If you own or have set up business in a retail space, you would know that more often than not, the initial stage of setting up and ensuring that the space is beautiful and attractive is a big hurdle that has to be solved. So very often, retail store owners need a renovation for their spaces, but the problem is, renovations are an expensive affair; and without sufficient spare cash, it becomes difficult to make the upfront deposits that contractors want. The solution? Get a renovation loan! In this article, we will explore the the best avenues to obtain a commercial renovation loan.
Renovation loans are needed for a variety of reasons:
Renovations are usually either paid in progressive payments or upfront in full. Point is, renovations in Singapore require for owners to have sufficient cash on hand. It often feels like a competition between raising sufficient funds, and the interior designer collaborating with the contractor to use up your budget
While there are alternative ways to fund the cost of your renovations, like utilizing your credit cards – though at the cost of 24% APR, the more logical solution would be to simply obtain a reno loan, where the cost of funding averages at an affordable range of 3 – 5% APR.
Here is a list of guidelines to will help to better your chances:
Now, when it comes to commercial renovation loans, institutional lenders tend to be a little more stringent with their assessments. Therefore, even in the event of a rejected application, do not lose hope. Try appealing, and if that fails, find out what went wrong, and try applying again in 3 – 6 months.
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