When you start off your business, you have a dream to make it big, with great financials, a loyal customer base and a great goodwill. But to get there, it takes a lot of perseverance, grit and passion.
Many startups launch themselves with great hope and aspirations. However, on an average, one in every four startups fail to make it past its first year due to a paucity of funds. Low profits, high overhead or unforeseen expenses, incorrect product pricing, and overstocking of inventories can lead to negative cash flow for any emerging enterprise.
Borrowing Funds: A pain point for startups
In an effort to go deeper, we can identify 3 key reasons for this shortfall:
Sole Focus on Financials
The current approach to startup lending in most Banks and NBFCs is still heavily dependent on business financials- i.e. looking at historical data to predict future creditworthiness. This involves a lot of paperwork and many visits to the applicant.
This approach has not been very successful due to the fact that the financials provided by the applicant are often opaque given the cash nature of business transactions and incentives to under report income to save on taxes.
In most cases, startups won’t be having any financial history or balance sheet.
There are two kinds of credit bureau reports that can be generated by member banks and NBFCs – Individual and Corporate. While individual records are provided by most bureaus, only CIBIL currently provides reports for corporate entities in India.
Valid records for startups are still not evolved in the country. And while the bureaus can provide data on credit worthiness of the individuals involved in any given company, they cannot give relevant insights about an applicant who is a first time borrower.
The implication of the above two factors is that only the “upper layer” of the medium to large enterprise segment is able to pass through banks’ and NBFCs’ credit assessment parameters, leaving aside the major chunk of “small” entrepreneurs and entities whose need for adequate finance is more pronounced.
These startups could be major links in the supply chains of large players, and their inability to access finance could have ripple effects across the value chain.
As an Entrepreneur, you have made a big decision! After making a lot of sacrifices, you are willing to move ahead with your startup plans. But you have one thing running at the back of your mind: What should I do about IT equipment for my employees?
Can I afford to buy IT equipment or should I rent it? What should be the ideal configuration that suits my business? Can I avail a loan without any financial history or balance sheet?
And that is where Prime Asset Source comes in. Why fret over these decisions? Why buy when you can rent. And not just any kind of IT equipment! We’re talking awesome equipment that ticks all the boxes in your picture of a “dream workplace”
Renting IT equipment from Prime Asset Source for your workplace makes perfect business sense. Well, let’s see how
IT equipment Rental: A Smart Solution
Limited Budget, Unlimited Possibilities
Let’s face it. As a Business head your IT budget is going to be pretty tight. But that doesn’t mean you can’t afford some cool technology for your office. As a matter of fact, it doesn’t take a lot to convert those empty, lifeless workplace to spaces that echo your company’s DNA.
Latest IT equipment at your workplace will definitely power-up your performances. And Yes, it falls well within your IT budget.
When it comes to IT equipment, you be the Guest and let us be your Concierge
Well, for beginners, we are your IT infrastructure consultants. Not sure about your configuration requirements? Drop your worry!
Our team of experts are there to understand your business requirements and suggest the ideal custom configuration.
Banks and NBFCs don’t entertain your request for funds, as you don’t have any financial history or balance sheet. Hence, there is bleak possibility to avail funds for the purchase of your IT equipment.
Drop your botheration!
We have a smart solution for you: Rent IT equipment from Prime Asset Source.
We understand your business model and check the background of the business owner. Basis which, we give the approval within 48-72 hours.
And Yes, you don’t need to go through the hassle of extensive paperwork.
We love it when our customers love their IT gadgets and we love it even more when they’re winning clients, expanding their business because of it.
Work Life is awesome when you rent from Prime Asset Source. Because as a startup you get to do more and more while spending on things that matter in the long run.
Tell us what you envision for your IT equipment purchases in the near future. We would love to hear from you!