With many things seeming uncertain at the moment, we are still busy helping SME businesses to access funding in 2019 and wanted to share some thoughts with you.
It has been split into 4 sections as below:-
The process of obtaining funding
- Whilst funders try to move quickly, it often takes longer than we may think to access funding, so try to allow 3-4 WEEKS for cashflow loans & 6-8 WEEKS for property based loans.
- Good business housekeeping can often help access suitable & more competitive finance, so try to check your bank accounts daily to avoid excess/overdrawn positions & returned items, as this can STOP funding applications from going ahead.
- Make sure HMRC payments are fully up to date before applying for ANY new facility.
- Make sure your ALL financial information for your business is up to date before applying for ANY new facility.
- Rates/Fees and appetite to lend is altered across funders on almost a daily basis, so DON’T ASSUME that an approval to lend over a month ago is still valid today.
The great news is that there is still an EXTREMELY GOOD appetite to lend across both development & investment properties as well as owner-occupied Commercial Mortgages.
- Rates are at the CHEAPEST ever as funders compete to win market share.
- Bridging & Light Refurbishment Loans are available from as little as 0.43% per month.
- Interest only Mortgages are now available ACROSS Commercial Mortgages, Investment & Development loans.
- Partially amortising loans/Part Capital Repayment Loans are also available.
- There is a multitude of Cashflow Providers who can help to provide MUCH NEEDED working capital to SME businesses.
- Loan terms from 1 month to 60 months.
- Many options mean that you can select the MOST SUITABLE offer open to your business.
- Invoice Discounting/ Factoring remains popular, especially in construction, manufacturing & service providers.
- Asset Finance products are widely available and EXTREMELY COMPETITIVE.
Merchant Broker Options
- Many businesses are making SIGNIFICANT SAVINGS on their card processing fees – A quick and effective way to save money for many businesses.
- It’s a simple process and in some cases, your card processing provider will not change.
- For those businesses with a high concentration of card transactions, a 10% to 15% saving can add up quickly to become a REAL cash boost
Business people are busy and we understand this, but its always good to know that you can borrow money if required. By completing a 1 to 2 hour review, we can talk clients through how the funding process of 2019 works, as it has changed so dramatically over the past 12 months. At the end of this review, they will know exactly what options are open to them and feel content knowing that their business is “FIT TO BORROW”.
If you have any questions about accessing funding in 2019, please get in touch and we’d be happy to offer our advice.