Adaugo Nwankpa: To Solve Problems in Africa, We Need to Create Businesses that Bring Solutions – BellaNaija

Adaugo Nwankpa: To Solve Problems in Africa, We Need to Create Businesses that Bring Solutions  BellaNaija
“nigeria startups when:7d” – Google News

What You Need to Know About Unsecured Business Loans

As a small business owner, you may need financing at some point. You might need help purchasing an asset, expanding your business and more. No matter the reason, an unsecured business loan can help.

Whether you’re struggling due to the COVID-19 pandemic or are looking for help with business needs to expand, there are unsecured business loan options out there.

Let’s take a closer look at this funding option and how it could help your business.

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What is an unsecured business loan?

An unsecured business loan is commercial financing without putting up any collateral. Without using collateral, the loan application is evaluated based on the the business’ proven track record along with your creditworthiness.

The business can use the funds from an unsecured business loan to support the operations of the business.

Is collateral needed for an unsecured business loan?

With secured business loans, the business needs to provide some type of business asset as collateral for the loan. If the business were to default on a secured loan, the lender could sell the collateral assets to recoup their losses. A few examples of collateral could be the business’ property, business bank accounts or heavy equipment.

When you apply for an unsecured business loan, the business will not be expected to put down collateral. With that, you will not need to provide an asset for the lender to consider as collateral.

Without the burden of providing collateral, unsecured business loans provide an opportunity for businesses to meet their funding needs. A business can obtain the funding it needs without putting its assets on the line.

What are the benefits of an unsecured business loan?

The major benefit of an unsecured business loan is that the business will not need to provide collateral for the loan. Many businesses simply do not have large business assets that could serve as collateral for a loan.

Without the added hurdle of providing collateral, the unsecured business loan process is typically quick. Additionally, it can be easier to qualify for these more flexible loans.

What are the drawbacks of an unsecured business loan?

When applying for an unsecured business loan, some funders do require a personal guarantee. With a personal guarantee, the business owner is personally promising to repay the loan, with personal funds, in the event the business defaults on the loan. If this were to happen, it could significantly damage your credit score.

Certain lenders may require a personal guarantee. If you aren’t willing to make that commitment, then don’t feel obligated to sign on the dotted line. Although your business may need the funds, you may not want to put your personal assets in danger.

Another drawback of an unsecured business loan includes generally higher rates or fees. This is because the lender is taking on more risk by providing a loan without any collateral as guarantee. With a higher risk for the lender, the loan terms will likely include a higher rate or fee.

Related: What You Need to Know About Collateral Loans

Types of unsecured business loans

Here are a few unsecured business loan options to explore:

Small business loan

If you need a lump sum of cash to fund your business needs, a small business loan could be helpful. With a variety of loan terms, you can apply for a timeline that suits your business needs. Plus, you can seek out repayment plans that work with your cash flow.

Depending on your business, you could have access to a high dollar loan amount. But be wary of the rates and fees that could affect the total cost of the loan.

Line of credit

If you need cash to fund predictable needs, a line of credit could be a good solution. The best part about a line of credit is that you only have to take out what you need. When you pull funds from the line of credit, then you can start your repayment plan. This could be useful for long-term spending needs that you foresee happening on a regular basis.

Although there are other unsecured financing options out there for your small business, these two options are a great place to get started.

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How to qualify for an unsecured business loan

If you are interested in applying for an unsecured business loan, then take a minute to understand the qualifications.

Here are a few things that a lender will consider:

  • Business income. If you are applying for a business loan, it is important that you can provide a record of past business income. In most cases, you’ll need a sizable business income to qualify for a loan.
  • Credit history. A lender will consider your business’ credit history. The exact credit requirement for a loan will vary based on the lender.
  • A plan for the funds. Most lenders will want to know how you’re going to use the funds to improve your business.
  • Age of the business. How long you’ve been in business will be taken into account throughout the loan process. If your business is relatively young, then you may have a more difficult time securing financing.

As you move forward with the application process, consider these factors. You will want to maximize the potential for a successful application by improving these areas of your business.

Are there unsecured business loans for bad credit?

As you noticed, lenders will consider your credit history as a part of your application. Although it can be more challenging to obtain a business loan with bad credit, it is possible. If you have an established business with many years of stable annual revenue, then a bad credit score might not be a major impediment.

If you don’t have a long business history, consider seeking out a co-signer who is willing to take responsibility for the loan. With a co-signer, you may be able to obtain financing without a great credit score.

There are unsecured loan options for businesses with bad credit. Some of the most common loan types offered to small businesses with bad credit include short-term loans, short-term lines of credit and working capital loans. But you’ll need to seek out small business lenders that are willing to work with your credit range that provide a loan that is well suited for your small business.

The bottom line

It is possible to obtain unsecured small business loans. Like with any financing opportunity, it’s always important to understand the fine print to make the best decision for your business.

The post What You Need to Know About Unsecured Business Loans appeared first on StartupNation.


Twitter acquires Dutch newsletter startup Revue: Here’s all you need to know


In a recent move, Twitter has acquired Revue, a Utrecht-based email newsletter service. However, the exact financial terms of the acquisition were not disclosed. This acquisition is part of an effort to expand its business and allows users to earn money from their followers. 

Founded by Martijn de Kuijper, and Mohamed El Maslouhi in 2015, Revue makes it easy for writers and publishers to send free and paid editorial newsletters. 

Fee lowered to 5 per cent

Twitter, in an official blog post, says, “Revue will accelerate our work to help people stay informed about their interests while giving all types of writers a way to monetise their audience – whether it’s through the one they built at a publication, their website, on Twitter, or elsewhere.”

Post this acquisition, Twitter will be making Revue’s Pro features free for all accounts and lowering the fee charged on paid newsletter fee to 5 per cent from 6 per cent. 

Martijn, Founder, Revue, says, “We’ve made these changes so that everyone can be a creator on Revue, with the opportunity to scale their newsletters and a paying audience without the added fees or obstacles that can limit growth.”

As a part of joining Twitter, Revue is building a new version for larger creators and publications. This will give users more control, offers new features ranging from custom designs to tools to manage audience, cross-promote newsletters, and include subscription offers.

“Twitter is uniquely positioned to help organisations and writers grow their readership faster and at a much larger scale than anywhere else,” Kayvon Beykpour, Twitter’s head of product, said in a blog post announcing the deal. “Our goal is to make it easy for them to connect with their subscribers while also helping readers better discover writers and their content.”

Remain standalone service

Revue will continue to remain as a standalone service within Twitter, with its team focused on improving the ways writers create their newsletters, build their audience, and get paid for their work. Twitter is planning to expand the team across various areas like engineering, design, research, and data science.

The Dutch company has customers including Vox Media, Chicago Sun-Times, the Markup and competes with services like Substack.

Twitter executives in an official blog post, concludes, “This is just the first step for us as we continue to enhance the public conversation on Twitter, and we welcome all creators – from experts and curators to journalists and publishers – to join us on our journey.”

Startups – Silicon Canals

Starting a brand, need help!

So yeah, I’m starting a brand. I’ve wanted to do this for a long time and I’m more motivated than ever.

Little FYI on me, I’ve never attempted this before, I haven’t even started a career yet. However, this year I have become so money conscious it has forced me to become a entirely different, money driven person. I’m relatively young, and I don’t have enough money to take on considerable risk, but I can make losses back and I am willing to take the risk.

I really just need help with how to ‘startup’ I’ve already got a place where I want my base products to come from, like unprinted T-shirt’s, bags, etc. I’ve got an artist to help me design this, I roughly know my audience.

I need help with how to get to the audience. How do I get people to see this, how do I get people to buy, how should my mission statement form my brand.

Any tips, hints, resources, or direction, anything at all would be highly appreciated. Even if you’ve been in this position of considerable confusion before, I’d love a pearl of wisdom.

Thank you! 🥺

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Startups – Rapid Growth and Innovation is in Our Very Nature!

Need advice and examples of perfecting a Facebook vertical

My partner and I are trying to perfect a social media vertical as a stand alone product (think Instagram taking photos and camera from Facebook). In our case we’re trying to take people from Facebook and put them on our app, where we would perfect the process they’re interested in.

Besides Instagram are there any good examples of successful case studies of this? I’ve heard it’s generally hard to do because of the edge FB has due to network effects. Any advice?

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Startups – Rapid Growth and Innovation is in Our Very Nature!

Need advice-Developer friend is pushing back on signing NDA

Hey guys we are at the stage were we are having discussions with developers for our beta prototype. A friend of mine who is a developer offered to serve as a technical advisor. He referred a former colleague who now has his own firm to develop the software. I put him and his colleague the same NDA and his hesistant about signing the NDA he insists just his colleague should sign it but he wlll have access to our UX designs and code. What should we do.

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Startups – Rapid Growth and Innovation is in Our Very Nature!

Need to sell software licenses, looking to outsource this part.

So basically I have a desktop app. There's a demo version, and a paid version.

Having the paid version means to buy a software key, introducing it in the software, which validates it against a server.

I could build this part but I don't really want to do it. Also all the billing, taxes and stuff… just too boring and time consuming.

I've seen Gumroad offers a service to manage it, but I'm based in the EU and it has no bank deposit to EU banks, only paypal (which is a problem), and I see no payment options for customers outside the west. VISA, Mastercad, the usual stuff.

I've contacted FastSpring, they didn't reply yet, but they are not transparent with pricing which puts me off a little.

Does anyone here experience with this? I really want to avoid setting up my own bloated ecommerce and spend time managing it. I want time for developing and marketing.

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Startups – Rapid Growth and Innovation is in Our Very Nature!