Obtaining a bank loan for the creation of a business is a financing option for starting up activities. In addition to a personal contribution, such a loan makes it possible to pay for equipment or meet cash needs.
What are the steps to get your business start-up loan?
Before starting, it is good to remember that it is important to find out and choose the right loan to create your business .
Make a business plan
To convince a banking institution to obtain a bank loan for business creation, it is necessary to prepare a business plan. The main objective of this document is to demonstrate the viability and profitability of the project . As such, it must be neat, complete and precise. The entrepreneur must take the time to write it.
The financing plan makes it possible to describe the various grants for the project. It is also used to assess its profitability over time. It is advisable to present an executive summary and clear provisional tables to the banker to facilitate his study of the file .
To assess the need for financing, avoid minimizing costs . In fact, an accurate assessment of expenses makes it possible to ensure that the necessary funds are available for the start-up of activities and to avoid cash flow problems.
Note : the personal contribution must be taken into account in the financing plan to demonstrate that the project leader is motivated and involved. This argument can help convince the bank to accept the business creation file . In addition to loans, there are aids and subsidies for business creation granted by the State or the regions.
The guarantees are imposed by the banks and condition the majority of the loans granted. They are put in place to cover the financial risks associated with the loan granted and guarantee its payment. The guarantees can be constituted by a personal surety or a mortgage.
Ask the banks
To benefit from the best conditions, it is preferable to study all the proposals and to solicit several banks . Indeed, the methods of granting and the applied rates vary from one establishment to another.
Good to know : it is possible to negotiate the cost of the loan. To do this, it is important to master maintenance by presenting the banker with a cash budget drafted on reasonable forecasts. The establishment of a weekly account monitoring process can also weigh in the negotiation.
What are the loan rules for setting up a business?
The rules relating to the loan for business creation have been simplified to allow project promoters to access start-up financing.
Amount of the loan
The loan for business creation provides financing from 2,000 to 7,000 euros . It is essentially used to meet intangible needs, such as those relating to working capital.
Characteristics of the loan
The business start-up loan is a personal loan that does not require collateral and must be repaid within 5 years of subscription. It is associated with a bank loan, the amount of which is at least twice as high.
Review your project
Reviewing your project allows you to rectify the points that contributed to the bank’s refusal . The latter must normally justify its decision. It is also an opportunity to improve the business plan, if necessary.
Good to know : the entrepreneur can use credit mediation to benefit from easier access to loans for business creation.
Other financing solutions
Other financing solutions are available for project leaders who have not been able to obtain a bank loan for business creation. Indeed, public and private organizations offer many alternatives .
Good to know : in addition to financial aid, some networks such as Initiative France offer support programs for business creation.
Honorary loans are loans granted to encourage the creation of a business or the resumption of activities. Among their advantages are the zero interest rate and the non-demandable personal guarantee . The amount granted can vary from 1,800 to 90,000 euros.
Microcredit is financing granted by institutions specializing in microfinance to entrepreneurs who cannot claim a traditional bank loan because of their low income. Capped at 5,000 euros, the amounts granted benefit from a reduced interest rate . They are repayable over 2 years, or even less.