Crowdfunding for UK Businesses
Their website is www.crowdfunder.co.uk
They word with Sole Traders and Limited companies, to raise millions of pounds with the power of the crowd. They work in four phases:
- Planning the project
- Creating the project
- Running the project
- Getting the funds
Go online to www.crowdfunder.co.uk and download their help sheets.
Funding Circle Business Loan
Through Funding Circle, you can be both a lender and a borrower.
Go to www.fundingcircle.co.uk/businesses/”How to get a business loan”. Complete your application, send copies of your bank statements along with a copy of your detailed statutory account and (if available) management accounts. You should get a decision within 2 days. If you need help, give them a call on 0800 048 2467.
The Start-Up PlannersThe Start-Up Planners
You can have a browse on their website which is:
www.thestartupplanners.co.uk
We would recommend all business start-ups, and those that are expanding to register with “The Start-Up Planners” for support. They can help with finance and investment and by supplying S.U.P.A experts to assist you with your business. If you require further information, give them a call on 01978 799 901.
Stock Finance Explained
Stock finance is a mechanism which releases working capital from stock such as finished goods or raw materials, which works by lenders purchasing stock from a seller on behalf of a buyer. Stock finance is different from invoice finance, and tends to be used as a 30-90 day revolving facility to enable access to cash as and when a business needs it.
Invoice Discounting: How to Unlock Working Capital from Your Sales Ledger
This is an invoice finance facility that allows business owners to leverage the value of their sales ledger.
When one sends out an invoice to ones customer, a proportion of the total among becomes available from the lender, thus providing an invaluable source of working capital.
In this instance, the business retains control over the administration of the sales ledger i.e. credit control.
Invoice Factoring: How Selling Your Invoices Can Improve Immediate Business Cash Flow
This is when a business sells its invoices to a third party and then the factoring company controls the sale ledger and collects the debt. Here the customer is aware that the debts have been factored. Whilst the business may offer a higher sum immediately, it loses control of the debt collection, and pays more for the privilege of factoring.
Property Development Finance
If you are a property developer, investor or landlord, there is a range of finance available to help you kick-start your next project. But even for experienced developers, the alternative lending market can feel large and complex – and on this page we will run through some of the things to think about so you can make the right property development finance choices.
Commercial Mortgages Explained
Commercial mortgages can be used to purchase commercial property like shops, offices and warehouses – almost anything that isnt private residential property. Broadly speaking, they work the same way as private mortgages, helping you spread the cost of a large purchase over time (generally a number of years).
The most straightforward commercial mortgages are taken out by existing businesses who want to buy their own premises, where the business already operates. A typical example could be a dentist who wants to buy the building where they practice – instead of paying large amounts of rent, they would prefer to own the property, but can’t afford to pay for it outright.
If you don’t want to contribute cash yourself, its sometimes possible to secure 100% of the finance using additional security – but you’ll need to have favourable circumstances, like a solid trading record and a history of operating from the same premises. While it’s easier to secure a commercial mortgage as an existing business, it is possible to get one for a start-up too – although it’s challenging because there’s more risk for the lender.
Commercial Mortgages vs Buy-to-Let Mortgages
Another situation where a commercial mortgage might be suitable is when a landlord with a large property portfolio wants to buy more properties – by combining multiple properties into one mortgage, it’s possible to cut arrangement fees and take advantage of economies of scale, as well as having one point of contact with one provider.
Auction Finance for Property Buyers
Auctions can be a quick way to get a property at a discounted price, and there are lenders who specialise in auction finance. Once you’ve made a winning bid, auction houses usually require the funds within 28 days, which means you have to move fast to secure funding.
Finding a lender who specialises in auction finance means you can get the money much quicker than the norm, so it’s the best route to take if you’re thinking about property auctions. It’s sometimes even possible to get the cash within a week.
There are also lenders who will give you finance before you attend an auction, so you can arrive prepared with an ‘agreement in principle’ – this type of arrangement can be particularly useful for experienced and established developers. But even in more challenging cases where finances aren’t in place, it is occasionally possible to get funding for enthusiastic first-timers who have bought property at auction with only enough to cover the deposit.
Business Grants Available in the UK
One way to find grants is to register with Grants Online at www.grantonline.org.uk. This will inform you of all the grants available in your area.
Local Charity Grants for Businesses
In many areas of the country Local Charities will give grants to projects that improve the environment or help others. These grants are available to businesses. Register with www.grants-searchturn2us.org.uk or www.grantsonline.org.uk
