Not many take up Business, as the Profit and loss keepfluctuating. Not many can take the burden to take up the loss. Keeping in mind the various loss, government policy,fluctuating market and other possible shift not many plungesinto it.
One such Business undertakers was a small-time vendor. The best decision made was to Provide Lunch to the passengers travelingonthe Local trains. With a minimum investment, the 3 started the business. Not many were the takers, as it was new of a kind Business and not sure of the quality. The agreement is to deliver Lunch required in the Railway Platform daily before each Train schedule. To start with, it was a very minimum item in the Lunch Box like Chappathi, Dal and one sweet. Since the three are very good atpreparing these items within the launch of a month it was a talk of Town. TheLunch was packed well and given Hot and they were highly praised for that. Within the next few months their volumes increased, Dishes were improvised according to vegetarians /Non-vegetarian and Soth Indian dishes were added. Within a span of 3 years the business multiplied. The 3 starters are the Directors of the company. The company had a very minimum employee, now the Total employees are 500 + and it gives more opportunities to females. Check for more news.
Negative impact on borrowing
Now for a business to function effectively the need for finance is imperative. So, a businessman has to invest money into his business in order to run the show. A businessman’s resources are limited and hence he needs to borrow funds from financial institutions in order to run his business successfully. There are various financial institutions available in the market and Banks and other financial institutions do finance these business units in order for the business units to start up or expand their existing business.
So business has to find a way to reduce the quantum of interest that it has to part from its hard-earned money. Financial institutions also would study an organization before lending to see whether the borrower is capable of repaying the loan taken from them. For studying the organization, the financial institution will require various details from them in order to see whether it is a fruitful business for the financial institution itself.