A bank loan is repaid over a period when interest and contributions are paid on the total amount borrowed. The full amount of the loan is not always equal to the money you have in hand, as there may be foundation costs.

The banks have different loan types. You can save money by examining the banks’ loan offerings.

When you take out a bank loan, the bank will do a credit rating of the company. The bank reviews the finances of the company to assess whether the loan can be repaid.

Many people refuse a loan due to lack of preparation. It is also important to focus on facts and to be realistic. Before the meeting, it is a good idea to have the following prepared:

    A business plan that typically includes: concept, market fundamentals, world analysis, industry analysis and a presentation of the people behind the idea ie. management and team.
    Establishment and operating budget, action plan and sales plan.
    FAQ ie answer the questions most likely to be asked by the bank adviser.
    Be able to explain your idea so everyone understands it.

There are also a number of loan concepts that can be useful to know:

    Proceeds: When a company takes out a loan, you get some money in your hand, which is called proceeds. This is the money that the company receives from the bank and thus can dispose of.
    Principal: The full amount borrowed is called the principal. Most often, the principal is larger than the proceeds, as there may be foundation costs. It is the principal that has to be repaid to the bank.
    Maturity: A loan must be repaid within a period / number of years.
    Repayment: When you repay a loan, you pay off on the principal. The total repayments are thus equal to the principal.
    Interest: The money you pay to have the loan is called interest. Most often, the interest rate is a certain percentage of the principal.
    Contributions: Banks make a contribution to administer the loan. It is also the bank’s capital and security in the event of losses.
    Benefit: The sum of installments, interest and contributions is the benefit.
    Term: The time of payment of the benefit is the term (monthly, quarterly, semi-annually or annually).

We complete the entire process for you and your company and if the bank does not want to offer you a loan, there are alternative solutions that we work with and even with discounts in your favor as