberbank developed it specifically for entrepreneurs who wish to start their own business, but who do not have their own idea. The bank offers to use ready-made franchise templates and put them into practice.
You can choose an interesting option for you and prove that you are able to implement it. For this, it will be necessary to draw up a business plan for a specific program, while considering all organizational and financial issues. In addition, before applying, you should register as an individual entrepreneur and collect the necessary documents, including the TIN, certificate of a private entrepreneur, not forgetting to take your business plan.
Under this program, the borrower is considered as a potential owner of a particular business, his professional qualities are assessed, as well as his credit history, the availability of down payment (30%) and collateral. You can get up to 3 million rubles this way, and in addition - consultations of experienced specialists and support at the stage of business implementation.
More solutions for a novice businessman
There are other options for how to get a loan for starting a business. If you don’t want to use ready-made franchises, but you can’t get money from the bank for some reason, you can try several more ways. For those who are willing to pay considerable interest at the initial stage, but are confident in their abilities and the success of the enterprise, it is advisable to contact the Entrepreneurship Development Center in your city.
Perhaps there luck will smile at you. Such centers act as intermediaries - they borrow from the bank and lend to businessmen, earning a percentage difference. Also do not ignore private investors. However, it is better to go to them last, when all other options have not worked, since the interest is too high.
Conclusion
If you did not know where to get a loan for a business and how to do it, now you see what alternatives you have. Consider each of the available options, develop a real and detailed business plan, make sure it is working, evaluate all possible risks and try to find ways to reduce them, stock up "airbags" in case of failure and start searching for financing. You already know how to get a loan for starting a business in different ways. It remains to make sure that at least one of them works. Go for it!
Sincerely, Vlad Klinkov!