Sample 1 - Blog #business financeSample 1 - Blog #business financehttps://lololol.zohosites.com/thoughts/tag/business-financeFri, 02 Aug 2024 07:21:38 -0700http://zoho.com/sites/<![CDATA[How to Find the Right Angel Investor for Your Business]]>https://lololol.zohosites.com/thoughts/post/How-to-Find-the-Right-Angel-Investor-for-Your-Business

What to Look for in a Good Angel Investor

The relationship between a business owner and an investor is a two-way street; it’s essential for business owners to assess the potential of any angel investor as carefully as they would assess a potential employee or partner.

In this blog article, we'll explore the key criteria to consider when looking for the right angel investor. By doing your due diligence in searching for an investor with the right criteria, it could make all the difference to your business.

1. Does this investor have a good track record?

One of the key things to look for when considering an angel investor is their track record. How successful have they been in the past with other companies and investments? Do they have a history of investing in businesses in your industry? Checking an investor’s track record can give you valuable insights into their investing style and whether they’re a good fit for your company.

In addition to looking at an angel investor’s track record, it’s also important to consider their motivation for investing. What are they looking to get out of the deal? Are they primarily concerned with financial returns, or are they more interested in helping to build a successful company? Understanding an investor’s motivation can help you gauge how involved they’re likely to be in your business and what kind of advice and support they may be able to provide.

When evaluating an angel investor, it’s important to look at more than just their track record and motivation. 

2. Do they have a solid network?

A good angel investor will have a solid network of contacts that they can bring to the table. This network can be invaluable for your business, providing access to valuable resources and contacts. It’s worth checking out an investor’s network before partnering with them to make sure it’s a good fit for your business.

A good angel investor will also have experience in the industry in which you are seeking funding. This experience can be invaluable in helping you navigate the often-complicated world of business. An experienced investor will know the ins and outs of the industry and can offer valuable advice and guidance.

When looking for an angel investor, it’s important to find someone who is a good fit for your business. Make sure to do your research and due diligence to ensure you partner with an investor who can help you achieve your business goals.

3. What is their investment philosophy?

It’s important to understand an angel investor’s investment philosophy before partnering with them. What are their goals for investments? What types of companies do they like to invest in? What is their typical investment size? Asking questions about an investor’s investment philosophy can help you get a better sense of whether they’re good fit for your company.


4. Do they have the right skills and knowledge?

An angel investor should have the right skills and knowledge to help your business. They should be able to offer insights and advice on a wide range of topics, including marketing, sales, finance, and operations. It’s worth taking the time to assess an investor’s skills and knowledge to make sure they’re a good fit for your business.

An angel investor should also be passionate about your business and its mission. They should believe in your products or services and be excited about helping you grow your business. It’s essential to have a good relationship with your angel investor, so be sure to choose someone you get along with and who you can trust.

5. What is their commitment level?

When considering an angel investor, it’s important to assess their commitment level. Are they in it for the long haul? Are they committed to helping your business grow and succeed? It’s worth asking questions about an investor’s commitment level to make sure they’re the right fit for your company.

When looking for an angel investor, due diligence is key. By taking the time to assess an investor’s track record, network, investment philosophy, skills, and commitment level, you can get a better sense of whether they’re the right fit for your business.


In Conclusion: When looking for a potential business partner, key criteria to consider include:


1. Compatibility: It’s important to find a business partner who you are compatible with. You should have compatible skillsets, values, and goals.


2. Trust: It’s important to find a business partner you can trust. They should be trustworthy, honest, and reliable.


3. Communication: It’s important to find a business partner who you can communicate with easily. They should be someone you can have open and honest conversations with.


4. Shared vision: It’s important to find a business partner who shares your vision for the business. You should have compatible goals and values.


5. Commitment: It’s important to find a business partner who is committed to the business. They should be in it for the long haul and be committed to helping the business grow and succeed.

When looking for a potential business partner, due diligence is key. By taking the time to assess a potential partner’s compatibility, trustworthiness, communication skills, shared vision, and commitment level, you can get a better sense of whether they’re the right fit for your business.



Think financing for your business is too complicated? Think again. At GIC Capital, we make it easy to get business debt finance for all sizes of businesses – from small entrepreneurs to larger enterprises 👉 Click Get Started Now. 

Let us help you finance your business #businessfinance #debtfinancing 

]]>Fri, 13 Jan 2023 00:00:00 -0800<![CDATA[How do Venture Capital Trusts work?]]>https://lololol.zohosites.com/thoughts/post/How-do-Venture-Capital-Trusts-work

Venture Capital Trust Advantages and Disadvantages

Venture capital trusts (VCTs) are a type of investment fund set up to invest in and support small businesses in the UK. They offer a variety of tax breaks to encourage investment and have become an increasingly popular way for small business owners to raise capital.

In this blog post, we'll explain what VCTs are, how they work, and the benefits they can offer to UK small business owners.

What are Venture Capital Trusts?

Venture capital trusts are investment funds that pool together money from multiple investors to invest in small businesses. VCTs can invest in a variety of businesses, but they're typically early-stage companies that are considered to be higher risk.

VCTs are regulated by the Financial Conduct Authority (FCA) and are required to invest a minimum of 70% of their assets in qualifying companies. Qualifying companies must be unlisted on a stock exchange, have annual gross assets of no more than £15 million, and must be based in the UK or Europe.

VCTs must also invest a minimum of 20% of their assets in companies that are "knowledge intensive". These are companies that are considered to have high levels of research and development expenditure, or that are engaged in other activities that are considered to be key to the future success of the UK economy.

VCTs are a popular way for small business owners to raise capital, as they offer a number of tax breaks to investors. VCTs are also exempt from capital gains tax, which means that investors can sell their shares in a VCT without incurring any tax liabilities.

There are a number of benefits to investing in a VCT, including:

1. Tax breaks - VCTs offer a number of tax breaks to investors, including exemption from capital gains tax and income tax relief of up to 30%.

2. Access to early-stage companies - VCTs provide investors with access to early-stage companies that are typically high risk but have the potential for high rewards.

3. Diversification - VCTs offer investors the opportunity to diversify their portfolios and reduce their overall risk.

4. Support for small businesses - VCTs provide much-needed support for small businesses in the UK, which are vital to the economy.

5. Investors can exit early - VCTs typically have a five-year minimum investment period, but investors can exit early if they wish.

There are a number of risks associated with investing in a Venture Capital Trust, including:

1. VCTs are high risk 

VCTs are typically invested in early-stage companies, which are high risk but have the potential for high rewards.

2. VCTs are subject to market conditions 

VCTs are subject to volatility and the same market conditions as other investments.

3. VCTs have a minimum investment period 

VCTs typically have a five-year minimum investment period, during which time investors cannot access their capital.

4. VCTs are not guaranteed to make a profit 

VCTs are not guaranteed to make a profit and there is a risk that investors could lose some or all of their investment.

5. VCTs may be difficult to sell 

VCTs may be difficult to sell, especially if they're not listed on a stock exchange.

If you're considering investing in a Venture Capital Trust, it's important to weigh up the risks and benefits before making a decision. VCTs can offer investors several attractive benefits, but they're also high-risk and not guaranteed to make a profit.  

Resources:

https://www.barclays.co.uk/smart-investor/investments-explained/shares/introduction-to-venture-capital-trusts/


Are you looking to fund your business ventures? Look no further than GIC Capital! With our comprehensive suite of financing and lending solutions, we can help you realise your business goals! Learn more about venture capital today ➡️  #GICCapital #VentureCapital #BusinessFunding

]]>Wed, 14 Dec 2022 23:02:45 -0800<![CDATA[Equity Capital and Where to Find It]]>https://lololol.zohosites.com/thoughts/post/Equity-Capital-and-Where-to-Find-It

What are the sources of equity capital?

 If you're struggling to expand your business because of a lack of funds, equity capital could be the perfect solution for expanding your company's reach and improving its visibility.


What is Equity Capital?

If you're a small business owner, you've likely heard the term "equity capital" tossed around. But what is it, and how can it benefit your business? In this blog post, we'll analyse equity capital and its potential benefits for small businesses.

Equity capital is funds that are invested into a company in exchange for an ownership stake. The most common type of equity capital is venture capital, which is money that is invested into a company with high growth potential in exchange for an equity stake.

Benefits of equity capital for small businesses

1. Equity capital can help a business grow.

One of the main benefits of equity capital is that it can help your business grow. With the infusion of cash, you'll be able to invest in marketing, hiring, and other initiatives that can help your business expand. If you're struggling to expand your business because of a lack of funds, equity capital could be the perfect solution for expanding your company's reach and improving its visibility.

2. Equity capital can provide a cushion

Another benefit of equity capital is that it can provide a cushion for your business. If your business hits a rough patch, the equity investors will still be there, providing the capital you need to weather the storm.

3. Equity capital can bring in expert help

In addition to the money that comes with equity capital, you also get access to the expertise of your investors. These experienced entrepreneurs can provide valuable mentorship and guidance as you grow your business.

4. Equity capital can give you a liquidity event

One of the ultimate goals of any business is to have a successful exit, and equity capital can provide that.

By selling a portion of your business to equity investors, you can create a liquidity event that can provide a significant return on investment. If you're considering whether or not equity capital is right for your business, weigh the pros and cons to see if it's the right move for you.

Joint Venture Residential Development Equity

Joint venture equity deals are a type of financing often used in real estate development. In a joint venture deal, an investor provides cash to a developer in exchange for an ownership stake in the project.

These types of deals are typically used when a developer is seeking a large amount of capital and wants to limit their own personal financial risk.


One of the main advantages of a joint venture equity deal is that it allows a developer to access a larger pool of capital. This can be especially helpful when a development project is large and requires a significant amount of money to get off the ground.

Another advantage of a joint venture deal is that it can help a developer spread out their financial risk. By partnering with another investor, a developer can avoid putting all of their own money into a project. This can be a good way to protect yourself financially if a project doesn’t end up being as successful as you had hoped.

If you’re a developer looking for a way to finance your next project, a joint venture equity deal could be the right solution for you.

Be sure to weigh the pros and cons of this type of financing before making a decision. 

What does an equity investor look for in a potential investment?

An equity investor looks for a company with

  1. a sustainable competitive advantage,
  2. a sound management team, and
  3. a history of profitable growth. 


However, these are not the only factors that equity investors consider when making an investment decision.

Other important factors include the company's financial stability, its potential for future growth, and the current market conditions.

When considering a potential investment, equity investors must always weigh the risks and rewards. They must determine whether the potential rewards outweigh the risks, and whether the investment is right for their portfolio. With so many factors to consider, equity investors must do their homework before making any investment decisions.

What is an Asset Manager and how do they invest?


An asset manager is a professional who invests money on behalf of clients. Investment management is the professional service that asset managers provide to their clients.

Investment management is a process of deploying, managing, and safeguarding assets to achieve specific investment goals for the benefit of the investors.

Asset managers may manage specific investments, such as stocks, bonds, and real estate.

They may also manage portfolios of investments, which are collections of different investments held by a single investor or group of investors.

Asset managers may work with individual investors, pension funds, endowments, foundations, and other institutions.

The role of asset managers has come under scrutiny in recent years as many investors have lost money during the economic downturn.

Many asset managers are paid based on the performance of the investments they manage. This system of compensation may incentivize asset managers to take more risks, which can lead to losses for investors.

When selecting an asset manager, it is important to understand the fees that they charge and the investment strategies that they use. It is also important to ensure that the asset manager is registered with the Securities and Exchange Commission (SEC) or equivalent regulatory body in your geographical area.

What is a Family Office?

The term family office can refer to a variety of different things.

Most commonly, a family office is a private company that provides financial and administrative services to a wealthy family.

Family offices can be stand-alone entities, or they can be integrated into a financial institution like a bank or an accounting firm.

While the primary purpose of a family office is to manage the finances of a wealthy family, they can also provide a range of other services. For example, family offices often manage the family's investments, handle their tax and legal affairs, and provide concierge services.

They may also provide philanthropic advice and support, and act as a family confidante.

While the services offered by family offices can vary, they all share one common goal: to help families preserve and grow their wealth.

What do family offices invest in?

When it comes to investing, family offices take a long-term, multi-generational view. They are looking to invest in companies and projects that will generate wealth for their clients over the long term, rather than looking for a quick financial return.

Family offices are often active in philanthropy and impact investing, as well as traditional areas like real estate, private equity, and venture capital. They may also invest in more unconventional assets, such as collectibles, sports teams, and wine.

While each family office has its own investment philosophy, there are some common themes that they tend to focus on.

Here are a few examples:

  • Generating long-term wealth
  • Preserving capital
  • Making a positive impact
  • Minimizing taxes
  • Diversifying investments
  • Passing down wealth to future generations

What is an Angel Investor?

An Angel Investor is an individual who provides financial backing for a small business or entrepreneur.

Angel investors are often family and friends of the business owner, but there are also professional angel investors who make a living by investing in small businesses.

While most angel investors are interested in making a profit, they also want to see the business succeed. This means that they are often more willing to take risks than banks or other financial institutions.

Angel investors can provide the seed money that is needed to get a business off the ground. They can also help to keep a struggling business afloat during tough times.

One of the biggest advantages of working with an angel investor is that they are often more flexible than other types of investors. For example, an angel investor may be willing to give you more time to repay a loan or to invest more money in your business if they believe in its long-term potential.

If you are thinking about starting a business, or if you have a business that is struggling, an angel investor may be a good option for you.


Do you need capital to fast-track your business? Consider equity finance as an option! It’s a great way to get the money you need while minimizing debt instalments. Contact us today to learn more. #EqFinance #GICCapital #FundingSolutions

]]>Sat, 03 Dec 2022 04:47:50 -0800<![CDATA[Why do SMEs default their business loans?]]>https://lololol.zohosites.com/thoughts/post/Why-do-SMEs-default-their-business-loans

Top Reasons for Business Failure: The Financial and Managerial Analysis

The reasons for businesses defaulting on their debt obligations can be manifold and complex. In this article, we'll explore some of the more common reasons that lead to loan defaults, in the hopes that understanding these reasons can help businesses avoid them in the future.

Businesses will default on their finance obligations if they aren't able to keep up with their repayment schedule. This can be due to several factors, such as unexpected expenses, a downturn in business, or simply mismanaging their finances.

If a business is struggling to make their payments on time, it's important to reach out to their lender and try to work out a new repayment plan. Otherwise, the business may eventually default on their loan.

Another reason that business borrowers may default is that they take on too much debt. This can happen when a business expands too quickly or takes on too many projects at once. As a result, the business may not be able to generate enough revenue to cover all of their expenses, including their loan payments. If a business is taking on too much debt, it's important to scale back and focus on generating cash flow. Otherwise, the business may default on its loan.

While businesses may default for any number of reasons, lenders also must consider their own risks when making a loan. These risks can include the following:

1. Business Risk: There are a few distinct types of business risks that can affect a company's ability to repay a loan. 

The first is market risk. This is the risk that the business will not be able to sell its products or services at a price that covers the cost of the loan.
The second is operational risk. This is the risk that the business will not be able to produce its products or services at a profit.
The third is financial risk. This is the risk that the business will not be able to generate enough cash flow to repay the loan.
The fourth is reputational risk is the risk of a business damaging its reputation. 
The fifth is compliance risk is the risk of a business not complying with laws and regulations.

Each of these risks can be mitigated by taking out insurance or by diversifying the company's products and services. However, there is always some amount of risk that the business will not be successful and will default on the loan. This is the risk that lenders must take when making business loans.

2. Interest Rate Risk: The risk that interest rates will increase, and the business will be unable to keep up with the payments.
One of the biggest risks that businesses face is interest rate risk. This is the risk that interest rates will increase, and the business will be unable to keep up with the payments. This can lead to the business defaulting on its loans, and the collateral for the loan (usually the business's assets) being seized by the lender.

Interest rate risk is a major concern for businesses, as it can have a significant impact on their bottom line. Higher interest rates can eat into profits, and make it difficult to meet financial obligations. This can ultimately lead to the failure of the business.

There are a few ways to manage and mitigate interest rate risk. One is to hedge against it by taking out contracts that protect against rising interest rates. Another is to have a strong cash position, so that the business can weather a period of higher interest rates. Finally, a business can try to negotiate with its lenders to get more favorable terms.

Interest rate risk is just one of the many risks that businesses face. Others include market risk, credit risk, and operational risk. Managing all of these risks is crucial to the success of any business.

3. Economic Risk: The risk that the economy will decline, and the business will not have the income to repay the loan. 
As businesses experience a decline in income, they are forced to make cuts in order to stay afloat. This often includes cutting back on staff, which can lead to high unemployment rates. In turn, high unemployment rates can lead to social unrest, as people become desperate for work.

Economic risk can also lead to a decline in government revenue, as businesses are forced to pay less in taxes. This can result in cuts to government services, which can further add to the social unrest.

It is clear that economic risk can have far-reaching consequences. Businesses need to be aware of the risks and plan accordingly.

4. Industry Risk: The risk that the borrower's industry will decline, and they will not be able to repay the loan.

How does industry risk affect small businesses?

While industry risk is often thought of as affecting large businesses, it can also have a significant impact on small businesses. Small businesses generally have less diversification than large businesses, and therefore are more susceptible to industry-wide changes. A decline in the borrower's industry can lead to decreased revenues and profit margins, and ultimately inability to repay the loan.

What industries are most at risk for industry risk?

There are a number of industries that are particularly susceptible to industry risk. These include commodities, construction, and retail. Commodities are subject to price fluctuations, which can lead to declines in demand and revenue. Construction is susceptible to changes in the business cycle, as demand for new construction declines during economic downturns. Retail is also susceptible to economic changes, as consumers may cut back on spending during tough economic times.

5. Geographic Risk: The risk that the business's geographic area will decline, and they will not be able to repay the loan.

The decline of a business's geographic area can not only put them at risk of not being able to repay their loan, but also at risk of having to close their doors for good. This is especially true for small businesses who may not have the same resources or financial cushion to fall back on as their larger counterparts. When the area around a business starts to decline, it can be a domino effect of sorts, with customers no longer coming in and spending their money, leading to a decrease in revenue, which can then lead to issues with being able to pay bills and ultimately having to close up shop. While there are always risks associated with owning a business, the decline of a businesses' geographic area is definitely one of the more significant ones that should be taken into consideration.

6. Political Risk: The risk that the business's country will experience political instability and they will not be able to repay the loan. There are two types of political risks- country risk and sovereign risk. Country risk is the risk that the business's country will experience political instability and they will not be able to repay the loan. Sovereign risk is the risk that the government will not honor its debt obligations.

Oftentimes, political and economic risks are correlated. For example, if a country is experiencing political instability, it is likely that the economy will also be weak.

When making a loan, lenders must carefully consider all of these risks before deciding whether or not to extend credit. If the risks are too high, the lender may refuse to make the loan. Otherwise, the lender may charge a higher interest rate to offset the risks.
]]>Fri, 18 Nov 2022 01:30:45 -0800<![CDATA[Financial statements—what they are and why you need them]]>https://lololol.zohosites.com/thoughts/post/Financial-statements—what-they-are-and-why-you-need-them

Learn the Facts About Business Financial Statements

Business requires a basic understanding of financial statements.  The purpose of business financial statements is to provide information about the financial condition and results for an organization.  Financial statements provide information about an organization’s assets, liabilities, income and or retained earnings.

Income Statement (also known and Profit & Loss Statement)

The income statement is one of the most important, as it provides a snapshot of a company's profitability. In this post, we'll take a closer look at what an income statement is, and how it can be used to assess a business's performance.


An income statement, also known as a profit and loss statement, is a financial document that outlines a company's revenues, expenses, and profits over a specific period of time. This information is used to assess a business's financial health and performance.

The income statement can be used to assess a number of different things, such as a company's ability to generate revenue, its operating costs, and its overall profitability.


Additionally, it can be used to compare a company's financial performance over time, or to compare it against other businesses in its industry.

When reading an income statement, it's important to keep in mind that there are a few different ways to measure profitability. The most common metric is net income, which is measured as revenues minus expenses. However, there are other measures of profitability, such as gross margin and operating margin, which can provide additional insights. No matter how you choose to assess it, the income statement is an essential tool for understanding a company's financial health. 


By understanding what an income statement is and how it can be used, you'll be better equipped to make informed decisions about your business.

Balance Sheet

The balance sheet is another financial statement that business owners need to be aware of. The balance sheet provides a snapshot of a company's assets, liabilities, and equity. This information is used to assess a company's financial position.


The balance sheet can be used to assess a number of different things, such as a company's liquidity, its debt-to-equity ratio, and its working capital. Additionally, the balance sheet can be used to compare a company's financial position against other businesses in its industry. By understanding what a balance sheet is and how it can be used, you'll be better equipped to make informed decisions about your business.


In order to make informed decisions about your business, it's important to understand the different types of financial statements. These statements can provide valuable insights into a company's profitability, operating costs, and overall financial health. 


By understanding what each statement is and how it can be used, you'll be better equipped to make informed decisions about your business.

Cash Flow Statement

A cash flow statement is one of the most important financial statements for a business. A cash flow statement tracks all the money flowing in and out of a business. This is important because it allows business owners to see whether they are making or losing money.


There are three types of cash flow:

  • operating,
  • investing, and
  • financing.

Operating cash flow is the most important, because it shows whether a business is generating enough cash to pay for its day-to-day expenses.

Investing cash flow is important for businesses that are looking to grow, because it shows how much money is being reinvested back into the business.

Financing cash flow is important for businesses that have debt, because it shows how much money is being used to pay off debts.

Why are business financial statements important to understand?

Financial statements are important to understand for a variety of reasons. 


Firstly, they provide insights into a company's overall financial health. This is important for both shareholders and creditors, as it gives them an indication of whether or not the company is a good investment. 


Secondly, financial statements can be used to identify trends and make predictions about a company's future performance. This is important for managers, as it allows them to make informed decisions about where to allocate resources. 


Finally, financial statements are also a useful tool for tax purposes. They can be used to calculate a company's tax liability and to determine whether or not it is eligible for certain tax breaks.

Business Lending: How to banks use financial statements for business credit assessment?

Banks use financial statements to get a clear picture of a business's financial health. This information helps them determine whether or not a business is a good candidate for a loan.


The first step in credit assessment is to examine the business's balance sheet. This document provides a snapshot of the business's assets, liabilities, and equity. The goal is to identify any red flags that could indicate financial problems.


Next, banks will look at the business's income statement. This document shows how much revenue the business has generated and what expenses it has incurred. This information helps banks determine if the business is generating enough cash to repay a loan.


Finally, banks will review the business's cash flow statement. This document shows how much cash the business has on hand and how it is being used. This information helps banks determine if the business has the financial resources to repay a loan.


By carefully reviewing a business's financial statements, banks can get a clear picture of the business's financial health. This information helps them determine whether or not a business is a good candidate for a business loan, business overdraft, revolving credit facility, term loan or commercial mortgage.

]]>Tue, 08 Nov 2022 22:07:45 -0800<![CDATA[How to Secure a Loan that Fits Your Business Needs]]>https://lololol.zohosites.com/thoughts/post/How-to-Secure-a-Loan-that-Fits-Your-Business-Needs

Building A Business Takes Money.

Banks, credit unions and other financial institutions offer a variety of business loans and financing options to help you expand your company. If you are looking for a loan or line of credit, but don't know where to start the process, then it's time to learn more about what is available. Understanding the different types of business loans can help you determine which ones are best for your situation.


What is a business loan and how does it work?

Business loans are provided by creditors/ banks and repaid by borrowers, with interest over a set period.

An example of creditors or banks are:

·  Traditional banks like Barclays, HSBC, Lloyds, Metro Bank and

·  Alternative challenger lenders like Funding Circle, Iwoka, Fleximize, and the like)


Some lenders will charge you an early repayment fee if you pay off your loan before the end of it, so always be sure to read the terms and conditions of your loan.

You can get an unsecured business loan, which means you won't have to put up your house/car/or other assets as collateral.

Business credit cards and bridging loans are also good options


What does it take to get a business loan?

Applications for business loans are made easier with the variety of lenders on the market today along with improvements to technology. If you have a need for more capital, alternative lenders are an option. Government loan schemes are also available.

How eligible and what criteria do I need to meet to take out a business loan?

Because there are so many different business lending options on the market, you will likely have to fill out some paperwork if you’re hoping to obtain a loan. The type of paperwork you have to fill out will depend upon the exact loan provider you’re working with, but there are a few standard items that may need to be sent in.

1)  Filled and unabbreviated full trading accounts (latest 2-year period)

2)  Profit and Loss forecast where applicable

3)  Bank statements (at latest last least 6 months)

4)  Merchant Card Provider statements (where applicable at latest last least 6 - 12 months)

5)  Existing loan/ credit information

6)  Trading history

7)  Payment history (e.g., CCJs, late payments)

When you submit a business loan application to a lender, there are no hard-and-fast rules that they must follow. However, most businesses get approved because their businesses meet certain basic criteria that most lenders consider when reviewing loan applications.

Here are a few rules of thumb to bear in mind before you apply for a loan:

·  The loan amount is less than 25% of your annual turnover

·  Your business is profitable - positive net profit and growing trend

·  At least 1 year filled accounts (for most products)

·  No outstanding CCJs or late payments (for most products - merchant cash advance may be an exception)

·  Your business is based in the UK

Lenders typically won’t lend more than 20% of your annual turnover, and they’ll need to see enough revenue to show that you can afford it. If you’re not making much profit or making a loss, it can be difficult to get a loan, especially if you have little trading experience (less than 2 years).

Although it might seem like there aren’t any lenders left, we will be happy to show you that there still are many that can give you what you need.


A lender might accept commercial property, plant and machinery, vehicles, and stock as security for a secured business loan. To get this type of loan you must provide assets that the lender will be willing to accept.

Traditionally, guarantors need to be UK homeowners and demonstrate that they have a good personal net worth.


Business Loan Types

·  Business loans are a broad category referring to several types of loans.

·  Secured loans

·  Unsecured loans

·  Revolving credit facilities

·  Merchant cash advances

·  Structured debt

Whether you are an experienced business owner who wants to grow, or a small business start-up with great potential, it is important to get the funding your business needs to succeed. Getting the right business loan can help your business succeed. It gives you the opportunity to invest in your business and achieve your goals. You can use a loan to expand into new markets, open a second store or purchase additional equipment.

Our goal is to provide you, our customer with the best funding options to fulfil your business funding needs:


Are you looking to expand your business? Your business needs more capital, don't you agree? There are a lot of small business loans available to help you do that. Click here to apply now.

]]>Tue, 03 May 2022 22:15:00 -0800<![CDATA[3 ways invoice finance can help you grow your small business]]>https://lololol.zohosites.com/thoughts/post/3-ways-invoice-finance-can-help-you-grow-your-small-business

Invoice financing offers you immediate access to capital for your business.

Invoice financing can offer benefits beyond giving you working capital. It can also help you diversify your income, get a better handle on cash flow and better position yourself to take advantage of short-term opportunities. 3 examples of how invoice finance can help with your business finance or business funding:


1.  Improving cash flow Having cash flow problems?

Invoice financing can help you pay your suppliers immediately and ensure that you’re paid for all the products and services that you provide. Cash flow problems are a major issue for small businesses. Payment delays or non-payments can put your business in financial danger. To get the money you need to keep your business growing, invoice financing is a viable source.

2.  Working capital

Invoice financing can help you grow your business by increasing your working capital. You can use the money to invest in your company, whether it’s purchasing new equipment or making marketing investments to expand your customer base. Did you know that 80% of companies fail within 18 months? An invoice financing can help you grow your business by increasing your working capital. You can use the money to invest in your company, whether it’s purchasing new equipment or making marketing investments to expand your customer base.

3.  Solving growth problems

Business growth is great, but it also brings new challenges such as increased capital requirements for day-to-day operational costs etc


If you are struggling to get the funding you need to grow your business? We can see why. Banks won't lend to you and you don't have time to apply for every small business loan out there. We make is simple for you with just one call - 0203 2909019.

]]>Mon, 02 May 2022 05:16:00 -0800<![CDATA[Why is it difficult for small businesses to find money to grow?]]>https://lololol.zohosites.com/thoughts/post/Why-is-it-difficult-for-small-businesses-to-find-money-to-grow

How can small businesses find money to grow?

Some common funding sources for small businesses


When we refer to a "small business", we usually mean those with between one-and-five employees that have a turnover of less than £2.5m or an annual income between £100,000 and £500,000. It's also worth remembering that many small businesses are sole traders or partnerships without employees.

When you think about the types of business that fit into this category, you'll probably think of local shops, cafés, restaurants and so on – but the range is much wider than that. For example, many new businesses will start off as one-man bands or home businesses, and there's some really exciting stuff coming out of this area right now. New businesses such as online marketplaces like Etsy or food delivery services like Deliveroo are growing rapidly, which points to the wider category of digital business models being embraced by entrepreneurs with limited funding options.

One of the main reasons that it can be difficult for small businesses to find money to grow is that they often don't have much in the way of collateral. This can make it tough to get loans from banks, as lenders will typically want some kind of security before they're willing to give out a loan.

Another reason why small businesses might struggle to find funding is that they simply don't have the same track record as larger businesses. For example, a new business is unlikely to have the same level of revenue or profit as a more established company, which can make it harder to secure investment.

Finally, many small businesses operate in niche markets, which can limit their options when it comes to finding investors. For instance, if you're running a specialist retail business then there may not be many people who are willing to invest in your company due to its narrow focus.

One of the best ways for small businesses to find funding is through government grants. There are many different types of government grants available, and each one has its own eligibility requirements. However, the process of applying for a grant can be time-consuming and competitive.

Another option for small businesses is to raise money through crowdfunding platforms such as Kickstarter or Indiegogo. With crowdfunding, businesses can reach out to a large number of potential investors at once and get them to pledge money towards their project or product. The downside of this method is that it can be difficult to reach your fundraising goal, and you may not get funded if you don’t meet your target.

Finally, small businesses can also look into venture capital firms as a source of funding. Venture capitalists are willing to invest in high-risk projects in exchange for a percentage of ownership in the company. However, getting venture capital funding can be difficult as they typically only invest in companies that have the potential to generate a lot of revenue.


Grow your business with flexible business finance...

]]>Sat, 30 Apr 2022 03:14:00 -0800<![CDATA[How to identify the right investor and build a relationship]]>https://lololol.zohosites.com/thoughts/post/How-to-identify-the-right-investor-and-build-a-relationship

As an entrepreneur or SME owner, there are going to be times when you need cash fast in order to achieve your goals and help your business grow.

Because of this, business owners will often make the mistake of thinking that they can settle for any old investor, which couldn’t be further from the right course of action to take.

This is your business and you need to be sure that those who invest in it have your best interests at heart and understand the direction you are hoping to take your organisation in.

Read on for our tips about how to identify the right investor and build a relationship.


Look for someone that asks the right questions

When it comes to picking an appropriate investor, be sure to analyse the questions that they ask you during your initial meetings. You need to find someone that is interested in the complexities of your company and wants to help you achieve your goals.

A worthy investor will ask about current challenges that you are facing and will want to know how they can help you overcome them. They should also be interested in learning about the dynamics of your workforce and how you work together.


They should be interested in networking

A good investor doesn’t pigeonhole their clients, instead they look for ways that they can encourage collaboration and growth. They will do this by making introductions for you to other investors, customers and partners. 

This is a really important, especially if you are an entrepreneur just starting out and haven’t yet made many contacts within your sector. Finding an investor that is a good communicator could open a lot of doors for you in terms of new business ventures.


How we can help

We know that securing the right investor for your company can be a challenge, which is why we are committed to providing all of our customers with a tailored approach that understands and takes into account the complexities of their business.

We are extremely well connected with substantial privately owned investment companies and the fact that we spend so much time getting to know about your business means that we can always make worthwhile business connections.

Whether you are after a business loan, business overdraft or capital for expansion, get in touch with us here to find out how we can help your company flourish and recognise its full potential. 

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

Call Now +44 (0) 203 2909019

]]>Tue, 27 Feb 2018 19:10:00 -0800<![CDATA[The most influential UK-based SMEs at present ]]>https://lololol.zohosites.com/thoughts/post/The-most-influential-UK-based-SMEs-at-present



SMEs are the bread and butter of the UK economy, providing millions of people with jobs and services across a plethora of different sectors.

Accounting for 99.3% of all private sector businesses, it’s easy to see why SMEs are held in such high regard and are continuing to get the recognition that they rightly deserve.

The work that many UK-based SMEs are doing at present is inspiring, so read on for our round-up of some of the most influential examples of small businesses in Britain.

  

Talon

This forward-thinking media agency works with a variety of different partners to plan and manage successful projects and has scored a top place in the Best Companies Awards. Spreading across offices in both London and Manchester, the SME employs 84 members of staff and has an employee satisfaction rate of 84%, showing that they aren’t just getting the job done, they’re enjoying the work as well. Their main goal is to produce creative campaigns that challenge the traditional methods of advertising.

A campaign that they produced for PlayStation 4 saw the company light up London’s Oxo Tower with the gaming brand’s famous symbol, which is just one example of how they are working in an innovative way to raise the profile of household companies.


ThirdWay Interiors

Committed to rising above the poor practice that can be seen elsewhere within their industry, ThirdWay Interiors offer office design for commercial landlords and tenants with a focus on tailoring their services to meet the needs of each individual client.

The company employs 59 members of staff and is continually growing its payroll, demonstrating just how successful they really are. Their staff are reaping the rewards too, with 95% agreeing that they feel that they are personally contributing to the development of the firm.


Equilibrium Asset Management 

Personalised financial planning is what this company is famous for, and their thorough and diverse approach means that they are able to give each and every one of their clients confidence both now and in the future. Their head office is based in Cheshire, and perhaps one of the most inspiring things about this company is the way that they build a rapport and boost morale amongst staff. Every morning kicks off with a breakfast meeting, meaning that goals and plans can be discussed, while the office is locked every evening at 6 to ensure that no member of staff is working too late. 

Need to grow your SME? Check out our services here.

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

Call Now +44 (0) 203 2909019

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