Sample 1 - Blog , Working Expansion CapitalSample 1 - Blog , Working Expansion Capitalhttps://lololol.zohosites.com/thoughts/Working-Expansion-CapitalFri, 02 Aug 2024 18:55:08 -0700http://zoho.com/sites/<![CDATA[Fueling Business Growth: 6 Ways to Finance Your Working Capital]]>https://lololol.zohosites.com/thoughts/post/Fueling-Business-Growth-6-Ways-to-Finance-Your-Working-Capital

How to Finance Your Working Capital for Business Growth

Running a successful business means efficiently managing your working capital. Working capital is the amount of money you have available to pay your bills and buy stock. Without enough working capital, you won't be able to grow your business and attract big customers. That's why it's important to consider how you can finance your working capital for business growth. In this article, we'll explore how small business owners can access the funds needed for successful business growth.

With the right strategy and the necessary funding, you'll be able to take your business to the next level.

Working capital is the money that a business uses to fund its day-to-day operations, such as paying bills and buying inventory. It is essential for the smooth functioning of a business, and having enough working capital is crucial for business growth. In this blog post, we will discuss some ways to finance your working capital for business growth.

1. Invoice Financing

Invoice financing is a form of short-term borrowing that allows businesses to receive cash advances on their outstanding invoices. This type of financing can help businesses free up cash to pay for operational expenses, purchase inventory, or invest in growth opportunities.

2. Business Line of Credit

A business line of credit is a flexible financing option that provides businesses with access to funds up to a predetermined credit limit. Businesses can draw on the line of credit as needed, and interest is only charged on the amount borrowed. This type of financing is ideal for businesses that need quick access to funds to finance working capital.

3. Equipment Financing

Equipment financing allows businesses to finance the purchase of equipment or machinery they need for their operations. The equipment itself acts as collateral for the financing, which makes this type of financing easier to obtain than other types of financing.

4. Merchant Cash Advances

Merchant cash advances are a type of short-term financing that provides businesses with an upfront cash payment in exchange for a percentage of their future credit or debit card sales. This type of financing can be useful for businesses that have a lot of credit or debit card transactions.

5. Loans to Buy New Stock

If you need working capital to buy new stock, you may be able to take out a loan. Loans can provide you with the funds you need to purchase inventory, and you can spread the cost of the loan over time. This can help you free up cash to reinvest in other areas of your business.

6. Loans on Existing Stock

Another option for financing your working capital is to take out a loan on your existing stock. This can provide you with the funds you need to pay for operational expenses or invest in growth opportunities. The loan amount will be based on the value of your existing stock, and you will need to put up your stock as collateral for the loan.

Conclusion

Accessing the funds you need to finance your working capital is essential for business growth. There are a variety of financing options available to small business owners. By understanding your financing options and selecting the right one for your business, you can ensure that you have the funds you need to grow your business.  

]]>Tue, 14 Feb 2023 04:02:46 -0800<![CDATA[How to Get a Small Business Loan Without Collateral]]>https://lololol.zohosites.com/thoughts/post/How-to-Get-a-Small-Business-Loan-Without-Collateral

Are you having difficulty getting a small business loan with no collateral?

In the event that you are a small business owner that needs financing, but you don’t have any collateral or assets to secure a loan against, then you might be wondering how you can get the capital that your business needs.

For businesses with a high card transaction monthly turnover, a merchant cash advance loan might just be the solution your business needs.

What is a merchant cash advance loan? A merchant cash advance is an advance on future credit card sales. Rather than waiting 30, 60 or 90 days for your business's credit card sales to pay off your invoices, a merchant cash advance gives you the capital upfront. Getting a merchant cash advance is the most efficient way for business owners to get cash from credit card sales.
Types of suitable business:
  • Any business with an average monthly card transaction volume of 20,000 or more
  • For example
    •  Restaurants
    •  Retail businesses 
    •  etc

Wondering how you can get a small business loan? Call 02032909019 for a free consultation. Our experts can help you even if you have a bad credit history. Call today before it's too late.
]]>Tue, 09 Nov 2021 22:10:00 -0800<![CDATA[Why are things fraught between banks and SMEs?]]>https://lololol.zohosites.com/thoughts/post/Why-are-things-fraught-between-banks-and-SMEs

SMEs and banks do not always have the best relationship. The UK is leading the way in Europe for ‘start ups’, but many businesses have become afraid of the risks involved in borrowing to help them expand their companies further. The recent call for a tribunal overseeing disagreements between small businesses and banks serves to emphasise how frequently things go wrong between smaller enterprises and their bankers, and how cautious business owners often are because of this tricky dynamic. Let’s look at why banks and SMEs are often at odds…


Mitigating Risk

Banks are dedicated to mitigating their risks. A lack of capital led to the now-infamous credit crunch and caused widespread and catastrophic consequences for both business and domestic customers. UK banks grade their risks in more stringent ways than ever before, making small businesses an often riskier, and therefore undesirable, candidate for lending. They lack the resources of larger companies with a proven track record, and as the standards tighten, there’s been a gradual downturn in the likelihood of banks lending to smaller enterprise. Banks have limited data with which to assess whether they are able to settle their debts, and this impacts SMEs in profound ways, creating significant roadblocks to expansion.
Mutual Misunderstandings

Banks sometimes fail to recognise the very real benefits of SMEs in comparison to larger companies. Their comparative lack of resources makes them far less likely to indulge in tax avoidance and other unethical practices and SME culture often lends itself to helping keep the UK’s economy on track, with owners and managers at the helm who possess all the desirable attributes which have always benefitted commerce and industry, and by extension, the world of finance. However, this misunderstanding is not one-sided and steps are required to help mend relations between the two.


The Future of SME Lending

To stand the best chance of wooing banks, SMEs need to stick to business facts and develop a keen understanding of the loan application process. They must prepare realistic figures, actionable business plans and recognise the risks that their venture may pose. Banks meanwhile must become clearer when defining their criteria. Adding a personal touch would go a long way towards helping to recuperate the image of banks in the eyes of SMEs, and likewise, ensuring watertight applications would help SMEs achieve their goals with banking assistance. 

We aim to deliver much needed capital to start-ups and SMEs

Call Now +44 (0) 203 2909019

]]>Thu, 01 Feb 2018 21:00:00 -0800<![CDATA[What are the different SME finance options available?]]>https://lololol.zohosites.com/thoughts/post/What-are-the-different-SME-finance-options-available

One of the biggest questions you’ll face as the owner of a small or medium-sized enterprise is how to finance your business. This isn’t because there aren’t any ways to do so, however. In fact, there are a huge range of finance options available for SME owners to take advantage of, so much so that the challenge presents itself when trying to decide which one to pick! It’s for this reason we’ve written this guide to help you weigh up the pros and cons of each financing method to ensure you pick the right finance option for you.


Crowdfunding


One finance option that’s seen an explosion in popularity over recent years is crowdfunding. Pages such as GoFundMe allow you to put up your business model online and request for donations from the public. In return, you’ll give them free products or services. If you’ve got a popular idea this can be a great way to raise start-up capital fast, but has the downside of lessened profit once you’ve started producing due to the people you’ll have to pay back.


Retail Overdraft Facility


We’ve created our £500K Retail Overdraft Facility service to give your SME a capital injection without the arduous red-tape restrictions. Sounds good already, right? £500K Retail Overdraft Facility works by having you pay back a percentage of what you earn rather than being tied to an inflexible monthly payment obligation that can often damage your cashflow during a tough month of business. By choosing us, you’ll only pay back large amounts if you’re making large amounts, making this a great financing option for SMEs which have a fluctuating number of card payments such as retail or hospitality ventures. 


Business Overdraft Facility


Another financing option we offer that makes life much easier for SME owners is our £2M Business Overdraft Facility. This works exactly the same as a traditional bank overdraft does; we’ll give you access to a wealth of funding when you need it, with plenty of room to manoeuvre when it comes to repayment. 


Our expert team have carefully selected the most clean and transparent lenders for our £2M Business Overdraft Facility, meaning you won’t be faced by sudden charges or out-of-the-blue interest rates that are the case with some banks. There’s no long-term commitment either; we’re here to help you, and are more than happy to take your repayment at a time which suits both you and your business. 


Visit our £500K Retail Overdraft Facility section on our website to find out more. 

We aim to deliver much needed capital to start-ups and SMEs

Call Now +44 (0) 203 2909019

]]>Wed, 03 Jan 2018 00:00:00 -0800<![CDATA[How the lending market changed since the 2008 financial crisis?]]>https://lololol.zohosites.com/thoughts/post/How-the-lending-market-changed-since-the-2008-financial-crisis

Lending Market Overview: A Global Overview of the Trends and Key Opportunities

The global financial meltdown of 2008 sent shockwaves rippling throughout the entire planet. Value of currencies across the world were impacted, scores of businesses went bust and a feeling of resentment swept through countries in continents across the globe. Why should taxpayers have to bail out banks who’ve caused the crisis in the first place through their own reckless lending? 

Aside from creating a feeling of distrust amongst borrowers, therefore making them less likely to go to banks for money, banks have also become much more selective about who they lend to for fear of causing another economic meltdown. The result of both these factors has engendered the emergence of a flourishing alternative lending market, with more and more business owners turning their backs on the big banks and taking their capital needs elsewhere. But what are these alternatives to approaching the high-street bank?

Digital currency

Some of the more tech-savvy business owners turned their attention to digital currency such as bitcoin post-2008. Bitcoins are created by computer code, not banks, and as such are impervious to things such as interest rate rises. 

As it stands, there are currently 16 million bitcoins in circulation around the world, with the value of one bitcoin in the UK standing at the value of £4,120. As more people begin to use them, the more businesses and shops have begun to accept them, with the bonus of bitcoins being that there’s no transaction fee when buying or selling items, making them an attractive choice to some businesses.

Capital Lending Groups

Capital lending groups such as ourselves scour the market of lenders out there to ensure that businesses such as SMEs choose the right partner for them, rather than choosing a big bank who may not offer them favourable conditions. We also offer attractive financial options such as our Pay as You Trade scheme, which allows you to only pay back amounts reflective of what your business is earning rather than tying you down to an inflexible monthly payment.

Angel investors 

Another type of lending that’s become more popular over recent years is angel investments. This works by you securing funding from your ‘angel’ in exchange for a slice of your company, with the added benefit being that if your venture isn’t successful you won’t have to make a repayment. It’s for this reason that although many more businesses are applying for angel investments, few receive them due to investors being extremely selective about who they lend money to.

Tired of the same old banking bureaucracy? Say no more! 🤩 With GIC Capital you can access flexible finance options tailored to your business needs with hassle-free processes. #GICcapital #flexiblefinancing #businessfinance #applynow

We aim to deliver much needed capital to start-ups and SMEs

Call Now +44 (0) 203 2909019

]]>Thu, 14 Dec 2017 06:00:00 -0800<![CDATA[When is an angel investor right for you?]]>https://lololol.zohosites.com/thoughts/post/When-is-an-angel-investor-right-for-you

The Right Kind of Angel Investor for Your Business

When starting your new venture, it’s imperative that you consider the range of investment options available to you. If you’re lucky enough to be able to do so, you may want to borrow from friends and family who believe in your business model. You could go for the increasingly-popular method of crowdfunding, or get your business off the ground using venturcapital investment. Another highly-popular form of investment used to turn fledgling start-ups into mutli-million-dollar businesses is angel investment. 

What is angel investment?

An angel investor is a successful business owner who provides financial backing during the early stages of a start-up’s life in exchange for an ownership stake in your company. Companies who’ve done incredibly well through the use of angel investors include Facebook and Uber. 

What are the benefits?

There are numerous benefits of choosing an angel investment, namely the lessened risk to yourself. As a rule, an angel investor is stumping up their cash because they have faith in your business. If, for whatever reason, your start up isn’t successful, you won’t have to pay your angel investor back for their funds.

On top of this, by choosing an angel investor you’ll also be gaining a highly experienced and extremely capable business partner. The vast majority of angel investors have extremely successful companies of their own (it’s for this reason they’re able to risk their own cash on your startup) and can impart their invaluable wisdom and business acumen to you as you work together to move your venture forward.

What are the drawbacks?

As you may expect, angel investors can be extremely picky about who they invest in. This is understandable; they are risking losing all their money with zero chance of repayment if your project fails, and as such securing funding from an angel investor can be very difficult. What’s more, if your company is extremely successful you may have given away a share in your business that’s worth much more than what your angel investor initially gave you.

Is it right for you?

An angel investor isn’t a one-size-fits all solution. Whilst it does present the highly lucrative option of risk-free funding, the people offering this money are masters in business and only tend to invest in businesses that become successes. It’s for this reason that you may end up paying back your angel investor a sum worth considerably more than what you borrowed from them initially, meaning that in the long run it can be a potentially costly financing option.

Conclusion:

  • Are you looking for more than just money?
  • Do you want an investor who can offer valuable guidance and advice?
  • Do you want to build a long-term relationship with your investor?
  • Are you willing to give up some control of your company?

If you answered yes to any of the above, then an angel investor may be right for you. Angel investors are individuals who invest their own money in early-stage companies in exchange for a percentage of equity. They are typically more interested in the potential of your company than in making a quick return on their investment.

Angel investors can provide valuable guidance and advice, which can be especially helpful for first-time entrepreneurs. In addition, they can offer valuable introductions to other investors and potential customers. However, it is important to remember that angel investors will want some control over your company in exchange for their investment.

If you're thinking about raising money for your business, then be sure to consider all your options before making a decision. An angel investor may be the right choice for you if you're looking for more than just money.

An angel investment might not be right for you, but our business overdraft facility could be exactly what you’re looking for.

From supporting growth to accelerating expansion, we understand the capital needs of start-ups and SMEs. GIC Capital is here to provide you with the hassle-free financing that you deserve. #businessfinance #PropertyFinance #capitalfunding

We aim to deliver much needed capital to start-ups and SMEs

Call Now +44 (0) 203 2909019

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