Even before Probuild went into administration many in the construction sector were under pressure with business owners seeking access to capital to manage cash flow challenges.
Cash Flow Challenges
Late payments or contractors going out of business and all the flow on effects will mean a difficult future for many.
For those seeking credit, know that many lenders are scaling back or removing support to the sector.
Avoid Your Business Loan Application Being Declined
To avoid being declined it’s important to know which lenders will welcome your application before committing.
Same Day Business Loans
Emergency same day funding provided within 24 hours has been a feature this last month and we’ve settled a number of non bank overdrafts for directors in different industries.
Strong businesses have gained access to low cost credit in addition to their bank facilities as operators diversify and broaden their finance support.
We’ve also seen an increase in enquiry for commercial property purchase and refinance.
Working Capital Solutions
Labour hire operators we’ve assisted have recognised an significant increase in trade and we’ve supported them with overdrafts and improved invoice finance facilities.
We strongly recommend reviewing your invoice finance facilities at this time as a key lender in the space has secured access to cheaper funding, which in turn, means better value finance for you.
If you’re using single debtor invoice finance please check your facilities – many business owners don’t understand the real cost of this kind of facility.
The worst we saw this month was a business owner who was effectively being charged an equivalent cost of 40% pa.
Trade Finance win for our client
When asked to compete on a Trade Finance quote this month we were able to secure our client a larger limit, with longer terms and half the rate on an offer they had sourced direct.
This was a great win allowing our client greater operating effectiveness and a significantly improved margin for their business.
Whatever your position, we wish you the best for March and look forward to assisting business this month in every way we can.
(All loans and loan features mentioned are to approved applicants only)