Oct 29 Credit for inventory, how to get it and use i
One of the most common needs presented by small and medium enterprises is not having sufficient capital to enable them to obtain the necessary products for their operation. For many times, the lack of administration of monetary resources is what leads to face this type of circumstances.
But the best financial decision to solve this may be requesting a credit for inventory. Well, in this way, you can have a sum of money that allows you to make the required purchases and at the same time be safeguarding the profits and savings of the business. That is to say, by having an amount of money granted thanks to a financial institution, you will have the solvency for this expense without having to put in risk the liquidity with which you have up to now.
Taking the previous perspective, you may wonder how it is that you get a loan for this purpose and how to put it to good use so that it works according to your goal.
How to get a credit for inventory?
Nowadays there are credits specifically for businesses that different financial institutions offer. Therefore, the first thing is to investigate which financial institutions have this option and the requirements they request.
You may find that they usually ask for a list of documents that give accreditation to topics such as your identity, the formality of your business, the financial status and your credit history. All this information works so that they can estimate the amount to borrow and that is coupled to what you can really pay.
To be prepared with the requirements, we attach this list to both what a traditional bank requests and what a financial online asks for.
- Official identification
- Proof of address
- Constitutive Act
- 12 months of account statements
- Credit history
- Annual and partial declarations
- Guarantee or guarantee
- Official identification
- Proof of address
So that you can increase the chances of obtaining a yes by the institution you decide, there are certain aspects that you can improve or obtain, for example, your credit history that is necessary to evaluate your behavior in payments with the different loans you have obtained so far . To improve it, you must keep up to date on the payments by making them in a timely manner and liquidate those outstanding debts.
In this other post we have more tips for you to better comply with the requirements they request: Aspects that you must take care of to obtain a credit
How to use your credit for inventory?
Once you have your inventory credit you must know how to use it correctly so that you can achieve the goal, but also to make your experience a positive one. According to our Credit Report, only 50% of the owners of SMEs that request a loan use it truly for the need that led them to request it.
So that you are not part of that percentage, give it the proper use and have control over your new credit, we recommend the following:
# 1 Have the inventory listing
The first thing is to have the list of what it takes to have your inventory complete with the products or raw materials you need to operate your business. You need to verify what you still have to avoid double stocks and also analyze according to your sales what is best sold to the public. In this way you will be doing only strategic and intelligent purchases.
# 2 Analyze provider options
Just as you can have a great variety in your inventory there are many suppliers that can supply you, try to negotiate under the best offer so that your profits are favored. Once you have evaluated the different options, choose the provider that offers good quality, price and availability together.
Punctuality and formality are of the utmost importance so that your business also has a good performance.
# 3 Keep track of usage and payments
As a last recommendation, but no less important, is that you have control over the use of your inventory credit. This way you can know how much you still have available to continue investing. It is also necessary that you have a payment plan that helps you remember the cut-off dates so that you avoid generating late interest and liquidate correctly.
As you can tell, it is important for an SME to have enough inventory both for the projects that are on the doorstep and for the clients; since this can generate a greater advantage and value for the business. Decide to apply for a loan to carry out this and more strategies that give your business a boost.