For some people working in an office is an irresistible thing. The reason is that working in an office requires someone to comply with various types of regulations, the company has not yet followed orders from superiors who are sometimes annoying. This type of person will usually be more suitable if they have their own business because they can work according to their own will, get the desired financial stability and develop their investments. However, before success is achieved, there may be financial challenges that must be overcome by business owners, especially during the startup phase which is considered as the most difficult phase in building a business.
The challenge for almost every entrepreneur is financing. This is the lifeline where every business develops. The business idea that you have might be promising but without funding this would be a challenge you must overcome. No doubt many are hesitant to enter the business world because of the challenges that must be faced later or not yet able to start a business because of capital constraints considering that it is not easy for small businesses to get business capital loans from financial institutions such as banks.
For those of you who have a business in the startup phase or even just have the desire to start and have strong financial at the beginning, consider yourself lucky because most of the beginner businesses have difficulty in getting access to business capital loans. Unlike in the past when the only business capital loan was a traditional bank loan, various sources of business capital were now available to help encourage small businesses to grow, such as online loans, for example.
The high number of business capital loan needs for MSMEs makes various alternative funding sources increasingly prevalent by providing various kinds of benefits ranging from the short time of the loan approval process, submission of requested documents through an application or website to the minimum requirements requested. You can even look for unsecured loan funds. Unfortunately, there are online loans that are purely aimed at helping MSMEs to be able to spread their wings, but there are also those who try to take advantage of these dreams. Beginner business owners who want to apply for business capital loans to online loan platforms must also be careful of online loan entanglements that will ultimately make your business want to be profitable instead of being stumped.
If you have a dream to be able to grow your business into a Unicorn or even Decacorn, of course this dream will require a lot of funds for its development. Some try to approach Angel Investors (individuals who have funds to lend as capital for startups) or Venture Capital / Venture Capital (Institution providing capital for potential startups). However, usually access to investor financing in the beginner phase can only be obtained by certain businesses that have the potential to become one of the important players in the industry, for example such as businesses engaged in the technology industry. Then what about MSMEs?
Other Alternative Financing Sources
Apart from its small scale, MSMEs actually have the potential to develop. Although access to business capital loans through investors is not possible (except in certain cases), MSMEs can look for unsecured fund loans by utilizing online loans as an alternative financing platform. Detailed research on the platform that you will use to get a business capital loan, the danger of online loans to the wrong platform, the mechanism for repaying loans and the ability of your business to repay the loan are important things to do.
Beware of the Dangers of Online Loan Bondage
Yes, it can be said that this era is a versatile and easy-going era. Including the problem of borrowing money previously must be done by coming to the bank to submit the required documents. Not to mention still having to go back and forth if the proposal is problematic. Thanks to the financial technology industry, just by clicking on one button on the cellphone, the funds can go straight into the account How do you detect an online loan that is plunging? You can see how much interest is charged from the loan principal. In addition, you must also pay attention to the amount of interest for late payments.
In some cases, there are online loans that initially offer small interest, then when we have paid it off, they will provide a larger loan offer. After several uses, interest can increase from the initial 30 percent to 40 percent with a shorter payment period. This is of course dangerous, because the income that your business gets has the potential to be eroded only to pay off the debt of the business capital loan. Moreover, the number of loans for business is usually not up to hundreds of millions.
In addition to the stifling interest, online lending platform that is bulging also use billing unethical way in which it can be classified as an offense. However, sometimes the borrower does not pay attention to this and unconsciously gives access to a bogus online loan platform to access borrower contacts that will later be used to ‘terrorize’ the borrower when late making payments. ‘Terror’ will be done by contacting all contacts on the borrower’s cellphone and disseminating information that the person is making an online loan and has not paid the bill. Even being strangled by high interest still has to bear shame. Not just to be here, bulging online loan platform will call the borrower every day and many times.
Know the Two Types of Online Loans
If you often follow the news, bulging online lending platform has been “eating” a lot of victims of the terror by phone many times that threatened to do not fit in public spaces. But make no mistake, not all online loan platforms are stupid ! You need to know that Fintech / Financial Technology is divided into two types, namely online loan platforms for consumer needs (electronic goods, shopping etc.) and online loan platforms for business needs. So far the most negative news about the dangers of online loans in the media is the online loan platform for consumer needs. But it never hurts to remain vigilant when choosing an online loan platform that is right for your business needs.
How to avoid online loan bondage
To avoid online loan entanglement, you must ensure that the platform you are applying for is a trusted platform, one of which is Astro Financial Technology, which provides business capital loans for small business owners with interest free for returns in less than 60 days called the Net -60. When compared with other financial technologies, interest exemption for returns in less than 60 days is still new and no one has even implemented it.
Those of you who apply for business capital loans in Astro can also take advantage of various attractive features such as Drawdown, where you can withdraw funds up to the limit of credit limit quickly without hassle and without the need to be reviewed by the Astro team. This feature will greatly facilitate you in conditions of crisis in need of funds as soon as possible.
In addition, there is the Get Paid feature, which allows you to ask buyers to pay a collectible amount using Astro balance. Later you will receive a payment that has been deducted by an administrative fee of 2.9% of the amount received and the buyer can make installments on his bill for 2 months net-60 or 2 months in installments.
The next unique feature is Pay, which allows buyers to pay sellers / suppliers / vendors with their Aspir balances where funds received by sellers / suppliers / vendors have been deducted with administrative fees.
Do you still remember the advice given earlier about the amount of interest charged to the borrower? In Astro, the borrower will only be charged an interest of 1% if he cannot return the loan in less than 60 days. This interest rate is the lowest when compared to similar credit products such as KTA loans from banks that charge 1.12% to 1.89%, KUR Government which charges 0.58% interest and other online loan platforms (P2P lending) which charges interest at 1.7% to 2%.
In order to support financial inclusion (a government program that aims to open access to financial products and services to the widest possible extent for all levels of society), you can apply for a venture capital loan to Astro without the need for collateral. The selected tenors range from 60 days to 6 months and the amount of loans that can be submitted varies from Rp. 20 million to Rp. 500 million.