Funding through debt involves money that you can borrow from external sources, with a liability to repay the borrowed amount with interest over a set time period.
The below business finance options can help you get access to cash, while retaining full ownership of your business.
Get access to funding, up to an agreed amount, which could be useful for a short-term boost to your cashflow
Sometimes known as business loans, these are paid back over time and you can sometimes set up flexible repayment plans depending on your business' cashflows.
Invoice finance involves a provider giving you a portion of the money owed to your business by customers. It allows you to access much-needed cash quickly.
Allows a business to purchase assets without paying the full amount upfront, getting quicker access to vehicles, machinery or equipment to grow the business.
Cashflow finance helps you manage day-to-day expenses and business operations by providing quick access to money based on expected future income.
Trade finance helps businesses buy and sell goods across the globe, making international trade easier.
Lenders adopt a variety of ways to analyse a lending proposal and assess a borrowing applicant. However, a core of the following may form the basis of many lenders' criteria for getting a loan:
Customer Profile
Business
Management Profile
Lending Proposition
Financial Information
Availability of Collateral Security (if applicable)
Affordability Criteria
S.W.O.T. Analysis
Applying for finance and taking on business debt should not be undertaken lightly.
Assuming you have applied for credit through a reputable and regulated lender, by signing a debt agreement, you are entering into a contract with the lender that is enforceable by law should you be in breach of the terms and conditions of the agreement.
You should therefore exercise extreme care when presented with an offer of funding by a lender. If you are in any doubt about the implications of signing what is a legally enforceable agreement, you should immediately seek legal advice prior to signing such an agreement.
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