What Business Finance is available and what’s the right option for my business?

What Business Finance is available and what’s the right option for my business?
As the thoughts of small business owners turn to budget planning for 2016, Supply My Business felt it would be useful to ask member SME Business Finance to provide an overview of the different types of finance available to businesses to help them manage their capital expenditure and cash flow more effectively to grow their business…

Financial service activities
Many business owners may need finance within their business at some point in their business cycle. Finance improves cash flow by spreading the costs of the assets and projects over their useful economic lives. Many businesses rely on finance as it allows them to spread costs evenly without losing a lump sum in one go. Instead you can break the cost of the equipment down into bite sized chunks and pay for it as you use it!

What are the financing options for your Kent Business?

There are several finance avenues to go down; Asset finance is available for businesses to help fund your business equipment purchases over a period of up to 5 years. This can be for new or used equipment and allows you to put money back into your business as working capital. Asset Finance can be used for hire purchase, asset refinancing, finance leases and operating leases. This enables the most appropriate facility to be used taking into account capital allowance, taxation and cash flow considerations. Asset Finance provides 100% funding against your equipment requirements.

Business loans are primarily of two types i.e. secured and unsecured. Secured loans are granted in exchange for security or in lieu of the title deeds of a property until the loan amount is repaid in full. Unsecured loans do not require any form of mortgage or security. The sanction of an unsecured loan depends on the past credit history and the financial capacity of the borrower. Fixed repayments are between 6 months and 5 years.

Vehicle finance is also available for businesses, which can be for new cars, used cars, classic cars and performance cars. They can be arranged on hire purchase and leasing agreements. Vehicles can be financed over periods of up to 5 years with minimal deposits.

Property finance is available for all types of commercial properties including offices, factories, surgeries, hotels, spas and farms.
Choosing and securing the right type of finance for your business is essential. There are many different types of finance available – each of them designed to meet different needs. Work out what type of finance is best for your business, taking into account your business’ size, turnover, your willingness to offer shares and the amount of funding you need.

If you need help or advice then talk to an expert. Choosing the right finance partner can be difficult, however going with a local, recommended and trustworthy specialist provider is always a good place to start.

Leave a Comment

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>