A company needs financial resources, planning, and focus on results to grow sustainably. Therefore, a loan can be considered a financial investment that can improve the quality of services if it is invested correctly and in something that yields results.
This conduct becomes even more evident when the organization does not have enough own resources to start projects aimed at the development of activities or its expansion.
In a time of economic instability, it is very difficult not to resort to a bank to keep the business running smoothly.
In this post, we will highlight the positive aspects that a loan can provide for your business and the procedures required to have no trouble investing. Check out!
See why a loan can be considered an investment
It is common for many business owners to be afraid of borrowing money. The reason is not being able to pay the installments and reach a high degree of indebtedness.
However, this situation can be avoided as long as resources are appropriately spent on activities to generate returns and not immobilize something unproductive. To be successful when making a loan, it is recommended to take some actions. Keep up!
Think about the possibilities of return on invested capital
Imagine you are interested in buying equipment that will increase company productivity. In order not to compromise the financial reserves significantly, opt for a loan.
This can be great for your business if you can get the return on your investment in no time.
By purchasing equipment that helps increase sales and revenue , an organization is better able to repay a short-term loan with less interest and other bank charges.
For companies that need or want to expand, reform or modernize their venture, Brandloan has credit lines that make it possible to realize the dreams of the entrepreneur.
The Fixed, Mixed and Renewable Investment lines allow a company to access a credit with a term of 5 years to repay. Resources can be used to build, renovate and extend .
In addition, they contribute to the modernization, purchase of software and the acquisition of machinery and equipment, and may add working capital to the venture.
Make debt repayments easier
Due to some unforeseen or planning error, it is not possible to pay a supplier on time. Certainly, it is a situation that no administrator likes to face.
In addition to the original amount of the debt, the businessman is required to pay the interest (related to these arrears, which are higher than the original interest of the operation). That is, the damage ends up being even greater. One way to reverse this picture is to bet on a loan.
You may even be thinking that the organization is getting rid of one debt to get another. However, this initiative helps to restore the financial health of the company , if there is a good negotiation with the bank.
With installments appropriate to your payment terms, you can take back the actions of the organization more easily and have greater control over the budget.
Rely on working capital
Think that you are interested in making a special promotion for your customers, but are having difficulty negotiating with suppliers a lower value of the items needed to deliver quality service to your target audience.
How can you rely on extra money to buy raw materials in an amount that is interesting to your business? A good answer is to opt for a bank loan with rates and terms that make the investments viable.
By relying on working capital, an organization is more likely to buy goods for a lower price by paying cash to the supplier and often achieving significant discounts.
This way, you can make offers that catch the attention of consumers and increase sales , thereby improving cash flow and the financial health of the company.
When a company combines good service and competitive pricing, the chances of customer loyalty are much greater . This helps you have the resources you need to repay loans, keep bills up, and think about new investments.
You are advised to opt for Brandloan’s working capital line of credit, because Brandloan will have access to the facility to use it in the way it deems most interesting, without the need to prove its use. Another advantage is quick and easy approval, provided that the member respects the rules of the financial institution.
Avoid tax, tax and labor losses
Preventing financial problems is an important step for a business to run at full steam . Therefore, the recommendation is to evaluate the budget and get a loan at the right time and in good condition to be up to date with tax, tax and labor obligations.
Imagine that a company is having difficulty paying installments of the Urban Property and Land Tax (IPTU) and the Motor Vehicle Property Tax (IPVA). Undeniably, it is a situation that can be avoided with proper expense planning.
This stance also helps to avoid problems with paying employees’ fees and salaries. If you want to be a right manager, a crucial action is to meet the deadlines for paying off tax, regulatory, and employee commitments.
For example, a labor lawsuit generates a major waste of time and money that could be used for the development of the organization . This scenario shows that a loan is a great deal when properly planned.
For these situations that occur annually, Brandloan makes available to the members specific lines to honor them. They include working capital to pay taxes or the advance of the thirteenth salary.
The payment of the loan can be made in cash, in installments at low interest and with a term of up to 12 months, with quick and easy approval.
Have more freedom to use money
A company needs flexibility to be more responsive to customer demands and market trends. Money is not always available to make investments that improve both working conditions and the ability to negotiate lower prices with suppliers.
What is the solution for money being used more autonomously when own resources are scarce? The answer is to get a loan and evaluate how the money can be applied.
Some entrepreneurs rely heavily on funding. However, this type of bank contract means that the funds are used only for one purpose, such as buying a property, buying a car, among others.
With a loan, the manager can make any changes in the use of money if necessary. This way, the investments will be more directed to maintain the good functioning of a company.
Brandloan has more suitable credit lines for entrepreneurs to invest. The members can use the Bank Collection, in installments the customers purchases through this modality of service.
They may also anticipate the amounts receivable by the Securities Discount, which allows the receipt of the sales amount in advance, less interest on the financial transaction, which facilitates and improves cash flow .
The member can also opt for revolving credit, which accesses a pre-approved credit line to use the resource when necessary, paying only the interest and taxes proportional to the use of money.
Improve cash flow
If a company has borrowings and is struggling to meet its commitments , the best way out is to look for a financial institution and propose a renegotiation, increasing terms and reducing the amount of installments to be paid.
It is also recommended to look for cheaper interest options in the market, centralizing the company’s debt in a single financial institution, hiring the one that has the best offer. Thus, it is possible to reduce expenses and have a positive cash flow .
Be careful when applying for a loan
You already know that getting a loan is a way to boost your business and to avoid debts that can seriously compromise the budget and institutional image.
However, it is recommended to perform some procedures for the arrival of extra money not to become problems in the future, for example:
- evaluate the conditions imposed by the contract (term, interest rates and other charges);
- analyze if it is possible to pay the installments on time;
- have a sense of how to use money;
- and check the history of the financial institution.
In a scenario of economic instability, a loan can be considered an investment if the company has planned to use the money wisely .