Entrepreneurial Microbusiness (SM) is the modality of financing directed to small businesses. The ME uses its own methodology and is appropriate to the profile and needs of micro and small enterprises. Microbusiness enables, with the necessary initial capital, business opportunities in lower income social strata.
The Microbusiness Entrepreneur observes the following characteristics and conditions:
It is focused on financing the productive activities of small entrepreneurs, avoiding to finance the simple consumption;
The amount financed must be compatible with the needs of the business and its ability to pay;
It requires simpler guarantees and according to the conditions of small enterprises. In this way, requests for real guarantees (equity) are rare, but they exist. The most practiced forms are the solidarity and the individual guarantee;
It has normally short payment terms and always linked to the purpose of the financing and the speed of business activities;
It has an agile process, as it seeks to allow the customer to take advantage of the business opportunity. It is important to note that the deadlines for releasing resources vary from institution to institution;
It reduces the demands of documents and other bureaucracies, speeding up the analysis, approval and release of resources;
It usually has the figure of the loan agent, who visits the entrepreneur, analyzes the proposal, releases the microbusiness and provides business advice, thus facilitating the processes of renewal and expansion of resources.
There is a growing demand for microfinance products and services. Microfinance supplies the needs of people and companies through the process of massification of business and financial services, facilitates the performance of many entrepreneurs of micro and small companies, contributing to the success of the enterprise.
Microfinance is perceived by regulated and unregulated financial agents as an opportunity to expand business and strengthen relationships with clients. Today, it is possible to use business and debit card in business transactions, make microinsurance, make deposits and financial investments and also hire pension services.
The evolution of the microbusiness segment for microfinance produces a
You know what loan providers Microbusiness is, do not you? It is a special loan for entrepreneurs to make investments in small businesses. If your need is cash flow , then you can use as working capital , to buy equipment (fixed assets), production inputs, reforms or mixed business , you yourself decide.
What are the advantages:
The interest rates are differentiated and vary from 3.3% to 4.0%, on the effectiveness of the 1st loan rate of 4.0%, 2nd loan rate from 3.9% am, in this type of loan the terms are longer to pay up to 15 months (subject to analysis).
You can have up to R $ 9,500 available to invest in your small business, interesting is that you do not need to have an open company to get the business . Your business can be formalized or informal.
The intention now, with the merger, is to expand the range of products offered by loan providers, which is the consumer finance arm for low-income population since December 1996, when the bank acquired 50% of its control. In 2000, took over 100% of loan providers’s capital and last June announced an expansion of the institution’s activities, which started selling current accounts, savings accounts, insurance and capitalization, as well as personal business, its main business.
Among loan providers’s priorities is the installation, in the medium and long term, of stores in locations close to the low-income population. The optimism with the potential of microbusiness contracts evolution does not mean however that there are oversights with the obstacles to be overcome. One of them, considered a cultural aspect, is that “people are not accustomed to productive business.