As a CA/CS/CWA running an independent practice, there are a plethora of situations that may require extra funding. In such scenarios, a loan can help you tackle the expenses that you are likely to incur with ease. While you choose amongst various loans, here’s what you should know about a Flexi Loan that is the smarter way of managing cash.
What is a Flexi Loan?
A Flexi Loan is a type of loan that gives you full control of your finances. If you are a CA/CS/CWA, you can avail the Flexi Loan facility form Bajaj Finserv on a suite of loans that includes a personal loan, business loan, home loan and loan against property.
When you opt for any of these loans as a Flexi Loan, you can withdraw money from the total sanction that you receive as and when the need arises. You only have to pay interest on the amount that you use, and not the entire sanction. In addition, you can choose to pay interest-only EMIs and pay off the principal when your tenor ends. The best part is that you can withdraw funds in an instant, without having to file a fresh loan application each time. Also, you can make multiple withdrawals and repayments and even re-draw funds any time during the tenor, without paying anything extra. Most importantly, choosing a Flexi Loan over a term loan will help you save up to 45% when it comes to repayment.
How can a Flexi Loan be of help to you?
Now, take a look at the 5 ways in which you can use a Flexi Loan for your CA firm.
Increase your staff to boost productivity
A simple way to accomplish more in the same timeframe is to hire more human resources. This way, you will be able to attend to multiple clients at the same time and in turn boost your revenue. To hire staff, however, you will need adequate funds. This need for financing may be even more pressing if you are waiting on payments from clients. In such a situation, the Flexi Loan facility, with its pay-as-you-go interest model will help you tremendously. Besides, you will receive funds in your account in just 24 hours, which means that you can avail this loan as per your convenience.
Hire experts as per your discretion
Today, the influence of big data is undeniable, and being able to leverage this data to provide your clients the best financial advice and strategy is imperative. While big data analytics courses for chartered accountants do exist, they can be very expensive to offer to all your employees. Besides, you may not have enough time to wait for your employees to complete the course. In such a situation, you can use funds from a Flexi Loan to hire a few experts who can take on the job for you and/or train your employees.
Buy appropriate software for your firm
Today, accountancy relies heavily on software, which is why it is essential that you purchase the software that suit your services the best. For instance, to ensure that your clients are GST compliant, you will have to invest in GST software. You can make use of the Flexi Loan to buy GST software from reputable companies such as QuickBooks, ClearTax or ProfitBooks. The high loan amount of up to Rs.35 lakh will help you do this with ease.
Maintain a healthy cash flow
For the success of any business, having healthy cash flow is absolutely essential. But, you may find that the demand for your services is seasonal, especially during tax filing season. On the other hand, you may realise that collecting payments from your clients is taking longer than it usually does. Such instances can impact your cash flow, affecting payment of salaries, utilities, and other bills on time, while lowering profits. So, to restore balance and maintain optimal cash flow, you can easily access finance from the Flexi Loan as and when you need to.
Expand and diversify at the right time
After a few years of running your own business, you may find that your firm is ready to expand to another location or diversify its operations. For example, you may want to make a foray into forensic accounting by opening a second branch. In such a situation, the expenses that you are likely to incur are sure to be many, right from renting office space to hiring specialised staff and paying overhead costs for another office. However, you don’t have to delay expansion until you can save the necessary amount. Simply make use of a Flexi Loan and withdraw funds as and when the need arises. Once you begin to receive revenue from your new operations, you can make prepayments and conveniently repay the loan.
So, no matter what your need for finance, you can rely on a Flexi Loan to help you out. It offers funds easily and on affordable terms to help you put your plans into action. With this loan you can do what’s best for your business without letting go of key opportunities.
To know more about a Loan for Chartered Accountants/CS/ICWA, click here.