Micro Loan

Microloans are typically defined as very small, short-term loans with a low-interest rate, extended to self-employed individuals, new startups with very low capital requirements, or small businesses with only a few employees.

Who is Eligible for Microloans?

• Although exact eligibility standards vary among lending institutions, technically almost any registered business can qualify for microloans.
• In fact, microloans are particularly recommended for small startups with limited capital requirements and little to no revenue history.
• Some lending institutions even give priority to minority business owners,women, and low-income applicants in an effort to encourage entrepreneurship among these groups.

How To Qualify For Micro Loan

Fortunately for small business owners, the standards needed to qualify for microloans are typically much less stringent than for other types of business loans at higher borrowing amounts.