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Prepare while in that college, it being in NCR has it's own perks which you'll realise in coming years, most NLUs are not in metro cities with multiple forums, you'll get good internship exposure in Delhi and that will eventually be the deciding factor for start of your career.
And if in case you do wish to clear that idiotic exam, focus on and 2 things. Your reading comprehension and your GK. As a UG student, you may not be aware of it but since after 2019 pattern change, that exam is not but a simple ticket for those privileged with good English exposure to get direct entrance to NLUs. Every section required your utmost comprehension, even the legal section, which will have more than 80% of answers in the passage itself.
Rest is the GK part, with which you should be good. Be a champ and be thankful to whatever you're getting, you'll be more privileged by the end of your law clg due to your proximity to NCR. Otherwise clear CLAT but try to avoid any tier 2 city NLU, unless it's genuinely having good faculty.
Being from a good NLU helps, yes. The main reason is not necessarily the impact of the institution, but the quality of your peer group at essentially any of the T-whatever, older NLUS. You also typically benefit from the institution's reputation, built on the goodwill of several successful years of alumni. I must also acknowledge that your average NLU peer would need to put in less effort or get by with a less "successful" CV, to reach the same achievement milestones, primarily Vac-schemes and T-1 jobs.
At the same time, doing really well (academically or through demonstrated experience) at other colleges, and in your case, SLS-N, is enough to bridge the gap for a T-1 goal or whatever corporate law aim a person has.
Give your best in the CLAT, try to get into the college of your choice, and do not worry about being a dropper; it never matters. At the same time, think about continuing with SLS-N and really assess your capability of making it to a college of your choice, before dropping out.