Unlike before when small business owners find it difficult accessing loans or getting funds for their businesses, the emergence of the internet has revolutionized how people can source for funds, hence giving SMEs a fresh breath of survival.
As an entrepreneur aiming to start a business, you do not have to keep running to the commercial banks and have them play god over your life and ideas. The only problem budding entrepreneurs tend to have at the moment is lack of information. While the informed are taking their destiny in their hands, the others are growling at their incapacitation.
Online marketplaces are the best sources
Just like the gap between the unemployed and employment is lack of information, so it is with finance seekers. There are various online marketplaces at the moment where people can earn money from the comfort of their homes, providing various services.
So also, there is online marketplace at the moment which brings borrowers and lenders together. MarketLend for example is one of the prominent marketplaces where borrowers can source for both small and large loans, unlike some of the market place that offers either of the two.
The only problem enlightened borrowers will often encounter is answering the question, “which of the marketplace is the best”. The answer too is not farfetched. With the help of services like Valiant, all the information you need would be at your fingertips.
Tapping into the government R&D incentive
The R&D is designed for those who have an idea they want to develop. The program will allow you to get 45 cents out of every $1 you spend. As an entrepreneur with some capital already, this incentive would definitely allow your initial capital to outlast its initial worth. It is more like eating your cake and having it.
The only problem with this incentive is that you have to wait for like forever to get your refund. Also, there are specific times when you can send in your proposal for consideration for the R&D incentive – we all know that time means a lot in business.
Increased speed of funding
With the budding online marketplace, getting your business funded now takes minutes unlike in the past where you will have to queue up filling papers after papers before the funds are released to you – and that is if you get lucky.
There is also increased flexibility in payment and refund. With the global wireless cash transfer you will get to receive your funds in whatever location around the world you find yourself. You also get to utilize the fund received without being put under much duress like commercial banks always do.
Why the emerging platform is commendable
Everyone that has had a stink with economics will understand that competition (demand and supply forces) has an effect on efficiency and price. Commercial banks will now be on their toes to up their game if they don’t want to go out of business.
The problem with online marketplace
The major problem with online marketplace is distrust. It is hard to pick out the transparent ones from the fraudulent ones. The issue of transparency remains a clog in the wheel of online marketplace lending.
- There are more ways for SMEs to get funding now than before.
- The speed of accessing fund has increased with online marketplace.
- There is also the R&D incentives by the government for entrepreneurs to develop their ideas.
- Lack of information is the only limitation budding entrepreneurs are bound to have.
- Valiant services can help you pick out the best marketplace.
- In MarketLend, both small and large funds can be accessed.
- R&D incentives allows the borrower to get 45 cents back on every dollar spent.
- The problem with R&D is the time it takes to get your refund.
- Online lending has increased the flexibility of cash transfer.
- The major problem with online marketplace is lack of transparency.
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