Starting a business from scratch is not something anyone can do alone, as it demands substantial initial investment and continuous attention. If you plan to start a business with your partner but neither of you has enough capital to invest, consider securing a joint loan.
Unsure of what to look for when applying for a joint loan to start your joint business venture? Let’s have a look at some key factors you should consider.
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Preparatory Steps Before Applying
Discuss Credit History – Inform your co-owners about your credit scores. It’s because lenders will evaluate the creditworthiness of all applicants.
Determine Loan Amount – Take the time to calculate exactly how much funding you need the most for your startup. Remember to include equipment costs and working capital.
Select a Lender – Research banks, lenders, or other financial institutions that offer joint loans with better terms and lower interest rates.
Finalize Business Structure – Be sure that you have your partnership deed, articles of incorporation, or proprietorship documents at hand. This proactive stance will ensure that your application process goes smoothly.
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Gather Required Documentation
To easy apply online joint loans for starting a business with your partner, documentation must be provided for all partners/directors.
- Identifications – Ensure all applicants have a valid CNIC/SNIC.
- Business Proof – Create a business plan or feasibility report that details how the loan will be used.
- Financial Records – Keep at least 6–12 months of bank statements, audited financial accounts for the last 3 years, and the statements of your personal net worth.
- Tax Documents – NTN and the latest tax returns are also worth having.
- Collateral Documents – It’s more than necessary to gather property documents (e.g., Sale Deeds).
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The Online Application Process
- Visit the Portal – Invest time in browsing your lender's official website to fully understand their loan terms, fees, and monthly repayment policy.
- Register – The next step is to create an account using your CNIC and a registered mobile number.
- Fill the Form – Opt for the joint loan option and enter your personal, co-borrower, and business details with great care.
- Upload Documents – Then, scan and upload all necessary documents of both applicants. Double-check details to ensure accuracy and a smooth application process.
- Submit – If you review the information for errors before submitting the application, the chances of your loan approval will increase. Don’t forget to note the tracking ID for future updates.
Post-Submission Process
- Verification – A representative will conduct a comprehensive background check. They often physically inspect the business premises of applicants. So, be okay with that.
- Approval & Disbursement – Once the application is approved, the lender will disburse funds to your business account. Let’s get started.
Key Considerations for Joint Loans in 2026
Understand the specific criteria lenders set. It often includes financial assessments and business viability. If you meet these requirements, you’ll secure funds without any hassles.
A strong credit profile matters most when obtaining a joint loan. Lenders evaluate both partners' credit scores to gauge reliability. So, it's wise to maintain a clean credit history to improve approval chances and secure better interest rates.
A clear and compelling business strategy is a must-have. Outline objectives, target markets, and financial projections. This way, you’ll better determine the venture’s potential for growth and success. The right loan you secure, the more efficiently and confidently you’ll finance your startup.
