Alternative funding a vital lifeline for businesses in the coming months.
As the Government loan schemes supporting businesses during Covid-19 gradually come to an end, many borrowers now face sizeable repayments, and with the economy still recovering, securing some additional funding could prove a vital lifeline for businesses in the coming months.
Companies in the UK face an increasingly uncertain future, with rising inflation and slowing growth leading to weakening consumer confidence. More than 2,000 businesses could face significant repayments in the coming months, according to Close Brothers Asset Finance. With the small-business funding gap expected to reach £7.6bn, many businesses are facing an uncertain future, with no way of securing extra capital when they need it most. The UK government has announced plans to invest £10m in a new “Business Finance Partnership”, but more needs to be done.
To find out more about business finance, visit us at www.giccapital.co.uk - Businesses which have taken advantage of government loan schemes to support their growth during what has been a challenging time, now face the prospect of sizeable repayments due.
Businesses with outstanding loans should ensure they are able to repay them, or seek alternative funding. If you're struggling with regular debt repayments, then contact your lender immediately and seek alternative funding. If you have a business loan from one of the big banks, consider approaching a broker or independent bank for help. If you're using small business finance to start a new venture, review your cash flow projections so you can better manage your repayments. If your business is in need of finance then you should also consider approaching an alternative lender.
Before applying for a loan, make sure to review your cash flow projections so you can better manage any repayments. To apply for a loan you will need to gather the relevant documents along with your business plan. Without this information, it will be hard to gain approval if you are short on collateral.
What documents do I need to apply for a loan? To apply for a business loan, you’ll need the following information:
- Bank statement: You’ll need your business bank statements for the past six months.
- At least one years full and filled unabbreviated accounts
- A list of all existing debt, lender, balance and monthly repayments where applicable
- etc