Case Study: A business loan to increase operating capital

You don’t need to be a property developer or a real estate professional to take advantage of EstateGuru’s easy and fast loan process.

We offer business loans at highly competitive rates and much faster than any bank or traditional financial institution. Even better, you can use a property you own as collateral and give your business a cash boost when you need it.

Let’s take a look at a typical business loan process:

The borrower: A small entrepreneur who owns a few firms dealing with renting and leasing of cars and light motor vehicles. He also owns one apartment which he rents out daily and is usually used as a party room.

Loan purpose: The loan will be used to increase the operating capital of the company.

Loan request: 

  • €74 000 for increasing the operating capital of the company. A studio apartment in the centre of Tallinn with an area of 95 m2 equipped with everything necessary for holidays and various events was used as collateral for the loan.
  • Loan-to-value (LTV) was 64.9%
  • Bullet loan with a period of 18 months and interest repayment quarterly.

The borrower was a new EstateGuru customer. Our loan manager saw a half-finished construction in the Viimsi area near Tallinn and contacted the developer.  After a first meeting with the developer, it turned out that he was building this house for himself as a private residence and didn’t know anything about crowdfunding. At the same time, the flexible terms and modernity of the system aroused his interest to borrow money and use it in another business which wasn’t connected with development. 

Our valuators inspected the proposed collateral property, and based on its value we were able to offer a €74 000 loan. 

Would you like to apply for a business loan?

We offer flexibility on repayment schedules and our interest rates start from just 8% p.a. So there really is no easier or faster way to give your business a boost.

You can use any property you own outright as collateral, and the value of the property will determine the size of the loan you qualify for. Our team of real estate and financing experts are ready to assist you throughout the process and our pool of over 50 000 investors mean you could have the money in your account in as little as three days.

Learn more about our rates and criteria on our website, or submit a loan request to get started.