HomePrivacy PolicyContact UsAgeispolis FinanceInstant Cash Is the Main Attraction of Short Term Business LoansCash reserve is critical for business of any size as it provides a lot of financial strength to encounter unforeseen circumstances that might require immediate cash. Despite knowing this fact, not all businesses are capable of maintaining enough cash reserves that can take care of immediate and additional finances that business requires. In such situations, the only way out is to seek short term business loans. As the name implies these loans have short tenures from a few months to a year or two and are almost readily available. The prompt availability of this kind of loans gives a feeling as if it is your own money that you are using, with the only difference that you have to pay interest for it.  Businessmen depend a lot on short-term loans that give them the financial lifeline to meet challenges that can be encountered only with financial muscles.Features of short term loansThe loans are easy to get as the process is less complicated and the eligibility conditions are much relaxed as compared to traditional loan instruments.Short term loans are given for $5,000 to $500,000 with repayment period of one to three years maximum.Your credit rating does not come in the way of issuing loans. You can become eligible for short term loans even if you have a not so perfect credit history.No co-lateral security is sought for such loans and the disbursement happens very fast that matches with any urgent requirement.The rate of interest that is charged on this type of loans is very high. It is calculated on a monthly basis and could be many times more than the interest rate of long term loans.Quick fix solutionShort term loans are like quick fix solutions to your financial problems that can bridge the gap in cash flow effectively. Gaps in cash flow can occur for several reasons – seasonal businesses experience such gaps the most when revenue collection is low at specific times and taking short term loans that can be paid back after a few months can be considered to overcome the temporary cash deficit.The short term of repayment makes this kind of loan the ideal choice to encounter emergencies as the liability of loan repayment does not stretch for too long. Any sudden breakdown of equipment that needs immediate replacement can be handled with ease by taking short term loan.Gives impetus to business growthOpportunities in business are highly unpredictable as one never knows when it will come. But it is important to make best use of opportunities for which immediate cash might be required and one can turn to short term business loan. You can make some opportunity buying of inventories that might be available at very low price and then make good profits by selling it at a much higher price on a later date.
The best part of the loan is that it is approved within some minutes and takes only about 24 hours for remittance of cash in your account.
5 Reasons