Dos and Don'ts of Managing Working Capital Loan
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Have a Clear Plan
Understand how you'll utilise the loan to enhance your business.
Dos
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Spend Wisely
Stick to a budget that covers loan repayments while maintaining your cash flow.
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Monitor Finances
Keep track of your money inflow and outflow to ensure timely payments.
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Invest for Growth
Allocate the loan towards business improvements, like acquiring more inventory.
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Don'ts
Avoid using the loan for personal expenses, reserve it solely for business purposes.
No Personal Expenditure
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Take only the necessary amount to prevent excessive debts.
Borrow as Needed
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Don't utilise the loan for long-term ventures, it's designed for immediate needs.
Short-Term Focus
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Neglecting loan details such as interest rates and repayment timelines can lead to issues.
Understand Terms
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