Only 9% of micro and small businesses intend to use the loan. So says survey done by the Credit Protection Service (SPC) and the National Confederation of Officers (CNDL).
Almost 60% of entrepreneurs have no pretension to invest, and among those who want to, more than half will use equity to escape high interest rates and bureaucracy.
To escape chain stagnation , leverage is positive and requires attention to B2B loans. Want to know a little more about it? Keep reading!
- Total Effective Cost
- Documentation required
- Business plan and guarantees
- Alternatives to B2B loans
Business-to-business (B2B) loans have strict rules. If you are looking for investment through this modality, keep an eye on these points:
Total Effective Cost
All financial transactions between companies are subject to taxation. The problem is that this collection is not always clear to the borrower, who ends up identifying advantages by observing only the interest rate applied.
In fact, what needs to be assessed is the Total Effective Cost of Credit, which concentrates all charges and expenses on loans. Even a loan granted at an inexpressive interest rate will be impacted by other charges.
Consider a loan in the amount of R $ 1,000.00, granted at an interest rate of 12% per annum (about 0.95% per month), which will be paid in five installments of R $ 207.79. This operation is subject to tax (R $ 5.00), insurance (R $ 5.00) and tariff (R $ 50.00). In this scenario, the loan will have the Total Effective Cost of 37.97% pa (2.72% per month), more than double the interest rate charged.
The granting of B2B loans requires the submission of documents.
The main registration required is the social contract, from which the creditor can verify all the information related to the constitution of the company, such as data about the partners, line of business and social capital.
Any change in this composition – such as entry and exit of members and payment of capital – may lead to the collection of additional documents. Minutes, attachments and other records are examples.
Business plan and guarantees
The assessment for the release of credit is strict as to the purposes of the financing and the conditions for discharge of the debts. To make this assessment, the lender will need the business plan as well as accounting and financial records.
The business plan should contain all the needs of the company and the market opportunities it intends to achieve, as well as prospects regarding the term and amount of return on investment.
The project will be studied considering the financial reality of the organization in the current moment through balance sheets and accounting statements. The balance sheet will demonstrate which assets are the company’s equity and which can be offered as collateral.
In order to have a reliable picture of the company’s financial situation, documents relating to a particular period of time, such as the last three years, are usually requested.
In addition, the creditor institution may also require other guarantees, such as the presence of guarantors or the minimum time the company operates and the banking relationship.
Alternatives to B2B loans
Traditional B2B loans go through this long and bureaucratic process requiring face-to-face visits and paperwork delivery.
That is why new modalities of B2B loans have emerged. This is the case of the collective loan, or peer-to-peer (P2P) lending . With a simpler and faster process, P2P Lending promotes the connection between peers, that is, it brings companies that seek financing with those who have the resources to invest.
The rates of remuneration and the term for payment of the financing are established by the peer to peer lending company, and the entire transaction is done online and in a simple way. Thus, costs and bureaucracy are reduced compared to traditional versions of B2B loans.