Business Loans or Government Grants- Which one is more suitable?

cdg-grant-singapore

Business loans are not an easy thing, they definitely are not, especially after the last financial crunch of the year 2008. No matter if you apply for a small business loan or a midsized application, there are loads of steps you need to clarify, lots of paper works, rounds to the banks and big headache. This is one of the reasons why most of us don’t prefer to get bank loans while starting a small business venture. While it comes to planning a new business, we are already surrounded by a myriads of risks, thoughts and pressure on whether we will excel or not, whether we will be able to recover the invested amount or not and what if it failed, who will be repaying the loans?

These are some of the common questions and queries running through our mind and somewhere in between these questions, we start to think of and plan some other options that are feasible and possible for us. It might anything ranging from mortgages, borrowing against the life insurance policy, using credit cards, taking loans from local sources like friends or other business partner and others. Each of these options sounds interesting at that time. However, going into the details opens up a list of demerits and negative effects each of them can have an impact on the new business. While mortgages are somehow a reliable and relaxed version of the government grants, they cannot provide you exact relief from the issues and debt. The other options too are similar to this.

Now the question arises here is that if there are any options that help you get financial help in your business without putting in additional cost or come at free of cost? The simple answer to this question is yes, there are plenty of government grants that are available in the market but unknown to the business owners. Governmental grants are the relief funds provided by the government of any country to help their business owners and economy strengthen up and improve their services. They do not come exactly free of cost but yes, they are a great contributor to relieving you.

For instance, if we talk about the CDG grant, a grant started by the Singapore Government offering the business owners a relief and financial aid of up to 70% in total in their project, click here to check out more details. The grant aims to help those business owners that want to improve their operational power and services levels by investing in more manpower, IT, or automation systems. Such projects need to be applied to this CDG grant programs websites. There are certain prerequisites to applying for these grants but usually, they are easy to comply with.

The ultimate focus is laid on to help the owner of the business get the desired and much needed help without putting much currency on stake. These grants ensure that the operations and current working of the company is not compromised due to cost cutting.