Any business organization or individual who is short in regular cash flow can sign up to avail of working capital requirements. Though this loan is easily available, yet the financial institutions will check on with your ability if paying back the loan.

A business organization which is of the nature of sole proprietorship, partnerships, private and public limited companies are all eligible to avail for the service. New firms may also choose to avail working capital finances and they are legally eligible.

Some of the notable and widely used instruments of working capital finance are trade credit, cash credit/bank overdraft, working capital loan, purchase of bills/discount of bills, bank guarantee, letter of credit, factoring, commercial paper, inter-corporate deposits, etc.

Speak of any of the day to day activities and it is related to working capital. Activities managed by the finance manager are the major group of activities that need daily finance. Money which helps a business survive every day and help you in regular transactions can be increased this way.

The greatest benefit of working capital finance is that it can be easily availed and can be immediately put into use to cover any of the minor or major flaws in the regular day to day activities of the firm.

Yes, there are financial organizations that provide unsecured working capital finance. In such a loan, you will not be required to place any security for the loan amount which is generally referred to as collateral. Organizations with a high credit score are eligible for such loans.

Yes, there are financial organizations that provide unsecured working capital finance. In such a loan, you will not be required to place any security for the loan amount which is generally referred to as collateral. Organizations with a high credit score are eligible for such loans.

No, a business organization cannot use the finance to buy equipment as it would fall under the category of fixed asset which is to availed by long term investment. However, finance can be used to buy raw materials or pay off the debtors.

The documents you will be asked at the time of application of loan of are proof of identity, address proof, proof of income, proof of business, and also some of the additional documents required by your lender for different purposes.

Rate of interest partly depends on you such as your credit score and the amount you apply for. It partly depends upon the lender you seek out for as well. however, the rate of interest generally ranges between 10% pa to 24% pa.

Yes, the rate of interest is actually negotiable, only if you go through the branch and avail the loan offline. The negotiation generally depends upon your relationship with the bank or branch manager and you ask for a lesser rate of interest.

This solely depends upon the institution you seek out to. Each of the lenders has different terms and conditions, some may allow you to pre-close the loan, some will allow you but may charge a fee for the same or some may simply refuse to foreclose.

Yes, the process may speed up and your loan will be sanctioned quicker. However, all of this depends upon how quickly you react. You will have to give the bank leads on every document they require from you duly and based on the approval you will be granted with the money soon enough.