A credit with no credit rating for the self-employed is advertised. What credit opportunities are hidden behind the credit offers without creditworthiness – or is it all just hot advertising air. The article provides information on the backgrounds.
Serious credit with no credit rating for the self-employed
Many self-employed, especially in the first years of self-employment, suffer from a massive credit crunch. You cannot get a loan from the house bank, based on Basel II and 18 KWG. The problem lies in proof of creditworthiness and without proven creditworthiness there is no loan. A way out of the misery is sought on the Internet. Loans for the self-employed and freelancers are advertised under many keywords. A serious credit with no credit rating for the self-employed is therefore not a credit with a bad credit rating, but a loan with a difficult credit rating.
At the beginning of self-employment, the state helps to solve the problem. Otherwise, in the start-up phase, the self-employed would have practically no chance of getting financing for their company at all. Hardly any company founder has the necessary personal creditworthiness to receive comprehensive financing on the free capital market.
State loan promotion without creditworthiness hurdles
If you do not have a negative Credit bureau entry, only the collateral for founding a company is missing, you can hope for state help. The start-up loan is not linked to the personal creditworthiness of the entrepreneur. The state development bank (Demo Lender Bank) jumps into the credit gap and secures the start-up loan.
It is not easy to get the low-interest promotional loans. A commercial bank is required to oversee the project. It is also advisable to involve a trained business consultant. Without a professional helper, it is extremely time-consuming to create the necessary documentation. The go it alone ends, even for a motivated young entrepreneur, quickly on the siding.
Credit opportunities despite a difficult credit rating
A credit without a credit rating for the self-employed can only be approved if the liability risk is not limited to the borrower. Instead of the development bank, which bears most of the liability risk for start-up loans, there are alternatives. High-quality property collateral, for example a paid house, could be pledged to secure loans.
Another guarantee to be successful on the commercial capital market is the guarantee. A solvent co-applicant or guarantor enters into credit liability. With his creditworthiness he secures the loan.
There are other options outside of bank credit. No extensive credit check is carried out to grant a supplier credit. Most suppliers, with a larger credit line, only look at the clean Credit bureau.
Involve private donors
Without additional loan collateral, the market for private lending to fulfill the loan request remains. Contacting investors is made possible via one of the portals. Private investors are not bound by framework guidelines, as are commercial credit providers. You can freely decide about your investment.
The lack of creditworthiness can be compensated for by a good concept and a promising business idea. Nevertheless, the expectations of a loan without creditworthiness for the self-employed must not be set too high. Although private investors are more willing to take risks, nobody voluntarily takes on an unmanageable credit risk.