Advantage of taking loan to start a business.

[Seno inyang]

Loan is a sure money or capital lent by a financial body and it's legal and safe but it's not so advantageous due to the pressure of trying to make sure you gather the loan for repayment in due date.

 

[Skysaint]

For me I see no advantage of taking loans to start up a business. Infact that is an added risk factor to the business you intend doing, I will always prefer taking up loans for business development that making a startup

 

[Cyrus@21]

Sure everything has advantages and disadvantages. Taking a loan to start a business from the scratch is dangerous, because you find it difficult to break even. However, taking loans to start a business has its own advantages. Some of these advantages are:
1. It spurs one to be committed in his business so that he will meet up to pay the loan.
2. It makes one be more diligent in other to meet up the payment of the loan, etc.

 

[Ghost1]

I don't see any advantage in taking a loan for a start up of the business. The owner is already saddled with pressure that is the monthly installment of the loan especially if the money was borrowed from independent lenders with usurious interest rate. So far, I don't see any good that a loan will bring to the business.

This being said, I would like to see just one reason why people would go for loans, sometimes there's no capital and you have a business to pursue at a given time, loan would help hasten the process and gets you started right away

 

[Senator]

I cannot support the taking if loan for any business. I won't won't personally give that kind of advice to anyone seeking rinstart up a business because I won't do it also myself

 

[Bright7777]

I don't really think taking loans to start a business is advice able because of the interest rate involve in paying back those loans but if you don't have the resources to start the business then you can get the loan.

 

[Sotherefore]

I cannot support the taking if loan for any business. I won't won't personally give that kind of advice to anyone seeking rinstart up a business because I won't do it also myself

I am also in with you. I do not support someone to get a loan to start up any business. they should rather raise the money that they need in starting of the business themself if possible they can get grants from the government and establish the type of business they are interested.

 

[eLdavis]

I don't really think taking loans to start a business is advice able because of the interest rate involve in paying back those loans but if you don't have the resources to start the business then you can get the loan.

Am also on the same mindset as yours, I do not support taking of loans to startup a business. Besides the interest rates attached to it, anything could go wrong. If the business does not go as planned, you would have to start looking for ways to pay back.

 

[Roy]

Another benefit of getting a business loan is that, if the loan is lent to a corporate entity, the loan will not usually have to be repaid by the business owner if the company fails. In the event of failure, the business is liquidated, which helps pay back part (sometimes all) of the funds borrowed.

 

[Essy]

Funding a business can be challenging as one may not be able to come up with the lump sump of money needed to start a business but taking a loan helps get the needed funds for start up

 

[Tislad]

Well the advantage of getting a loan is simply getting you start your business and moving towards your goal at your pace. But I still feel the disadvantage might be more.

 

[Ub40]

Actually, it is good for one to use either personal capital, sourcing from family and friends, to start a business, but it is rather unfortunate that when these sources fail, the only option left is to consider bank loan. It is just my view.

 

[Partisan]

The advantage of taking a loan for a small startup business is that it makes you the most serious and makes you focus on spending and how to calculate their credit and debit and also you manage expenditure because you know the money is not yours and you have to pay the money back

 

[Godspower]

I think the advantages of taking a loan to start a business is that it keeps you on your toes as you know you have a target to meet. It makes you to be serious about maintaining financial discipline in order to be able to repay the loan.

 

[Lucy ID]

I don't see any advantage in taking a loan, like my mum will always say a debt is a debt, you surely pay back one way or the other. As for me there is no benefit in taking a loan to start a business

 

[Skysaint]

I do not believe that there is any advantage of taking loans for a business startup that will so interest me to the point of recommending to anyone who have an alternative means of funding his/her business idea

 

[Immilash1]

I don't think there is any advantage of taking a loan to start up a business, you will take the loan and you will end up not getting profits,it is not wise to take loans to start a business.
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I don't think there is any advantage of taking a loan to start up a business, you will take the loan and you will end up not getting profits,it is not wise to take loans to start a business.

 

[Syldan]

Though it is stated, that there is advantage and disadvantages for everything, but to me, I dont see any advantage is taking loan to start a newly established business. this is because they money that is supposed to be used for the expansion of the business will be used to finance loan and it interest.

 

[Stnicholaz]

Taking loan to start your business would help you, especially when people are not willing to support you and you are sure of the prospects of the business.

Having assurance that business will be successful in short period of time to pay back the loan. That's where the problem lies. In countries most banks will not will not give you audience or you don't have collateral for the loans.

 

[kinqzbitz]

Well it makes things easier and it provides one with the needed capital to start up the business and one can pay it in installment but one has to be sure of being able to pay before the person does that