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Among other reasons, a dip in interest rates is often considered an opportune moment for homeowners to entertain the option of refinancing. You can undertake the refinancing financial strategy by acquiring a new mortgage with more favourable terms to replace an existing one. Its significance is underscored by its potential to save money, improve financial stability, and contribute to wealth-building through strategic decision-making. 

By understanding factors like changes in market interest rates, improvements in credit score, or a shift in personal finances that can prompt you to refinance, you can make informed decisions aligned with your financial goals. Continue reading to get valuable insights into the dynamic aspect of homeownership and learn how you can benefit from refinancing your home loan.

When to Consider Refinancing 

It is crucial to keep an eye on the market's fluctuations in interest rates, as a decline could indicate a favourable time to consider refinancing. Regularly assess the prevailing interest rates and measure them against the terms of your original mortgage to identify potential savings through refinancing.

You must recognize the influence of an improved credit score on your ability to secure more favourable refinancing terms. A higher credit score often opens doors to better interest rates and loan options. 

Consider refinancing If your financial situation has improved due to increased income to secure better loan terms or to pay off your mortgage efficiently. Successfully reducing existing debts positively influences your overall financial profile. This improvement can create an opportunity for favourable refinancing terms and lower interest rates on your home loan.

Potential Benefits of Refinancing 

Refinancing your home loan can unlock several potential advantages. You can tailor your mortgage to better align with your financial goals. Securing a refinanced mortgage with lower interest rates can significantly reduce your monthly payments, easing your financial burden. 

A transition from a 30-year to a 15-year mortgage during refinancing can lead to a shorter loan term. This can lead to accelerated equity building and overall interest savings. While monthly payments may increase, homeowners can pay off their mortgage sooner.

By opting for cash-out refinancing, you can leverage the equity you have accumulated in your house. This option enables you to receive a lump sum of cash, which you can utilize for various purposes like debt consolidation, home improvements, or other financial goals. Increased equity can also fund renovations or upgrades with the potential for securing lower interest rates than alternate financing options.

Steps in the Refinancing Process

Refinancing a home loan involves several steps for a successful transition. Homeowners should start by assessing their financial goals. Reducing monthly payments, shortening the loan term, or accessing home equity can guide refinancing.

The next step is gathering the necessary documentation, including income verification, credit reports, and a property appraisal to determine the current market value and available equity. Homeowners should explore various lenders and loan offers to find the most favourable terms. This involves comparing interest rates, closing costs, and others that align with the financial goals.

Submitting the refinancing application involves identifying a suitable lender and loan offer. The lender evaluates creditworthiness, income, and property value. Solutions to potential hurdles like a lower-than-expected property appraisal can include providing extra documentation or exploring alternative lenders. 

Endnote

A thoughtful and informed approach to refinancing and a proactive attitude help homeowners make sound financial decisions that promote long-term financial stability. Regular evaluations assist them in making timely decisions that correspond to their changing objectives. A diligent navigation through the steps of the refinancing process guarantees that homeowners are well-prepared and informed throughout the refinancing process.

Founded in 1936, União Química is one of Brazil’s largest and most robust pharmaceutical companies. The IFC loan will be used to further the expansion of União Química’s production capacity, vaccine infrastructure and energy efficiency projects. This will be achieved by directing funds towards the modernisation of the company’s plants and the boosting of its production capacity for vaccines and medicines, furthering União Química’s goal to join the international vaccination system and offer immunisers to Latin American nations.

The Becker Glynn team was led by partner Peter Hosinski and associate Tianpu Zhang, who (along with other firm members) addressed, inter alia, the drafting intricacies related to a real-denominated loan that was repayable in dollar-equivalent amounts.

Despite claiming that inflation has peaked, the Bank of England has increased the interest rates for the ninth time this year.

As mortgage payers, landlords are set to face some of the most significant consequences of this. And unfortunately, preparing yourself against these consequences isn’t as simple as taking out a landlord insurance policy as you will need to prioritise your finances.

In this short article, we’ll explore some important ways that rising interest rates affect you as a landlord.

Greater borrowing costs

If you’re looking to take out a mortgage on a new rental property, rising interest rates will increase the total cost of borrowing.

If you take out a fixed-rate mortgage during a period when interest rates are high, you’ll need to continue paying this higher rate over the term of your mortgage. A variable-rate mortgage could allow you to benefit from future falls in interest rates but will also expose you to greater rate variation over time.

The bottom line: when interest rates are rising, consider the total costs carefully before expanding your rental portfolio.

Increased tenancy turnover

Higher interest rates could also make it more difficult for tenants to afford their rent, which could lead to increased tenant turnover. It might even be necessary for some to evict their tenants if they aren’t able to keep up with their payments.

Tenant turnover is problematic for you as a landlord, as it may not only require you to invest more time and effort to find new tenants, but it might even lead to periods of vacancy when your property is not generating any income.

Reduced rental demand

Higher interest rates can lead to slower economic growth, which could result in reduced demand for rental properties. In this environment, many people lose their jobs and are more conservative with their spending due to a higher cost of living. This could lead to fewer people wanting to take on new tenancy contracts, preferring to wait until the economic climate is more favourable.

Decreased property demand

Rising interest rates can also lead to a decrease in property values, as investors may be less willing to purchase property when the cost of borrowing is higher.

Moreover, rising interest rates are intrinsically linked to inflation – meaning that average house prices climb in tandem.

These factors can make it difficult to sell your property. Even if you do manage to find prospective buyers for your property, you might find that they want to buy it at a lower price than it’s worth to try to even out the higher cost of borrowing and cope with inflated prices.

Although rising inflation rates have an impact on you as a landlord, they’re nothing to be afraid of. They’re a natural part of the economic lifecycle. Having a working knowledge of the possible effects will give you peace of mind and enable you to effectively ride out the situation. And hopefully, you feel better off in that regard after reading this short article.

 

You want to ensure that you're paying your bills on time, which means having enough money in the bank. And you also want to ensure that the money you have is being used wisely—that it's going toward the things that matter most for your business.

Like most business people, this probably means using a credit card for some things and cash for others but not having much in between. But if you're using a business credit card, there are ways it can help your bottom line. Read on how getting a business credit card can help your business grow. 

1- You Can Get More Rewards Points

Many businesses are using rewards credit cards to help their bottom line. Suppose your business spends much on gas, office supplies, or travel. In that case, you can find a business credit card that offers rewards points for those purchases. Many online and offline stores accept credit card payments, and you can earn rewards points for general business expenses.

Some of the best business credit cards offer 2-5% cash back on all your business expenses, which allows you to get a discount every time you purchase something. And if you're strategic about using your rewards points, you can save even more money on airfare and hotel stays.

2- You Can Build Your Business Credit Score

Your business credit score is separate from your credit score, but it's just as important. Lenders use this three-digit number to determine whether or not you're a good candidate for loans and lines of credit.

Building up your business credit score is essential to growing your business. And one of the best ways to do it is by responsibly using a business credit card. Every time you make a payment on time and keep your balance low, you're helping to build your business credit score.

3- You Can Take Advantage of 0% APR Offers

When you're first starting, cash flow can be tight. But with a business credit card, you can take advantage of 0% APR offers—meaning that you won't have to pay any interest on your purchases for a set period.

Using 0% APR offers can be a great way to manage your cash flow, especially if you need to make a big purchase for your business. Just be sure to pay off your balance before the 0% APR period ends, or you'll be stuck with a high-interest rate.

4- You Can Get an Extended Warranty on Purchases

When you use a credit card to make a purchase, you're automatically entitled to an extended warranty on that purchase—in most cases, double the manufacturer's warranty. So if you buy a new computer for your office and it breaks after two years, you may be able to get a refund or replacement through your credit card issuer.

Of course, this isn't always the case, and you'll want to read the fine print of your credit card agreement to be sure. But it's a valuable perk that can help you save money if something you purchase for your business needs to replace.

5- You Can Get Purchase Protection

In addition to an extended warranty, many credit cards offer purchase protection. If something you buy is lost, stolen, or damaged. You may be able to get a refund or replacement from your credit card issuer.

Again, this benefit varies from card to card, so be sure to read the fine print of your agreement. But it's another way that using a credit card can help protect your business finances.

Final Word

It's important to remember that credit cards aren't just a way to make purchases—they're also a financial tool. Using your card responsibly can help protect your business's finances in the event of theft or damage, along with other benefits mentioned above. So if you don't have one, consider getting one today!

 

Building a good credit score for your business is crucial for possible future financing. Even if you start your business with your own money, there is no doubt that you will need a small business loan to take it to the next level. Therefore, learning how to build a strong business credit profile must remain at the top of your priority list if your business must thrive on external financing. 

A strong credit profile not only opens doors to possible loan facilities for your business, but lucrative contracts and deals sometimes require your company to have exceptional credit scores. Nick Wilson, CEO of AdvanceSOS, recently shared six important tips that can help you boost your business credit profile. These tips are relevant whether or not your business has a credit history. 

AdvanceSOS is a loan aggregator founded in 2019 by Nick Wilson, an experienced loan officer. Its easy application helps borrowers reach a huge network of direct lenders to get a 500 dollar loan at AdvanceSOS on the same day or within 24 hours. 

Differentiating Between Personal Credit Profiles And Business Credit Profiles

Your credit profile consists of the credit history you have formulated over time using your social security number. They may include a chain of secured and unsecured loans such as mortgages, car loans, insurance, payday loans, credit cards, and so on. 

Key components such as your payment history, duration of credit, unsettled debts, credit mix, and new loans obtained are evaluated to form your credit profile. Also, your ability to pay back these cash advances when due improves or depreciates your credit score and may affect your ability to access more credit facilities. 

On the other hand, your business credit profile consists of those debt financing facilities advanced to your business and not to you as an individual. However, lenders may run a check on your credit profile when advancing business loans to small businesses. 

Unlike the chain of personal loan facilities that form your credit profile, activities such as payment history of your business, financial stress score, utilised credit ratio, and other relevant data are evaluated to form your business credit profile.

Essential Tips To Build A Sustainable Business Profile 

1. Register Your Business 

If your company has no credit history and you want to start off on the right foot, you should register your company. Business registration commences your business credit profile journey. Also, after registration, you must obtain your federal tax identification number. 

This is sometimes referred to as the employer’s identification number, which is quite similar to the social security number associated with an individual. You have commenced the long but interesting journey of building your business credit profile with all of these done. 

2. Stay Updated With The Credit Bureaus

You must constantly update your business information and credit history with the three important credit bureaus for businesses. Potential lenders examine the information provided to these bureaus to determine your creditworthiness.

These three credit bureaus have their own separate ways of calculating your credit score. However, the scores formulated by them determine whether your business credit profile is strong or not. It is also a good idea to keep your data up-to-date with all three bureaus. None should be your favourite because potential lenders can consult any or all of these credit bureaus.

3. Utilise The Power Of Tradelines

The Dun & Bradstreet Paydex score requires that you have at least three settled trade lines, and the greater the number of settled trade lines you have, the better your score. Therefore, you can make this work in your favour by establishing an account-payable relationship with your vendor or suppliers if that is your line of trade.

This way, you take up their trade credit and settle the credit promptly and ask that your vendor report your payment history with them to the credit bureaus. This will boost your credit score tremendously. You can also approach the credit bureau yourself by lodging the payment history as a trade reference on your account.

4. Put Your Vendors To Good Use

This is a supporting tip to the third tip above. The logic behind using tradelines is to establish a narrative of creditworthiness with the credit bureaus. Therefore, you need to conduct business with suppliers and vendors that report to a credit bureau. The whole essence is not to be dodgy but as transparent as possible, and you must have this transparency reported.

It then becomes an important business question you need to ask every supplier or vendor, whether they will report your prompt payments before taking up their credit or loans. Already, banks and other financial institutions that extend loan facilities to businesses report your credit history to the credit bureau, which is why prompt settlement of debt automatically increases your credit score.

4. Factor In Credit Utilisation

The use of credit cards and lines of credit to boost your business isn’t novel. However, what is important is that you must avoid maxing out these credit cards. You must learn how to make the most of your credit card. Essentially, never exceed your limit, and when you do, pay it back promptly. When you have credit limits, do not exceed 30% of your credit limit.

Also, do not use your credit card for business purposes. You must avoid letting your credit profile affect your business. Open a business credit card instead and ensure that the credit card company reports your history to the credit bureaus.

5. Monitor Your Credit

You may not always have your credit details at the back of your hand. It is important that you consistently monitor your business credit to ensure you have the right credit profile that attracts lenders and yields lower interest rate opportunities when seeking credit or loan facilities. Furthermore, monitoring your business credit reveals any damaging issues or fraud that may cause a dip in your credit score.

About the Author: Amanda Girard leads the financial copywriting team at AdvanceSOS. Her invaluable input and expertise translate into articles posted throughout our website and other notorious channels. Since our founding in 2019, she has written the most comprehensive yet exciting pieces for our company.

The problem is, it can be quite hard for small businesses to get external funds since most traditional lenders are reluctant to invest in them. Because, unlike large companies, they don’t have the equity and resources to compete in the market. But thanks to the emergence of fintech or financial technology in the last decade. With fintech developments, small businesses have more opportunities to scale up and thrive by making financing from lenders more available to them.

Trustworthy lenders can help you with this matter. To further understand its impact, find out below how it expands the financing options of small business owners. 

Develop New Approaches For Credit Analysis

Most conventional lenders like banks and credit unions heavily rely on the old credit scoring system when making lending decisions. As a result, small businesses with a limited or no credit history find it too difficult to get loan approval. But fintech has made it possible to expand credit availability by developing new approaches in assessing creditworthiness.

Through machine learning technologies, lenders have a pool of data to support their decision-making. Factors like financial situation, spending habits, and professional background are analysed by the machine to come up with the applicant’s behavioural profile. This gives small business owners more chances to prove their creditworthiness towards the lender. 

Simplify Loan Application Process

Small businesses are often viewed by banks and credit unions as risky borrowers. It’s one of the main reasons why they usually require multiple in-person interactions before approving their loan. Plus most of them used manual and paper-based loan approval that normally takes several weeks and even months. 

On most occasions, such a lengthy process results in a low approval percentage for small business loan applications. Fortunately, fintech provides easy-to-use online applications, allowing small business owners to apply for loans at their convenience and get faster approval. With rapid loan underwriting, small businesses can navigate and understand their financing options much better. 

Provide Credit Directly

Drawn-out application processes and high fees have held back many small businesses from securing short-term loans. Such limitations are impacting the cash flow of thousands of companies. But the need of small business owners to access fast credit is largely recognised by fintech. 

With fintech’s advanced loan origination software, online lenders that offer quick cash loans, bad credit payday loans, emergency loans, etc. don't only improve their credit assessments but the process of their loan disbursal as well. They can already provide loans to small business owners using direct money transfers and enforce repayment terms through an online platform. 

Create Alternative Forms Of Financing

The fintech industry has undoubtedly provided multiple ways for small business owners to grow and expand. With better automation, speed, precision, and the possibility of lower interest rates, it brings various lending solutions to small businesses and even startups. Below are some alternative forms of financing they have created. 

Peer-To-Peer (P2P) Lending

P2P lending is a painless way to get financing with quick disbursals and easy repayment methods. Through automated algorithm-based pricing and underwriting, P2P lending platforms screen all types of borrowers more accurately and match them with the most suitable lender. So even with shorter credit histories and lower scores, small businesses can secure financing. 

Invoice Factoring

With accrued late payments, the working capital of small businesses might take a hit. But fintech has made a way to invoice financing technologies to help increase the liquidity of companies suffering from late-payment problems. With a web-based portal, small business owners can get advances from an invoice finance company. They can upload their invoices in real-time and have the amount deposited in their bank account. 

Merchant Cash Advance

Small businesses can also get an advanced lump sum of money based on their future credit card sales. They can repay the advance by taking a fixed percentage of those sales until the whole amount is paid back in full. With fintech streamlining the process of credit assessments and setting up dynamic repayment schedules, small businesses can keep their margins and profits still intact. 

CrowdFunding

With fintech innovation, multiple crowdfunding platforms allow entrepreneurs to fund their small businesses through a variety of people who want to get involved with their business campaigns. Depending on the type of crowdfunding, small businesses may have to repay the fund or compensate in the form of equity. But besides raising funds, the best part about crowdfunding platforms is giving entrepreneurs opportunities to reach out to potential customers.

Leverage Fintech Innovation To Grow Your Business 

Fintech development doesn’t solely make outside financing more accessible to small businesses. It can also help you manage all your financial needs and transactions more efficiently from online lending to accounting and invoicing. You can have an edge over your competitors by leveraging fintech innovation in your daily business transactions and operations. 

These tips can help you get the funding you need even if your credit is not the best.

Self-Funding

The best way to fund your business is using your own money, a process known as bootstrapping. You can turn to family and friends or tap into savings. You can even borrow against a 401k to get the funding you need. In fact, more than half of all business owners say that they received financing help from friends and family.

This type of financing is not based on your credit score and, in some cases, borrowing from family may help you increase your credit score if you use the funds to catch up late payments as well as funding your business.

Venture Capital

Another method for funding your business is seeking venture capital from investors. This type of investment is normally provided with a share of ownership in the company. The investor may also want to take an active role in your business. There are differences between traditional financing and venture capital which include:

There are many venture capital firms who offer funding to business owners. You will need a solid business plan, and there will be a due diligence review. If the investors are interested, you will agree on terms and the funding is provided.

Normally, venture capital is provided as you meet milestones which means you may not get the full amount up front. You will have to meet certain goals included in the terms to receive percentages of the investment over time.

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Crowdfunding

Websites like Kickstarter and GoFundMe allow you to seek investments from a large number of people. The process, known as crowdfunding, lets people donate small amounts to your business to see you succeed. In some cases, you may have to give them a gift or reward as a thanks for the donation, usually a free product, acknowledgement of their contribution or other benefit.

This type of funding is best for companies that produce creative works like art or film as well as those who have created a unique product, such as a high-tech vacuum. There is very little risk to your business and, if your business fails, you are not required to repay the investors. The crowdfunding sites do take a percentage of anything you raise, however.

Traditional Financing

Loans are another popular method for funding a business. However, if there are obstacles to getting a traditional business loan, the Small Business Administration partners with banks to offer loans that are guaranteed by the organisation.

This type of loan is especially designed for those who may have difficulty obtaining a traditional loan, like those with poor credit. There are special requirements and stipulations you must meet in order to qualify, but your lender should have information about the Small Business Loans that will work for your company.

Grants and Gifts

There are many grants and gifts available to help small businesses, but it is important to be careful. Companies that offer to locate a government grant for a fee are often fraudulent and can lead to excessive costs that you will not be able to recover.

There are grants available for specific types of industries, such as technology or retail, but you will need to search in order to find one that works for you. Also keep in mind that grants are very competitive, so you may need to fill out quite a few applications before you are successful.

Gift financing may also be non-cash benefits such as free office space or free services from businesses who want you to succeed.

Further information on business loans is available if you would like to learn more about your options.

Below Finance Monthly hears from Steve Moss, Founder and CEO at P2P lending specialists Sourced Capital, on the ins and outs of the FCA regulations, the overall plans behind the new rules and what investors can expect when applying for financing.

These stricter onboarding measures now require potential investors to answer a number of questions focused around investment, to ensure they possess the required knowledge to make educated decisions when investing, thus improving the sector for investors from a quality control standpoint and ensuring they receive a greater level of security and protection, a positive for P2P lending industry as a whole.

At our firm we place investor welfare at the heart of their business model and see these regulatory changes as the first step towards a more transparent, investor-friendly sector. We've recently invested in a new platform that provides a simpler and easier user experience for customers in anticipation of these industry changes, so that while standards progress, the ease at which someone can invest remains the same.

The platform means that customers can transfer their ISAs online and use it to invest in property instantly with e-wallet control on their integrated dashboard. Investors can also invest with their SIPP or SSAS pension, or regularly with cash.  The company also uses regtech processes such as an anti-money laundering check (AMC) and know your customer (KYC) identification checks. The AMC and KYC checks are in place to verify the identity of individuals carrying out financial transactions and screen them against global watchlists.

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But while Sourced Capital has worked hard to keep the process as straight forward as possible, these latest changes have still left some investors a little deterred, so what should you expect when tackling these newly introduced questions?

The areas covered to ensure investor knowledge are quite robust and include but are not limited to topics such as: -


While this may sound daunting, the process is designed to really boost the level of investor knowledge and this will be gauged through questions such as:

When Underwriting a Loan for a New Project Sourced Capital will:

❌ Do no Due Diligence at all as Lenders Will Do Their Own Research

✅ Sourced Capital Carries out Due Diligence Internally and Remotely. Though Lenders Are Advised to Carry Out Their Own Research on Every Investment They Make.

How should you manage the risk of your investments?

❌ Put all my money into Peer to Peer Lending

✅ Build a diversified investment portfolio covering many different investment classes after seeking independent financial advice

I Have Invested with Sourced Capital and Received Great Returns, This Means:

❌ I Will Continue to Always Receive Great Returns, My Capital is Not at Risk.

✅ Past Performance of Investments is Not an Indication of Future Performance. Each Investment I Make Should be Considered Individually

These stricter onboarding measures now require potential investors to answer a number of questions focused around investment, to ensure they possess the required knowledge to make educated decisions when investing, thus improving the sector for investors from a quality control standpoint and ensuring they receive a greater level of security and protection.

But are these measures enough?

They are at the very least, a step in the right direction.

The Peer 2 Peer sector has received some stick over the years and as you’ll find with all business areas, there are certain less scrupulous types that sometimes drive this, whilst some of us have been working hard to raise the bar. These latest regulatory changes by the FCA are a positive step in the right direction in terms of improving standards and investor welfare across the board, and the extensive knowledge now required will ensure that investors are far more educated than previously and not only does this help them in terms of the decisions they will make, but it helps improve the quality of the sector as a whole.

Of course, there is always more that can be done and until this is introduced at the top level, it’s the responsibility of us as sector professionals to drive positive change. For example, all our investors get a first charge against the property invested in, which gives a greater level of protection and lowers risk but is something that not all platforms do.

We always recommend that investors only opt for FCA approved companies which again reduces risk, while we also only loan at maximum loan to value of 70%. We also offer all investors the chance to view a project and to learn directly from us which again, is something that other platforms don’t offer, but for us, it provides greater transparency and trust while helping improve knowledge on a particular investment.

This week we learned that Flybe, though a tenth the size of Thomas Cook, is in a similar boat and facing the prospect of laying off over 2,000 employees to save its future. Sky News reported that UK-based Flybe is currently trying to secure financing so as to avoid the job cuts.

Administration and accountancy firm EY are currently on standby, but the BBC said  chancellor Sajid Javid and the business and transport departments are due to discuss the possibility of a bailout, not by method of financing, but by potentially  cutting air passenger tax duty.

Air passenger duty is charged per passenger on each flight and is a government taxation, which if removed could save the firm from its financial woe.

Flybe operates around 75 planes in over 70 airports around Europe. Almost two in five UK domestic flights are operated by Flybe. 2,000 are at risk if the company goes under. This news comes just a year after it was already saved by a consortium led by Virgin Atlantic.

Prolonged repayment duration, higher loanable amount, and efficient application are a few among many reasons why people tend to opt for personal loans. Before going through to its other advantages, it is crucial to know the most common types of installment loans.

Types of Installment Loans

Auto Loans
Auto loans are a kind of installment loan that’s meant to be applied when planning to purchase a car. Typically, this type of loan is repaid within a range of 12 to 96 months. Take note, however, that not all lenders have the same duration of monthly payments. Usually, loans with a longer-term repayment come with a lower interest rate, while loans with a shorter repayment term have a higher interest rate.

Mortgages
If auto loans are for buying cars, mortgages are for purchasing a house. Most mortgages usually have a duration of 15 to 30 years of repayment, as well as a fixed interest rate and set monthly payments that often don’t change.

Personal Loans
Personal loans can be used for a variety of purposes. You can get this loan to consolidate your debt, pay off sudden bills, or finance a major purchase. Typically, personal loans should be repaid within 12 to 96 months. One downside of personal loans is that they come with a high-interest rate as lenders don’t usually require collaterals, unlike auto loans and mortgages.

Advantages of Installment Loans

As stated earlier, there are several reasons why a lot of people prefer installment loans than any other kind of loan, including repayment duration, higher borrowing limit, and efficient application as some of its benefits. Specifically, here’s a roundup of the reasons why an installment loan can be the best for you.

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Higher Borrowing Limit

Because installment loans offer a more extended repayment schedule, banks and other lenders can give you a higher borrowing limit. This is an amazingly good advantage when you’re in need of a big amount of money, especially during emergencies. Plus, a larger borrowing limit removes the possibility of applying for multiple loans in the future.

Quick and Easy Application

The application for an installment loan can be either personal or online. Most people prefer applying online because of its fast and offers an immediate response not so long after the application. Take CreditNinja, for example. They offer a software application intended for borrowers, which can be awesome for people who don’t want to leave the comfort of their home.

Quick Cash

Many lenders offer a quick credit check that makes the process and approval quicker. Once you get approved, they will deposit the funds directly into your bank account as soon as possible. They also offer flexible repayment terms, depending on the type of loan and repayment plan you applied.

Options For Any Credit Rating

Even if you have a poor credit score or financial issues in the past, you could still be able to apply for an installment loan. Many lenders don’t regard a loan applicant’s credit score as their only deciding factor. An applicant can show other essential documents, like payslips, paychecks, or proof of billing, to serve as another determining point for his/her credit rating.

Apply Any Time of the Day

Banks and other traditional lenders follow certain standard business hours between 9:00 AM to 5:00 PM. Meaning, they can’t always be accessible 24/7. Fortunately, online lenders offer round the clock services. If an unexpected situation happens and you need some quick cash, you’ll just have to access the Internet to apply for a loan online.

If it’s a big sum of money and you need to do over-the-bank counter, you might need to wait for the next day. The good thing is you don’t have to spend more time at the bank as your application has already processed.

Flexible Repayment Terms

One of the most significant benefits of installment loans is that it offers affordable repayment terms to the borrowers. Instead of paying a large sum of money in one go, a borrower can repay the lender with lower payments with a fixed interest rate in a fixed schedule. Paying in reasonable amounts allows a borrower to start working out his/her financial management.

Takeaway

Installment loans can be a solution when you’re in need of immediate cash, not to mention its flexible repayment terms. It’s good for borrowers who are only planning to loan upfront. Just be careful not to treat installment loans like payday loans. Just like any kind of loans, an installment loan doesn’t affect your credit score as long as you always pay on time. Don’t ever think of refinancing so you can extend a repayment date. Otherwise, your debt burden will grow.

The project represents a $56 million investment, of which $40 million will be provided in the form of debt by Agence Française de Développement (AFD) and its subsidiary Proparco. Efacec, a Portuguese group established in Mozambique for several decades, will build the facility.

This is the solar project with the highest installed capacity to reach financial close in Mozambique and is an important milestone in the country’s energy strategy. The energy produced by the Metoro Power Plant is sold under a long term Power Purchase Agreement to EDM, Mozambique’s electricity utility and also a sponsor of the project.

Francisco Ferraz de Carvalho, partner in Linklaters' Global Energy and Infrastructure Group said:  “Linklaters is delighted to having advised on one more project to successfully achieve financial close in Mozambique. The Metoro solar plant is a testimony to the country’s commitment to renewables energy and its structure sends the right sign for projects to come." 

The power generated by the facility, which is due to enter service in late 2020, will be delivered at Metoro (Ancuabe district), the main transmission and distribution substation in northern Mozambique. It will supply the national grid and boost the power grid in the Provinces of Cabo Delgado and Nampula.

The Linklaters team was led by partners Francisco Ferraz de Carvalho  (Lisbon) and Francois April  (Paris). The core members of the team included Alex Bluett (managing associate, Paris), Samuel Bordeleau (managing associate, Paris), Rita Ferreira dos Santos (senior consultant, Lisbon) and Laura Vicente (associate, Lisbon).

Linklaters has been at the forefront of the Mozambican market for the past twenty years, having advised on the Mozal aluminium smelter, the Cahora Bassa hydroelectric plant, the Coral South FLNG plant and the Nacala transport corridor as well as on numerous transaction in the energy and infrastructure, mining and financial services sectors

Linklaters has 40 years’ experience of working on matters throughout Africa, helped by its unique ability to cover all of the principal legal systems through its offices in London, Lisbon and Paris and its alliance with Webber Wentzel in South Africa. These core offices are complemented by Africa experts across Linklaters’ other offices in Europe, Asia-Pacific, the Middle East and the Americas allowing the alliance to service investors into Africa worldwide as well as African companies investing globally.

It's best to look for other sources that can help you reach your business goals, so take a look below at some of the alternative methods of fundraising you can do.

Consider the Assistance from Angel Investors

These retired business gurus or successful entrepreneurs can be your ticket to salvation when you need funding. They are people who take a keen interest in your work and activities, making them huge supporters who want you to succeed and grow. Also, they can offer their advice and business expertise to make you a better player in the market.

Not your Average Loan 

When people think about loans, they consider personal or business ones, but no one would ever expect to get funding from your inheritance money. Some owners have a lot of money coming in but the probate process gets delayed and drags. That's why loans for heirs can be very appealing when you want quick funding for your startup or company. You get a considerable amount of the money entitled to you, and you can pay the debt off when the courts finally issue your money.

Have You Thought About Crowdfunding?

This is a good way to utilize the digital world to your benefit. There are several reputable platforms with different investors that can provide you with the money you need if your business activities pique their interest. Countless investors are on the lookout for decent companies that offer something special and useful to the community, so investing in your company can be beneficial for them, too.

So, if you are looking for such crowdfunding, arrange a Meeting of investors and venture capitalists at a club. This will be really fruitful for you

You Could Go for Factoring and Invoice Advances

This can be very handy when you find a provider that can front you some money on the invoices that you’ve already billed out; it's good for companies that constantly provide products and services to customers, and you will pay it back once your customers have paid the bill in full. It's a simple method that keeps your business running and projects operating without waiting for long periods of time for consumers to pay up.

Consider CDFI Assistance When Nothing Else Works

This stands for Community Development Finance Institutes. They are private financial organizations that deliver affordable lending options, making it very easy and advantageous for many businesses that are in need of quick funding to save them from tight situations. Many businesses don't get a chance to thrive or grow because of restricted money-raising methods, so this can be the answer to their capital needs to fund their business.

Managing your finances can be a little tricky, but with the right mindset and the willingness to find better and reliable sources for funding, you can make a huge difference in your company's success. You can't just sit there and wait for your company to crumble; choose the right path for you and get the best funding that suits your needs and goals.

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