Starting business will be the point of success if we have made good research before. When people say no money to start business then are you thinking about starting a business but have no money to do it with? Well, you’re not alone. Many people borrow money for many purposes. This is the basics of borrowing money. A loan is money that is borrowed, and has to be paid back along with interest. If the money is borrowed from an institution such as a bank, this is called a commercial loan. Money that is borrowed from a friend or a relative is called a personal loan. The commercial loan usually used as the capital of starting new business. The personal loan used for personal purpose such as pay the medical bill, pay school fee or something like that.
The borrower, or debtor, is the business or individual that takes out the loan. The lender, or creditor, is the source from which the money was borrowed. The term, or period, is the time that is specified during which the borrower has to use the money borrowed before he has to repay the loan.