Follow this quick guide to personal loan for self-employed.
As a rule the autonomous have it worse for many issues (holidays, casualties, unemployment, etc.) and of course, when asking for a loan they do not have it as simple as someone who has a fixed payroll. However and having said that, being autonomous is not an impediment to get a loan . Job instability, with changes in the volume of work and income, makes the self-employed more risky than an official or a pensioner. For this reason, much of the documentation that the bank or financial institution can ask us to offer a loan, has to do with the future income and benefits of our activity , so it will not be superfluous to have a project clearly stated to what we do and the work we do as self-employed.
Types of loans for the self-employed.
Until very recently there were not many loans for freelancers . We currently find a good number due to private equity and financial companies that offer their products over the Internet, in addition to traditional banking entities.
- To carry out particular projects . For activities in the field of private life. There are very few entities left that do not grant loans to self-employed workers. With a regular income and a normal payment capacity we will not have big problems.
- Lines of credit for SMEs and the self-employed. They are renewed monthly until reaching the maximum granted. We pay only for the money we have used. The cost is not less than 5% APR or more than 10%.
- Loans for SMEs and the self-employed . Here we talk about a specific amount. The interest is lower than that of a personal loan and the repayment term of up to 15 years.
In addition to the above, there are also instant mini-credits or home equity loans . Depending on the specific needs we have to finance ourselves, we will be more interested in one type or another. It is not the same to have to buy a car for work or expensive machinery, to ask for a financing for the payment of some taxes that we can not defer.
Regardless of what has been indicated up to now, we can not fail to mention the Credit Lines , granted by the State and that have different modalities, amounts and terms and with much lower interest rates. To be eligible for one of these loans we must submit a detailed business plan.
Requirements to obtain loans for freelancers.
The requirements will be different depending on the objective of the loan that we request. The amount and the entity to which we go will have much to say about it. In any of the cases, these requirements are essential.
- The business must be registered in Spain, whether it is a small or medium-sized company or we are self-employed.
- Justification of our income, since that will depend on the amount granted.
- Antiquity of the company or ours as autonomous, so that they can confirm the solvency of our project.
- Submit documents of the Treasury, VAT and IRPF Quarters and the Declaration of Income
Documents to be presented by the Autonomous
When not going with a payroll they will ask us for more documents, although this will also depend on the amount that we are going to request. Among the most common documents we find the following.
- Declaration of income and assets.
- Quarterly payments to the tax and personal income tax.
- Registration document as self-employed.
- Proof of stable income.
- Document that shows the antiquity our business.
- Photocopy of receipts of debts with other entities.
- Last payment made to Social Security.
If all this is accompanied by a business plan and future income forecasts will be a good sign and easier to get the necessary amount and the best conditions.
Other options to finance myself as an independent.
In recent years, in addition to the Loans , mentioned above, we find some -not enough- financing campaigns in the autonomous communities. Nor should we stop looking at the European Social Fund and the campaigns they carry out for entrepreneurs.
All these aids are welcome, although it is true that from the group of entrepreneurs, freelancers and SMEs complain about the difficulty to obtain them and the few resources that the institutions dedicate to entrepreneurship.
Some measures, such as those imposed in 2017, sought to improve the conditions of self-employed workers. The reduction of the self-employed quota in the first months we do not believe that it is sufficient and there is still a lot to do to match the conditions of this important group.
On the website of the National Association of Independent Business Owners, you have the best and up-to-date information on everything related to self-employed workers, taxation, financing, regulations, hiring, etc.