It’s almost impossible these days to keep a small business running with money from your own pocket. To meet up with financial commitments, entrepreneurs usually approach their banks for loans and it is rejected. As such, Jumia Travel, the leading online travel agency shares reasons you may not be granted your business loan request.

Lack of consistent cash flow

Banks tend to favour small and medium-scale businesses that have a steady flow of revenue coming in every month. If your business can’t demonstrate this consistency, your loan request will be denied.

Insufficient collateral

To get a loan, you need a commensurate collateral. This may not be a problem for large businesses that own large assets, but it can very difficult for small businesses.

Personal guarantees

Your bank needs personal guarantees that you won’t default when it comes to servicing your loan. This is a very risky position for enterprises struggling to stay on top of their monthly expenses.

Not enough operating history

Banks give preference to businesses with a track record of good performance. The truth is they don’t want to fund a business that has been operating for a short time and hasn’t sustained a certain amount of success and credibility.

Weakening industry

Operating a small business or startup in an industry that your bank perceives as weak or in fast decline will limit your chances of getting loans from your bank.

Economic concerns

Banks will not lend money to a business if they feel that the current economic conditions are unfavourable for getting the money back in a timely manner. This is simply because they do not want bad debts.

Source: http://www.opinions.ng/6-simple-reasons-banks-wont-grant-business-loan-request/

Same old story... But they would gladly give to corrupt politicians and friends of the CEO .... Mtcheeeeeeew

to borrow money from bank

is d same as collecting money from lucifer

And lastly if you are not related to a polithiefcian

Quote of the day:

Marriage is like looking 4 University admission..

*_You admire ABU but end up in Nuhu Bamalli Polytechnic!_*

I have nothing to say

There has never been enough support for start ups or new businesses. This has to change!!!

Ok

Holuwahyomzzy:
Ok

Papiikush:

maklelemakukula:

RexEmmyGee:
H

RexEmmyGee:
H

Na wa o

Maitommi:
There has never been enough support for start ups or new businesses. This has to change!!!

Yet when u make it they will approach u to ",assist " u in expanding
Blood sucking destiny killers

But they can borrow ppl money to buy presidential ticket form

your name is nt dangote, otedola, dantata or murray bruce na . Nigerian banks gv dangote and co @ 18, but give odas at 25-27. how much profit percentage would on have to make to even cover interest first, smh

Maitommi:

Na wa o

Na booking of space o.

Its been modified

But Christ as a son over his own house; whose house are we, if we hold fast the confidence and the rejoicing of the hope firm unto the end.

………………………………………………………………… .…………………………………………………………………
I will create explainer video like this one for chikini money. Dm me here olusola@samimath.com
https://www.youtube.com/watch?v=bgl25VCrGAk&feature=youtu.be

google Paylater and Quickcheck loan app, dey give loans without collateral & guarantors

BANK OF INDUSTRY, I AM WAITING FOR YOUR 50,000 NAIRA LOAN O

Whwere person go come see money borrow now?

Check my signature to order your football jerseys and get FREE CUSTOMIZATION, YES you heard me right FREE CUSTOMIZATION

Banks are not investors. They don't care about the business idea... what they want to see is an already viable business that needs cash to expand, and they see a 100% chance of getting their money back, plus interest.

It's for the same reason banks can't lend you money to buy a house unless you demonstrate you can pay them back (e.g. have a good paying job). They can't lend on a promise of future performance.

Consistent cash flow, collateral, and growth potential are the critical components.

Maitommi:

Na wa o

Op, have you seen the movie "Yes Man"? I'd get a loan if Jim Carrey's character works in a bank, irrespective of my position or status.

chibike69:
to borrow money from bank
is d same as collecting money from lucifer

AM WATCHING YOUR IGNORANCE IN 3D.

Who bank don help ?I'm cool with Paylater and quickcheck anywhere anytime

RexEmmyGee:
And lastly if you are not related to a polithiefcian

Quote of the day:

Marriage is like looking 4 University admission..

*_You admire ABU but end up in Nuhu Bamalli Polytechnic!_*

How Zaria dey?

Tex42:
How Zaria dey?

Zaria dy gallant o.

Are you an Abusite?

RexEmmyGee:
Zaria dy gallant o.
Are you an Abusite?

Nuhu Bamalli Alumnus. U?

Tex42:
Nuhu Bamalli Alumnus. U?

Still an abusite

When a bank loans you money, they must be sure of a repayment plan. How can they give a new business that they are not sure will even get off the ground. That is recipe for stories. Besides it is Other People's Money (OPM) that they are lending out.