Product Code: A15157
Unsecured business loan is a type of loan that is granted to a business without any collateral. Unlike secured loans, which require the borrower to put up assets such as property or inventory as collateral, unsecured loans are granted on the basis of creditworthiness of the borrower and their ability to repay the loan. Unsecured business loans can be used for a variety of purposes such as funding working capital, purchasing inventory, expanding operations, or hiring employees. As there is no collateral involved, unsecured loans typically have higher interest rates and stricter eligibility requirements than secured loans. However, they offer a faster and easier way for businesses to access funding without the risk of losing valuable assets in case of default.
The growth of small and medium-sized enterprises (SMEs) has been a key driver of the unsecured business loans market growth. As SMEs are a critical part of the global economy, accounting for a significant share of employment and GDP in many countries, this has created a significant opportunity for lenders to provide unsecured business loans to SMEs. Moreover, the rise in demand for unsecured business loans can be attributed to the short loan application process. As they do not require collateral and are mostly determined by a borrower's creditworthiness and business financials, unsecured business loans often have a quicker application procedure than conventional secured loans. Thus, such factors are likely to propel the unsecured business loans market to new heights. However, unsecured loans carry a higher risk of default, this is due to the fact that unsecured loans are not backed by collateral, which means that if the borrower defaults on the loan, the lender may have limited options for recouping their losses. Therefore, this factor can hamper the growth of the market. On the contrary, the growth of digital lending platforms is likely to continue in the coming years, driven by advances in technology and changing consumer preferences, which is anticipated to provide an opportunity to scale up unsecured business loans market during the forecast period.
The unsecured business loans market is segmented on the basis of type, enterprise size, and provider. By type, the market is fragmented into term business loan, overdraft, loan on business credit cards, working capital loan, and others. By enterprise size, it is bifurcated into large enterprises and small & medium-sized enterprises. On the basis of provider, it is classified into banks, NBFCs, and credit unions. By region, it is analyzed across North America, Europe, Asia-Pacific, and LAMEA.
The report analyzes the profiles of key players operating in the unsecured business loans market such as American Express Company, Bajaj Finserv Ltd, Bank of America Corporation, clix capital, Deutsche Bank AG, Funding Circle, HDFC Bank Ltd, National Funding, OnDeck, and Wells Fargo. These players have adopted various strategies to increase their market penetration and strengthen their position in the unsecured business loans industry.
Key Market Segments
By Type
- Term Business Loan
- Overdraft
- Loan on Business Credit Cards
- Working Capital Loan
- Others
By Enterprise Size
- Large Enterprises
- Small and Medium-sized Enterprises
By Provider
- Banks
- NBFCs
- Credit Unions
By Region
- North America
- Europe
- UK
- Germany
- France
- Italy
- Spain
- Rest of Europe
- Asia-Pacific
- China
- Japan
- India
- Australia
- South Korea
- Rest of Asia-Pacific
- LAMEA
- Latin America
- Middle East
- Africa
Key Market Players:
- Bajaj Finserv Ltd
- clix capital
- Deutsche Bank AG
- National Funding
- Funding Circle
- OnDeck
- American Express Company
- HDFC Bank Ltd
- Bank of America Corporation
- Wells Fargo
TABLE OF CONTENTS
CHAPTER 1: INTRODUCTION
- 1.1. Report description
- 1.2. Key market segments
- 1.3. Key benefits to the stakeholders
- 1.4. Research Methodology
- 1.4.1. Primary research
- 1.4.2. Secondary research
- 1.4.3. Analyst tools and models
CHAPTER 2: EXECUTIVE SUMMARY
CHAPTER 3: MARKET OVERVIEW
- 3.1. Market definition and scope
- 3.2. Key findings
- 3.2.1. Top impacting factors
- 3.2.2. Top investment pockets
- 3.3. Porter's five forces analysis
- 3.3.1. Bargaining power of suppliers
- 3.3.2. Bargaining power of buyers
- 3.3.3. Threat of substitutes
- 3.3.4. Threat of new entrants
- 3.3.5. Intensity of rivalry
- 3.4. Market dynamics
- 3.4.1. Drivers
- 3.4.1.1. Growth of small and medium-sized enterprises (SMEs)
- 3.4.1.2. Rise in demand for unsecured business loans due to its short loan application process
- 3.4.1.3. Surge in demand for working capital by MSMEs
- 3.4.2. Restraints
- 3.4.2.1. Compliance and regulatory issues for providers
- 3.4.2.2. Unsecured loans carry a higher risk of default
- 3.4.3. Opportunities
- 3.4.3.1. The growth of digital lending platforms
- 3.5. COVID-19 Impact Analysis on the market
CHAPTER 4: UNSECURED BUSINESS LOANS MARKET, BY TYPE
- 4.1. Overview
- 4.1.1. Market size and forecast
- 4.2. Term Business Loan
- 4.2.1. Key market trends, growth factors and opportunities
- 4.2.2. Market size and forecast, by region
- 4.2.3. Market share analysis by country
- 4.3. Overdraft
- 4.3.1. Key market trends, growth factors and opportunities
- 4.3.2. Market size and forecast, by region
- 4.3.3. Market share analysis by country
- 4.4. Loan on Business Credit Cards
- 4.4.1. Key market trends, growth factors and opportunities
- 4.4.2. Market size and forecast, by region
- 4.4.3. Market share analysis by country
- 4.5. Working Capital Loan
- 4.5.1. Key market trends, growth factors and opportunities
- 4.5.2. Market size and forecast, by region
- 4.5.3. Market share analysis by country
- 4.6. Others
- 4.6.1. Key market trends, growth factors and opportunities
- 4.6.2. Market size and forecast, by region
- 4.6.3. Market share analysis by country
CHAPTER 5: UNSECURED BUSINESS LOANS MARKET, BY ENTERPRISE SIZE
- 5.1. Overview
- 5.1.1. Market size and forecast
- 5.2. Large Enterprises
- 5.2.1. Key market trends, growth factors and opportunities
- 5.2.2. Market size and forecast, by region
- 5.2.3. Market share analysis by country
- 5.3. Small and Medium-sized Enterprises
- 5.3.1. Key market trends, growth factors and opportunities
- 5.3.2. Market size and forecast, by region
- 5.3.3. Market share analysis by country
CHAPTER 6: UNSECURED BUSINESS LOANS MARKET, BY PROVIDER
- 6.1. Overview
- 6.1.1. Market size and forecast
- 6.2. Banks
- 6.2.1. Key market trends, growth factors and opportunities
- 6.2.2. Market size and forecast, by region
- 6.2.3. Market share analysis by country
- 6.3. NBFCs
- 6.3.1. Key market trends, growth factors and opportunities
- 6.3.2. Market size and forecast, by region
- 6.3.3. Market share analysis by country
- 6.4. Credit Unions
- 6.4.1. Key market trends, growth factors and opportunities
- 6.4.2. Market size and forecast, by region
- 6.4.3. Market share analysis by country
CHAPTER 7: UNSECURED BUSINESS LOANS MARKET, BY REGION
- 7.1. Overview
- 7.1.1. Market size and forecast By Region
- 7.2. North America
- 7.2.1. Key trends and opportunities
- 7.2.2. Market size and forecast, by Type
- 7.2.3. Market size and forecast, by Enterprise Size
- 7.2.4. Market size and forecast, by Provider
- 7.2.5. Market size and forecast, by country
- 7.2.5.1. U.S.
- 7.2.5.1.1. Key market trends, growth factors and opportunities
- 7.2.5.1.2. Market size and forecast, by Type
- 7.2.5.1.3. Market size and forecast, by Enterprise Size
- 7.2.5.1.4. Market size and forecast, by Provider
- 7.2.5.2. Canada
- 7.2.5.2.1. Key market trends, growth factors and opportunities
- 7.2.5.2.2. Market size and forecast, by Type
- 7.2.5.2.3. Market size and forecast, by Enterprise Size
- 7.2.5.2.4. Market size and forecast, by Provider
- 7.3. Europe
- 7.3.1. Key trends and opportunities
- 7.3.2. Market size and forecast, by Type
- 7.3.3. Market size and forecast, by Enterprise Size
- 7.3.4. Market size and forecast, by Provider
- 7.3.5. Market size and forecast, by country
- 7.3.5.1. UK
- 7.3.5.1.1. Key market trends, growth factors and opportunities
- 7.3.5.1.2. Market size and forecast, by Type
- 7.3.5.1.3. Market size and forecast, by Enterprise Size
- 7.3.5.1.4. Market size and forecast, by Provider
- 7.3.5.2. Germany
- 7.3.5.2.1. Key market trends, growth factors and opportunities
- 7.3.5.2.2. Market size and forecast, by Type
- 7.3.5.2.3. Market size and forecast, by Enterprise Size
- 7.3.5.2.4. Market size and forecast, by Provider
- 7.3.5.3. France
- 7.3.5.3.1. Key market trends, growth factors and opportunities
- 7.3.5.3.2. Market size and forecast, by Type
- 7.3.5.3.3. Market size and forecast, by Enterprise Size
- 7.3.5.3.4. Market size and forecast, by Provider
- 7.3.5.4. Italy
- 7.3.5.4.1. Key market trends, growth factors and opportunities
- 7.3.5.4.2. Market size and forecast, by Type
- 7.3.5.4.3. Market size and forecast, by Enterprise Size
- 7.3.5.4.4. Market size and forecast, by Provider
- 7.3.5.5. Spain
- 7.3.5.5.1. Key market trends, growth factors and opportunities
- 7.3.5.5.2. Market size and forecast, by Type
- 7.3.5.5.3. Market size and forecast, by Enterprise Size
- 7.3.5.5.4. Market size and forecast, by Provider
- 7.3.5.6. Rest of Europe
- 7.3.5.6.1. Key market trends, growth factors and opportunities
- 7.3.5.6.2. Market size and forecast, by Type
- 7.3.5.6.3. Market size and forecast, by Enterprise Size
- 7.3.5.6.4. Market size and forecast, by Provider
- 7.4. Asia-Pacific
- 7.4.1. Key trends and opportunities
- 7.4.2. Market size and forecast, by Type
- 7.4.3. Market size and forecast, by Enterprise Size
- 7.4.4. Market size and forecast, by Provider
- 7.4.5. Market size and forecast, by country
- 7.4.5.1. China
- 7.4.5.1.1. Key market trends, growth factors and opportunities
- 7.4.5.1.2. Market size and forecast, by Type
- 7.4.5.1.3. Market size and forecast, by Enterprise Size
- 7.4.5.1.4. Market size and forecast, by Provider
- 7.4.5.2. Japan
- 7.4.5.2.1. Key market trends, growth factors and opportunities
- 7.4.5.2.2. Market size and forecast, by Type
- 7.4.5.2.3. Market size and forecast, by Enterprise Size
- 7.4.5.2.4. Market size and forecast, by Provider
- 7.4.5.3. India
- 7.4.5.3.1. Key market trends, growth factors and opportunities
- 7.4.5.3.2. Market size and forecast, by Type
- 7.4.5.3.3. Market size and forecast, by Enterprise Size
- 7.4.5.3.4. Market size and forecast, by Provider
- 7.4.5.4. Australia
- 7.4.5.4.1. Key market trends, growth factors and opportunities
- 7.4.5.4.2. Market size and forecast, by Type
- 7.4.5.4.3. Market size and forecast, by Enterprise Size
- 7.4.5.4.4. Market size and forecast, by Provider
- 7.4.5.5. South Korea
- 7.4.5.5.1. Key market trends, growth factors and opportunities
- 7.4.5.5.2. Market size and forecast, by Type
- 7.4.5.5.3. Market size and forecast, by Enterprise Size
- 7.4.5.5.4. Market size and forecast, by Provider
- 7.4.5.6. Rest of Asia-Pacific
- 7.4.5.6.1. Key market trends, growth factors and opportunities
- 7.4.5.6.2. Market size and forecast, by Type
- 7.4.5.6.3. Market size and forecast, by Enterprise Size
- 7.4.5.6.4. Market size and forecast, by Provider
- 7.5. LAMEA
- 7.5.1. Key trends and opportunities
- 7.5.2. Market size and forecast, by Type
- 7.5.3. Market size and forecast, by Enterprise Size
- 7.5.4. Market size and forecast, by Provider
- 7.5.5. Market size and forecast, by country
- 7.5.5.1. Latin America
- 7.5.5.1.1. Key market trends, growth factors and opportunities
- 7.5.5.1.2. Market size and forecast, by Type
- 7.5.5.1.3. Market size and forecast, by Enterprise Size
- 7.5.5.1.4. Market size and forecast, by Provider
- 7.5.5.2. Middle East
- 7.5.5.2.1. Key market trends, growth factors and opportunities
- 7.5.5.2.2. Market size and forecast, by Type
- 7.5.5.2.3. Market size and forecast, by Enterprise Size
- 7.5.5.2.4. Market size and forecast, by Provider
- 7.5.5.3. Africa
- 7.5.5.3.1. Key market trends, growth factors and opportunities
- 7.5.5.3.2. Market size and forecast, by Type
- 7.5.5.3.3. Market size and forecast, by Enterprise Size
- 7.5.5.3.4. Market size and forecast, by Provider
CHAPTER 8: COMPETITIVE LANDSCAPE
- 8.1. Introduction
- 8.2. Top winning strategies
- 8.3. Product Mapping of Top 10 Player
- 8.4. Competitive Dashboard
- 8.5. Competitive Heatmap
- 8.6. Top player positioning, 2021
CHAPTER 9: COMPANY PROFILES
- 9.1. American Express Company
- 9.1.1. Company overview
- 9.1.2. Key Executives
- 9.1.3. Company snapshot
- 9.1.4. Operating business segments
- 9.1.5. Product portfolio
- 9.1.6. Business performance
- 9.1.7. Key strategic moves and developments
- 9.2. Bajaj Finserv Ltd
- 9.2.1. Company overview
- 9.2.2. Key Executives
- 9.2.3. Company snapshot
- 9.2.4. Operating business segments
- 9.2.5. Product portfolio
- 9.2.6. Business performance
- 9.2.7. Key strategic moves and developments
- 9.3. Bank of America Corporation
- 9.3.1. Company overview
- 9.3.2. Key Executives
- 9.3.3. Company snapshot
- 9.3.4. Operating business segments
- 9.3.5. Product portfolio
- 9.3.6. Business performance
- 9.4. clix capital
- 9.4.1. Company overview
- 9.4.2. Key Executives
- 9.4.3. Company snapshot
- 9.4.4. Operating business segments
- 9.4.5. Product portfolio
- 9.4.6. Key strategic moves and developments
- 9.5. Deutsche Bank AG
- 9.5.1. Company overview
- 9.5.2. Key Executives
- 9.5.3. Company snapshot
- 9.5.4. Operating business segments
- 9.5.5. Product portfolio
- 9.5.6. Business performance
- 9.5.7. Key strategic moves and developments
- 9.6. Funding Circle
- 9.6.1. Company overview
- 9.6.2. Key Executives
- 9.6.3. Company snapshot
- 9.6.4. Operating business segments
- 9.6.5. Product portfolio
- 9.6.6. Business performance
- 9.7. HDFC Bank Ltd
- 9.7.1. Company overview
- 9.7.2. Key Executives
- 9.7.3. Company snapshot
- 9.7.4. Operating business segments
- 9.7.5. Product portfolio
- 9.7.6. Business performance
- 9.7.7. Key strategic moves and developments
- 9.8. National Funding
- 9.8.1. Company overview
- 9.8.2. Key Executives
- 9.8.3. Company snapshot
- 9.8.4. Operating business segments
- 9.8.5. Product portfolio
- 9.9. OnDeck
- 9.9.1. Company overview
- 9.9.2. Key Executives
- 9.9.3. Company snapshot
- 9.9.4. Operating business segments
- 9.9.5. Product portfolio
- 9.10. Wells Fargo
- 9.10.1. Company overview
- 9.10.2. Key Executives
- 9.10.3. Company snapshot
- 9.10.4. Operating business segments
- 9.10.5. Product portfolio
- 9.10.6. Business performance
- 9.10.7. Key strategic moves and developments