Business Finance

How To Make A Loan Work For You

30 November 2022

After being in business for a while, every entrepreneur comes to a stage where they likely have to consider getting an injection of funds to boost the company's growth. It's a big move and is bound to be met with all kinds of opinions from others. From outright objections to cautionary advice, many people will have something to say about it: Can your small business qualify for a bank loan? What if your plans don't take off and you can't pay it back? Why can't you just borrow from family and friends?

It's daunting but you are a business owner and you know what's best for your company. The why is important and the following may be some of the issues you are trying to address by getting a loan.

  • You need working capital and cash flow. Working capital is needed to meet your short term financial obligations or operational requirements such as purchasing inventory or raw materials or even taking on a business opportunity for growth and expansion – Alliance Bank provides a simple, convenient and fast business financing solution – unsecured loans of up to RM1,000,000 that suit the various business life stages of a company. You can apply online at your convenience, with just 1 document. For more information, click here.
  • You want to expand your business' physical locations – Alliance Bank offers a wide range of loan facilities that provide businesses the options to finance commercial properties or even refinance existing commercial properties. For more information, click here.
  • You are purchasing equipment to better your business – Alliance Bank provides a broad range of financing facilities for the acquisition of machineries, industrial equipment and commercial vehicles. For more information, click here.

Once you've decided on your motivations, use that as an anchor to answer the rest of these questions to ensure that the loan application process goes as smoothly as possible:

  • Is your business eligible for a loan?
  • How much do you need?
  • How will this money help your business grow?
  • What are the criteria and what documentation is required?
  • How do you know you'll be able to pay the loan back?
  • Is your business credit score healthy?
  • Are your personal finances in order?

Many entrepreneurs get caught out in the paper chase – getting rejected simply because a document or two wasn't in order. It seems tedious but treat itas an exercise in discipline in laying your plans out in order. And who knows, in this process you may be able to spot gaps in your plans, answer questions you didn't even think of in the first place or even identify new areas of opportunity for your business!