Professionals like Chartered Accountants (CAs) help detangle taxation loops and enable organisations to optimise their working capital. While some pursue a job in the service sector, others start their own professional practice. To stay relevant in their professional practice, CAs need to tackle several challenges such as upgrading company technology infrastructure, adding resources to handle growing work volumes, renting or purchasing office space etc. In such instances, a Professional Loan can empower them to overcome the limitation of funding to accomplish their ambition to boost their professional practice. This financial solution is designed to cater to the unique needs of the CA professional applying for the loan.
Traditional lenders can dampen expansion plans with watertight and stringent clauses. In such scenarios, these professionals can look towards Non-Banking Finance Companies (NBFCs). These entities can provide easy solutions to the shortage of working capital that most professionals often face.
However, before such individuals sign on the dotted line of their Professional Loan application, here are some pointers they need to consider:
- Take stock of different interest rates offered by various lenders. It is a vital aspect that will influence the EMI commitment and the total interest borne by them. They need to scout for an interest rate that is in tandem with the vision of their practice expansion. Brands like Poonawalla Fincorp offer extremely competitive interest rates on Professional Loan which are among the lowest in the industry. One could use the Professional Loan EMI calculator on the company’s website to get a better understanding of the instalments to be paid every month.
- Working professionals experience changing tides in their income flow. Some months might see exponential earnings, and some others might see a drop in earnings. In such circumstances, professionals might want to prepay their loans during the stronger months. However, some lenders might levy a penalty in this case. But with NBFCs like Poonawalla Fincorp, all the vital loan information is mentioned clearly in the documents. You can also partially prepay or foreclose a Professional Loan from the brand without incurring any penalty or additional charges.
- The loan application process offered by different lenders can pose varying degrees of complexity. When one is planning to diversify their practice or implement a new technology, the nitty-gritty of the loan application process can get overwhelming and cumbersome. It is vital to opt for a lender that has optimised every step of the loan lifecycle, across loan application, disbursal, and repayment, to ensure a hassle-free experience. Poonawalla Fincorp offers a digital and contactless process, wherein, one needs to submit their documentation online, so they no longer need to carry heaps of paper everywhere or stand in long queues.
- Every lender has a defined maximum and minimum amount limit for loans. Before you begin the process of applying for a Professional Loan, design a monthly cash flow projection to get an understanding of the kind of expenses you will be incurring. New-age NBFC brands such as Poonawalla Fincorp offer loans up to ₹50 Lakh.
- Major professional milestones like diversifying or expanding your practice become easier when you have the right kind of support. Take a look at the customer service of the lender you choose. Finance brands like Poonawalla Fincorp have a dedicated customer service team within your reach who will answer your questions and help you sail through this process.
Consider these Professional Loan prospects to make an informed decision about the lender you would want to associate with for your professional requirements.
