How To Get Business Loan In Dubai

Dubai has developed in popularity as a destination for migrants over the years. To keep up with this trend, the UAE lending industry has grown into a well-established marketplace, providing business loans to local and foreign lenders as well as citizens of the United Arab Emirates. If you are wondering about business loan in Dubai, then you require to contact a remarkable loan broker in Dubai. We at Taskmaster assist you to deal with this process easily and quickly without any hassle.

Business loans are in high demand in small and medium industries, commercial business organizations, and even entrepreneurs to name a few. Almost every major bank or any financial entity in Dubai has commercial financing solutions to provide. There are several options for business loan in Dubai and you have to be very careful while choosing the one that meets our needs in the best possible way and for that matter, you have to ask what you require to obtain this loan; it was processed rapidly and smoothly.

First of all, you need to find out your exact requirements before searching for the best business loan rates in Dubai. This is wise to keep a clear image of the loan amount that you will require and also keep in mind the eligibility norms for all those types of loans. Since there are many types of business loan to help businesses to accomplish their specific needs, you also have to understand what you actually require – is it money for your business or support operating costs or to purchase new equipment or fund to pay off other debts. Loans are taken for different purposes and they also come with different eligibility criteria. You should have a clear idea of these things before applying for a business loan in Dubai.

What is a business loan?

Business loan is a kind of loan designed to support business. The borrower has to repay principal amount with interest and other charges added to it on a regular basis to the lender. Interest rate, repayment term and processing fee can be different depending on the nature of business loan.

What Are the Required Documents to Take Business Loan in Dubai?

Whether it is a small or large company, it is easy to get business loan in Dubai if you have genuine and valid documents. Talking about the documents, the very crucial and mandatory document is the bank statement.

The required documents are given below:

  • Bank statements for the last 12 months
  • Memorandum of Association/ Board of Resolution or Share Certificate
  • Passport and Visa of all the Partners
  • Emirates ID
  • Office Ejari
  • Owners Home Residence Tenancy Contract or Sharing Accommodation Letter
  • High Volume Transaction invoices
  • VAT certificate
  • Audit Report
  • List of employees obtained from Ministry of labor
  • Landing Bill (if applicable)
  • Trade License

These all the necessary documents that you are required to prepare for loans for business. We at Taskmaster help you in managing all the paperwork on your behalf.

What Are the Advantages of Acquiring Business Loan in Dubai?

The benefits of business loan are given below:

Accessible and Convenient

  • According to convenience, the promotors offer different repayment options. To avoid facing obstacles while repaying the loans, they can formulate a repayment scheme as per the business cash flow.
  • Monthly installments can low reduce or enhanced by the owners as per their profitability or can choose bullet payments to repay the amount from time to time.

Flexibility

  • The owner receives a loan as per the different types of fund requirements.
  • Several companies are able to choose term loans to accomplish the requirement of the fund in the short to long period.
  • They can choose working capital loans to meet the operational expenses of the business.
  • An overdraft facility under which promotors can overdraft the current accounts as per the agreed conditions.
  • Flexibility makes it easy for promotors to get loans for the business facility.

No Collateral required

  • No collateral or income documents are needed to be submitted to avail of the loan.
  • For the disbursement of a 100 percent loan, the property must be owned by the borrower.
  • For a small business start-up, these loans help to accomplish their business requirements and sustain progress.

Short-term option

  • Businesses that are looking for their funding requirements can select for a short-term loan.
  • It completes their requirements to fill the short-term financial gap.
  • In addition, flexible loan options are depending on the business size like 100 percent disbursements, 70 percent payment, this makes it easy for businessmen to expand their business and to sustain the cash flow.

What are the Eligibility Criteria to obtain Business Loan in Dubai?

The most important thing that you have to consider before contacting a bank to obtain a loan is the eligibility criteria offered by the relevant bank.

The below are the general criteria that all the banks consider:

  • The business must be in operation for at least one year
  • If your association is a branch or subsidiary of an offshore company, it will be considered easy to obtain a loan.
  • An annual turnover of AED 1 million is required to get the loan

Banks in the UAE provide different types of loans for different types of companies. The duration of the loan for business is 1 to 4 years.

If you are looking for business loan in Dubai, then no need to worry because we at Taskmaster provide you the best services to obtaining loans for you.

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