15 Sep 2020, 16:38 — 3 min read
In the current new normal, we have all experienced both the good and bad.
Good times are usually more productive; SMEs have enough funds for smooth sailing. The scenario changes when the market sees a downfall.
One can see a short-term financial crunch, especially if there is no contingency planning in place. In situations like these, a short-term boost is what you need without getting into a long-term financial commitment.
Short-term loans in such scenarios can work as that necessary push, helping you manage and grow your business during tough times.
1. For clearing of vendor/employee dues so that work continues
Your employees are your most important and valued asset. Without them, work can hardly be done and projects can be delayed. Utilizing short-term loans to pay your vendors or employees guarantees uninterrupted operations as they get paid on time which can also boost their morale.
2. For buying new equipment or repairing existing equipment to make sure the production does not stop
At some point in your business, you would need to repair or upgrade equipment to improve your process and meet customer demands. Availing a short-term loan can help you here to run your business at maximum efficiency.
3. For meeting order fulfillment
Imagine you have got that big overseas deal signed off but you do not have the funds to purchase the raw materials and fulfill the order, a short term loan can help you here.
SeekCap by UBX, a UnionBank subsidiary, can be your financing partner during this challenging time. Their business loan requires minimal documentation where loan decision is released within hours of applying and disbursement comes within three days of application.
With SeekCap, you no longer need to visit a bank and secure a bank appointment to avail of a business loan. You just need to visit their online platform here. Applying for a business loan through SeekCap can be done online with zero processing fee.
Their business loan is an amortized short-term loan for MSMEs with options of 3 or 6 months and an amount limit of up to P300,000. The interest rate is at 2% per month or 24% per annum, perhaps the lowest in the market.
Also read: UnionBank ups MSME lending
While there’s no real timetable as to when this pandemic will be over, having a financial partner eases the burden and stress your need to deal with as you navigate the new normal. With sufficient funds, you can pivot and explore business opportunities to meet the market demands.
Image source: Shutterstock
Posted byUnionBank Publication
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