Unsecured business loans are a great way to borrow money without providing collateral. Because of the increased risk to the lender, they will have higher interest costs than secured loans.
One easy way to see whether an unsecured business loan makes sense for your business is to calculate the potential extra profit you think you will make by taking on the loan. If the profit is greater than the unsecured business loan interest cost – an unsecured loan may be a good fit for your business. Using a business loan repayment calculator will let you find out the full cost of your loan before you apply.