South Africa’s ICT sector is set to chart a strong recovery in 2022, but structural changes may affect growth in various sub-sectors.
This is according to BMIT’s ICT Market Overview Sizing and Forecast 2022 report, which indicates the sector will recover at a rate of between 5-6% this year.
Having easy access to finance will be vital for SMEs to fund the investments required to take advantage of the growth opportunities that will come their way in 2022.
“ICT businesses have seen a slowdown owing to the economic impact of the pandemic.”
“As the sector gears up for recovery, SMEs can use business funding as a powerful tool to set their businesses up for growth in 2022.”
“But to do this, it’s useful to know exactly what you’ll need to secure business funding,” says Tom Stuart, Chief Marketing Officer at Lulalend.
While funding can help, it’s important that business owners plan properly before applying for it.
As part of this, they’ll need to be clear on what they’re applying for, how much they can afford and have a plan to pay it back.
To get through the funding application process swiftly and successfully, here are three tips to follow.
Know what you need it for
Often, businesses are rejected because they’re applying for the wrong type of finance.
Determining your funding need is the first step in the business loan application process.
Lender requirements often vary for different types of funding.
If you’re clear on what type of business funding you’re applying for, you’re better positioned to get approval from the lender.
Have all your required documentation ready
Different lenders have their own specific requirements to process applications.
Traditional lenders, such as banks, typically require more documentation. Lulalend applicants only need three months of bank statements or management accounts to complete an application.
Lulalend’s application process is less intensive than most traditional banks, helping business owners get their funding faster.
Plan the payback
Working with the right funder can help business owners make the most cost-efficient funding choice.
Lulalend allows applicants to choose between 3-to-12-month repayment periods without any early repayment fees.
This flexibility helps business owners choose the most relevant terms for their business.
Regardless of the need, planning helps.
More than that, working with the right funding partner matters even more.
Lulalend offers fast and easy access to funding for SMEs.
Applying for up to R5 million takes only minutes, with an instant decision and payout within 24 hours.
As an added bonus, first time customers only start repaying after 60 days.
Meaning they can take advantage of two months of completely cost-free capital.
Securing your business loan with Lulalend is quick and easy, and their online platform effectively guides you on everything you need to succeed.