Daniel Owen-Parr, national development director at specialist lender Together
Daniel Owen-Parr, national development director at specialist lender Together, explains when SMEs can benefit from using specialist finance
The use of alternative finance for SMEs has been becoming more mainstream for quite some time now. In fact, the country’s largest banks are now referring clients that they can’t help directly to alternative lenders under the Government’s new bank referral scheme, which is expected to fuel growth in Britain’s SMEs.
This scheme, which we’re proud to be a part of, highlights how attitudes are shifting. Previously many businesses thought the major high street banks were their only option when it came to accessing funding, but the bank referral scheme has raised awareness of how many other options exist.
At Together, we have over forty years experience in providing finance to suit a wide range of needs and often help businesses and entrepreneurs that require funding which may not fit with the more rigid criteria of the mainstream lenders.
To help you to understand how alternative finance could boost your business plans, here are the five most common reasons businesses use our specialist lending services:
To purchase property
Often we are able to provide finance in situations where mainstream lenders are unable to meet the necessary timescales. When a property purchase requires a quick completion, for example, we can provide fast and flexible funding.
To seize an investment opportunity
Likewise, whether businesses are looking to seize an investment opportunity, to purchase equipment or stock, extend operations, or to acquire retail or office space, our flexible approach means that we are able to work with businesses of all sizes and across multiple sectors in order to secure the funding they need.
To refinance existing debts
Refinancing existing debts can help small businesses by consolidating debts into one, making them easier to manage and enabling them to plan ahead.
Being able to refinance when necessary can also help businesses improve cash flow, whilst paying off creditors and maintaining relationships with key suppliers can be crucial in securing the reputation of the business.
To clear a tax bill
Although the business may have an intended outlook of how to structure its debt in the future, sometimes it can be difficult for businesses to forecast a shortfall. So when it comes to clearing a tax bill, more often than not, finance is required quickly and can be vital in maintaining operations.
To release equity
Another reason businesses may need to use a specialist lender is to release equity, which allows the client to raise money against the value of a residential property.
So, whether it’s a matter of short-term cash flow or businesses looking to expand, specialist lenders can act as a crucial facilitator. At Together we are able to deliver funds quickly and to work to tight timescales, which is one of the reasons why our network of financial advisors, accountants, solicitors and banks refer clients to us, knowing that we can offer quality service and a swift decision.
For more information visit www.togethermoney.com