Reasons Why You Need Chartered Accountant Loan
Rakesh has been working for one of the most famous accounting firms from the past two years. After gaining much experience with this company, he started a well to do company in the same city. Rakesh has now decided to start one more branch of his own business in another city with a plan of expanding his business. It is a common thought that to expand your business; you need to have adequate funds. Even with all his savings, Rakesh was still falling short on funds, with fewer options left he chose to apply for a loan.
Loans are a kind of financial aid that is offered by the money lenders that can help you fund your financial needs. Rakesh was keen to apply for a loan, but he faced a tough choice when it comes to choosing the right type of lending product. For such situations, there are Non-Banking Financial Companies (NBFCs) that offer tailor-made lending products for CAs such as Chartered Accountant Loans.
What is a Chartered Accountant Loan?
A Chartered Account loan is a type of professional loan that offers loan services that are much suitable for aspiring CAs. CA loans are unsecured loans. Hence, no collateral is required for the loan approval.
Chartered accountant loans share much of their similarities with personal loans. As they are unsecured loans, you don’t need to offer any collateral to get your loan approved. You can avail a loan amount up to INR 30 Lakh. Also, there are NBFCs that offer Flexi Loan service on CA loan that enable you to repay only the amount you have used from the entire availed loan amount.
How you can use a CA loan:
Business expansions: We often feel the need to expand our business and make it more profitable, but a business expansion means purchasing a new property, getting the interior designed and hiring new employees. All these things can cost a lot, and the amount can even reach to Lakh. You can use a chartered accountant loan to fund your office expansion expenditure.
Buying new technology: With the changing trends and technology, it is important that you stay updated. The secret of a successful running business is that you have to keep your technology upgraded. CAs can also feel the need of improving the technology in their firm by purchasing new software or an entirely new machine. Software and machines for a firm are not purchased as a single unit, you need to buy them for the entire team of your company, and that can cost a lot. To fund those type of purchases, you can apply for a CA loan.
Pay for further courses: With growing technology and introduction of new ways of working by renowned CAs, you as a budding chartered accountant might feel the need to learn those things to adopt them to yourself or your firm. Travelling to those places might cost you money for need like accommodation, tuition fees, tickets and other miscellaneous expenses. A CA loan can be helpful for fulfilling such type of needs.
A Chartered Accountant loan can be an ideal option for aspiring CAs due to its flexible terms and CA suitable benefits.
