Tuesday, 25 April 2017

Why Small-Scale Enterprises Should Opt For Business Loans?

No matter what the field is, each and every field is organized by small, medium and large-scale business enterprises. Every large scale business in today’s date was a medium and small-scale venture. This clearly states that every business which has just started out wants to be converted into bigger and bigger in the coming times. When it comes to small-scale organizations, they tend to stop growing due to lack of monetary funds.  



However, this is not the case with the ones who are successful. They faced parallel situations but had immense courage when it came to taking business loans, which actually formed the pillar of their growth. So, if you are a small business enterprise who is looking to expand itself, begin searching for lending companies in Nairobi Kenya against business loans for the following good reasons.

5 Reasons for Small Scale Enterprises to Opt For Business Loans

1.     Increase Working Capital

Working capital is the soul of every small or big organization. It is the prime factor in making a business run. Small scale businesses do not have sufficient working capital in order to compete and grow at the same time. They have working capital to make profits but not the strength to fight the competitors. This pillar of strength is attained through business loans.

2.     Expand Physically

No matter if you are a small scale business enterprise, it is important to expand yourself physically. If you have one store or a factory, try increasing your numbers one at a time. Business loans will help you in expanding yourself physically to different locations. This will also promote your brand more and definitely impact your sales in a positive way.

3.     Expand Technically

Small scale factories usually have limited number of equipment to make their products. This restricts them from producing more stocks and hence refrain them from making more profits. Lending companies in Nairobi Kenya can help you establish new and more advanced technology at your workplace. This will not only increase your sales and profits but also enhance the quality of your products and services through fresh and updated equipment.

4.     Start New Ventures

It is a known fact throughout the world that the most successful organizations of today are the ones who have multiple business ventures. Just because you have started out in a particular category, does not mean you should not try out different things. Do some great research and preparation before starting a new venture and take a business loan for the same. Yes, there are risks but what is the meaning of doing a business without taking risks?

5.     Fresh Talent


Not many people will agree on this but fresh talent really counts. Even if you are a small-scale enterprise, you need to constantly upgrade your workforce with new and fresh talent. The reason is simple. New talent brings in new thinking and develops ideas according to the modern trends. We all know that businesses are all about great ideas. For increasing man force, you need capital which only lending companies in Nairobi Kenya can provide. You should see this as an opportunity to rise and not a debt which you may have to deal with.

Friday, 7 April 2017

Why Are Some Online Loan Applications Rejected Again And Again?

There are many passionate young individuals chasing their dreams to be successful entrepreneurs. They are talented, skilled; they have the knowledge and have all qualities to be successful entrepreneurs. However, many of them don’t have enough funds to turn their dreams into realities. Thanks to the online lending market, many of these passionate young individuals have started their own businesses. Still, there are many of them unable to avail startup loans online in Nairobi.

Rejection of loan application is not a nice experience. Many individuals start looking for the 9 to 6 jobs after facing loan application rejection on several occasions. Why is an online start loan application rejected? Some people have to face rejection due to one or more of the following reasons:

Credit Score

Checking credit score is an important criterion for online lending companies to decide whether the loan should be approved or not. If the applicant has more credit score then the loan application will be processed fast. The applicant will get the fast loan and have to pay less interest rate. On the other, loans are hardly approved when the credit score is not good. Even if the loan is approved, the borrower has to pay more interest rate. 

False Documentation

Loan applications are rejected when the applicant submits fake documents. For example, some applicants submit fake salary slips in order to pass the eligibility criteria. If the bank finds any mismatch, it immediately stops processing your loan application. Many times the information of the applicant faking documents is shared among all banks and online lending companies. So, the applicant becomes ineligible to apply for loans.

Capacity to Repay  

Banks and online lending companies are likely to reject the loan application if the applicant has too many dues. 

No Credit Cards or Loans 

Having no loans is a good thing for you. However, lenders need to have some data about your repayment capacity. If you have no loan or credit card, you have no data.

Personal Profile

Online lending companies and bank scrutinize your personal profile before processing your loan application. They see income, housing stability, earlier financial accounts and family status. Having good personal profile multiplies the chances of getting fast startup loans online in Nairobi.


It is not difficult to get short-term startup loans online. However, you have to maintain good credit score and personal profile. Submitting fake documents is not going to help you.