What is the typical interest rate on a business loan
                     TOP 7 REASONS WHY 
LENDERS REJECT BUSINESS 
LOAN APPLICATIONS
HERE ARE SOME FACTORS LENDERS TAKE INTO 
CONSIDERATION BEFORE GRANTING BUSINESS LOANS
 Financial stability is an inevitable 
need for a business. Small and 
medium-scale businesses are 
suffering due to insufficient funds 
and financial void during the 
pandemic. A business loan has been 
a relief to such struggling 
entrepreneurs with positive energy. 
However, the eligibility criteria are 
high along with various prerequisites 
that are working against the 
borrowers. There are various 
reasons behind a loan application 
rejection. If you try to find out the 
reasons behind the loan rejection, 
you can do better. It will help you 
report the loopholes and next time 
meet all the eligibility to apply and 
get positive approval.
WHAT IS THE RATE OF 
INTEREST? 
 A bad business plan with 
loopholes and areas for 
improvement. A business plan 
can either be convenient or give 
you a rejection from the loan 
provider. You need to draft your 
business plan very carefully. 
Make sure you draft it 
meticulously with all the right 
information.
FACTORS THAT DECIDE THE RATE OF INTEREST
 A bad business score will give you a 
rejection. The business credit score can 
be the foremost reason behind your 
business loan application. In that case, if 
you compare, an easy home loan comes 
with low rejection rates.
 Misplacement of documents can give you 
a rejection. If you are not able to place 
all the required documents at the table, 
you will not get approval. It is important 
to offer everything that your loan 
provider wants to seek out.
GROW AND DEVELOP YOUR BUSINESS
 Improper bank account and cash 
flow statement. If your cash flow is 
not in a good situation it will give 
you a rejection. Make sure you work 
out on it before you apply for a 
business loan. It is important to 
understand that the credit side 
should always be heavier than the 
debit side.
 Lack of transparency will give you a 
rejection. If your business does not 
portray what you try to convince 
your loan provider with, you will not 
get approval. The loan providers are 
very particular when it comes to 
business loan approval. If you check 
the application for the home loan 
process, you will find the right way.
BORROWING WITH BAD CREDIT
 The process of a business loan 
can be easily compared with the 
process to avail housing loan. It 
will need a good eligibility 
criteria standard for getting 
loan approval.
Clix Capital Services Private Limited
Address: 
901b, 9th Floor, Two Horizon Centre, DLF Phase V, Gurgaon, Haryana, India – 
122002
Phone Number: 1800 200 9898
Email  us at : [email protected]
Website: www.clix.capital