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Why Business Cash Advances in the UK may work for you

If you need a short-term capital boost, business cash advances for the UK may well be the answer you’re looking for. Here’s why. Every now and again a time comes when your business needs an injection of capital. It may be because you want to invest and drive the business forward. Sadly it may be something less pleasant such as a cashflow crisis. Either way, you may find yourself in need of a capital boost to ensure your business moves forward, but where can you find one?

With banks increasingly reluctant to lend, business cash advances in the UK may be the perfect solution.

How do business cash advances work in the UK

Business Cash Advances in the UK

Business Cash Advances in the UK

Businesses face a number of pressures. An increasingly uncertain economic climate means many are operating on tight profit margins. Furthermore, banks continue to be reluctant to lend which means many firms may find themselves unable to access capital.

That could be an enormous problem if you need money in the short term. The solution could lie in alternative forms of finance such as a business cash advance.

Unlike bank loans, a bad credit score will not be a huge problem for the simple reason that this is not a loan. It is, as the name implies, an advance made against the future performance of your business. You will receive a lump sum. In return you will pay the provider a proportion of your future credit or debit card sales until the money is repaid.

The amount you can receive will depend on your previous sales. The business cash advance provider in the UK will use this data to calculate how much they would expect you to earn for the duration of the contract. You will then pay back a percentage of that revenue and an agreed fee.

Why use a business cash advance

The main attraction for businesses is the speed with which you can arrange a cash advance. In some cases, you may be able to get the cash you need within a few hours. In comparison it could take days or weeks to get a decision on a bank loan. There is less paperwork to manage, which also reduces the time you spend on administration and frees you up to work on growing your business.

It is also more accessible. Business cash advances typically have high approval ratings. A bad credit history, for example, will not be as much of a barrier as it would be for securing a loan. It is also more flexible. Because payments are structured as a percentage of your sales, you only pay back as much as you can afford. If business is not as good as you expect, for some reason, your monthly repayments will be lower.   

How to use it

You may use the cash advance in any way you wish. For some this is a chance to solve a short-term cash-flow crisis or cope with a large bill which needs to be paid. If money is tight, this could help you meet your obligations, manage your payroll and keep going until your money comes in.

Equally, some businesses may use it to invest in their future. The world of business is evolving rapidly and becoming more competitive. In many cases, you may face an unenviable choice between moving forward or facing oblivion.

For example, the rise of digital technology offers a host of opportunities to improve business performance. If you don’t adopt this technology, your competitors will, in which case they will be able to deliver services more quickly and cheaply. In the long run that could put the health of your business in jeopardy.

A lump sum will give you the capital you need to make this investment and ensure you keep pace with the competition. Cash advance loans are offered though a business credit card machine is relatively new type of business borrowing in the UK. Alternative finance has seen an explosion over the last five years.

Choosing the right merchant cash advances in the UK

When used in the right way, merchant cash advances can have enormous benefits for UK businesses. That said, it may not be for everyone. The contract will only be made on your revenue from credit or debit cards. It would be a particularly good idea if you’re a retailer taking card payments over the till. On the other hand, if you are paid in a different way, such as a bank transfer, this may not be the best option for you.

The fees can be quite high so it’s important to shop around. Make sure you understand all the costs you will be charged so you have a clear idea of how expensive the deal will be. Browse the market and spend time finding a provider offering the best terms for you and your situation.

As with anything, a merchant cash advance UK should be approached in the right way. You should weigh the costs against the benefits, research the market and make sure you have a clear plan for how you intend to use the money. If you have all that in place, this could be a crucial tool for the future of your business.

How do we get a cash advance for business

If you feel that a cash advance for business may help support your UK based business. It is so simple to raise business finance working capital with the cash advance. To apply for unsecured business funding of up-to £200,000 in a few days. Complete the online enquiry form to get started.

 

By | 2019-01-18T11:46:20+00:00 January 7th, 2019|Business Cash Advance UK|0 Comments

Five Ways a Merchant Cash Advance Could Help Your Restaurant.

With times getting tough in the restaurant trade, a merchant cash advance could help overcome a crisis and invest in the business. Life can be tough in the restaurant business. With wages stagnating, many people are reluctantly cutting back on dining out. However, the market shows no sign of becoming less competitive with more restaurants opening up all the time, which means there’s less business out there and more people trying to get it. 

As a result, many restaurants will find themselves struggling from time to time which is why a merchant cash advance can be crucial.

Difficult times for Restaurants in the UK

merchant cash advance restaurant

Merchant Cash Advances for Restaurants

The last year saw a 20% rise in restaurant failures as difficulties in the high street filtered through to the restaurant trade. With high profile campaigns like ” Dry January ” which encourages people not to drink alcohol it’s getting tough.  Previously the sector has remained curiously resilient to the recession with people still being determined to hold on to their little luxuries. Now, though, the sector is struggling and many restaurants are struggling to make end meet.

With money in short supply, restaurants are becoming vulnerable to temporary shortages in cash flow which could – in some cases – lead to business failure. They are also struggling to find the money to invest in innovations and promotions which could prove crucial to their future success.

To solve all those problems, they need an injection of cash and a merchant cash advance for restaurants looks like a good option.

Here are five ways it can help : 

  1. An alternative to bank loans

Accessing credit through a bank loan may be difficult for some restaurants, but a business cash advance for restaurants offers an attractive alternative. The provider will pay you a lump sum up front in return for a portion of your future revenue.

When deciding whether to work with you or not, the provider will look at your historic credit and debit card sales records and use those to extrapolate what they think you will receive in the future. You will then pay a portion of that revenue back until the sum is paid off. Because it is based only on credit and debit card revenue this makes it a particularly attractive option for restaurants.

A merchant cash advance for a restaurant tends to be easier to access. This is an advance, rather than a loan, so your credit rating will not matter as much as it would with a loan. The lender is advancing you the money based on your expected future business rather than your past payment records.

  1. Flexible repayments

A merchant cash advance is a flexible way to borrow money. Repayments are based on a percentage of future revenue from the business PDQ machine. If business is good, you will pay it off quickly. If not, you’ll be able to spread the payments over a longer period of time. It ensures that, whatever happens, payments are affordable.

  1. Overcoming a cashflow crisis

A cashflow crisis can happen to any restaurant business – even one which is successful – however it can be devastating. If you’re unable to make all your financial commitments, you may be forced out of business. If you can’t pay your staff on time, they will be likely to look for alternative work.

A cash advance can give you an injection of cash to ensure all those payment obligations are met, and that you can continue operating until money comes in.

  1. Investing in your business

The restaurant industry is highly competitive. The pressure is on to continue investing to ensure you stay ahead of the competition but finding the money can be difficult. This is a front-loaded proposition in which you’ll be investing substantial sums of money before you start to see the returns. A merchant cash advance for your restaurant can provide thousands of pounds to put into the company and keep moving forward.

  1. Making repairs

Damaged equipment can be debilitating for businesses, but if you don’t have the money to make repairs, problems can continue to mount up. Imagine, for example, that there is a problem with the lavatories, or crucial cooking equipment. It can harm your reputation and damage operations across the organisation.

A merchant cash advance can enable the restaurant to make all repairs, promptly and ensure your business continues to perform as it needs to.

Finding the right Restaurant cash advance provider

As with anything, there are many different Business Cash Advance UK and some will be better than others. You should shop around, work out what fees you’ll have to pay and what the true cost will be over the course of the deal. The cost can sometimes feel high, but whether you’re trying to overcome a short-term crisis or raise the money for an investment in your restaurant business, it can be immensely valuable.

Restaurant business funding 

Restaurant business funding has been hard to gain in the past due to the risk that is associated with the industry so the high street banks have failed to deliver on their promise to fund the high street. Alternative business funding firms like PDQ Funding have filled that gap! Cash Advances from £5,000 – £200,000 in a few days. No personal guarantees needed.

If your restaurant business needs funding simple complete the online enquiry. 

GET A QUOTE

By | 2019-01-10T15:28:09+00:00 January 7th, 2019|Merchant Cash Advance Restaurant|1 Comment

Bad Credit Business Loans and Where to Find Them

If your business suffers from bad credit, life can become very difficult indeed and bad credit business loans can be hard to come by. However, there are things you can do.  Living with a poor credit history – whether as a business or individual – can be difficult. Loans are out of reach and any forms of finance can be extremely expensive to access. However, there are things you can do and bad credit business loans maybe something in the past.

Understanding Poor Credit Score

Bad Credit Business Loans

Bad Credit Business Loans

The important thing to remember when understanding poor or a bad credit score is it will mean different things to different lenders. They will all have their own criteria of who they are willing to lend to. Poor credit lendersT base their decision on missed payments, county court judgements or other issues. Some will not be willing to work with anyone who has a less than exemplary record while others will be more forgiving. However, they will probably require you to pay a higher interest rate.

Before applying for a business loan, it can be a good idea to assess both your credit rating and the rating of your own business. This will give you an idea of where things stand and what loans you’ll be eligible for.

Credit ratings can also change over time. So, even if you have had problems in the past, your score might not be as bad as you think if you have behaved responsibly ever since. A prolonged period of good behaviour can repair your score over time.

However, if you do have bad credit, you’ll have to look at the loan alternatives.

If you are suffering from business debt contact the Business Debtline

Bad Credit Small Business Loans

Some lenders specifically set out to provide bad credit small business loans. Their entire business model is based around people who might otherwise have struggled to access capital. So, if your business has been refused credit elsewhere this can be an option.

However, they will be more expensive. The lower your credit rating, the greater the interest rates you will be required to pay. You may also have to put up an asset as security against a possible default. These loans, therefore, should only be taken out if you understand the full extent of the costs and have a clear plan to repay.

Bad credit start-up loans

If your individual credit history is poor it can be difficult to access a bad credit start-up loan. If this is the case there are things you can do to tip the scales back in your favour. Firstly, choose a provider whose lending criteria is a little more liberal. Again, the chances are you will have to pay a higher rate.

Written documentation such as business plans and clear financial projections will also bolster the lender’s confidence in you as will any specialist business knowledge.  If you have all these in order, it can make you appear significantly more attractive to a lender.

Although there are a number of lenders who specialise in offering start up loans to people with bad credit histories. The inescapable fact is that access to finance will be more difficult and more expensive. Even those willing to work with people whose credit histories are less than perfect will demand higher fees and offer less favourable credit terms.

Business Loans for Bad Credit UK

It very much depends on your circumstances and willingness to use differing forms of security to gain business loans for bad credit in the UK.  Businesses in the UK that are experience financial difficulties and looking to take up finance solutions to pay down the debt, their first port of call is their bank. Due to various reasons, the banks lending criteria they are no longer a friend of the small business. So when business owners arrive with with poor credit histories they are simply shown the door. Because of this, business owners have started using alternative lending methods like alternative lending methods from PDQ Funding.

A few more options!

The good news is that there are alternatives. A growing number of providers are moving into the market offering short term financing options for businesses which do not rely on your credit score to the same extent. PDQ Funding offer business cash advance no credit checks to businesses with poor credit scores.

A merchant cash advance, for example, can provide a lump sum based upon your credit and debit card receipts. The provider will use this information to make a projection about your likely future sales and make an appropriate offer. As such, this is not a loan in the conventional sense, it is an advance based upon the sales of your business, which means it does not rely on your credit score in the same way as a loan.

Invoice factoring, may not technically fit in the bad credit business loans category but will allow you to unlock the value of your unpaid invoices. They will advance a percentage of your invoice value – normally between 70% and 80% and take on responsibility for managing the invoice and chasing payments. Once they have been paid, they will return the remaining amount to you minus their fee.

They will take account of your credit score when deciding their fees. This is to cover their risk in the event that your invoice is unpaid, but it will not carry the same weight as a loan. That’s because they are not basing the risk on you as an individual so much as the chances of that invoice being paid.

This means that these offer an affordable and accessible short-term financing option regardless of your personal financial situation. It’s a great way to achieve favourable terms even without the best credit rating.

Interested, like to know more?

So, if you’re looking for bad credit business loans, don’t panic. Yes, it can be more difficult and, yes, the costs will be higher, but there are options available. You simply need to know what these alternatives are and how they can be used to help you achieve your business goals.

If you feel we can support your business, simply complete the online enquiry.

GET A QUOTE

By | 2019-01-01T11:41:55+00:00 December 25th, 2018|Bad Credit Business Loans|4 Comments

Merchant Cash Advance – How Can It Help Your Business Cash Flow

Running a business can be stressful with cash flow worries, but you might be able to take the pressure off with a merchant cash advance. Here’s why it can be great for your business.  It’s a much over used statistic that half of all start-ups will end up with business failure due to cash flow within their first two years. What receives slightly less attention is that many of those which fail will do so despite being relatively successful. Business is good, their product is selling and yet they still go to the wall. The unfortunate truth about business today is that a short-term cash flow crisis can kill even a robust business.

How Can It Help Business Cash Flow

Managing the finances of a business is always a fine balancing act. You must keep the money coming in and ensure you can meet all your financial obligations. The problems come if something interrupts your short-term planning for some reason. Take this example of a construction company which specialises in delivering large scale projects.

Each of these projects requires a significant amount of investment at the beginning but they only get paid at the end. If payment for one project is delayed, they could find themselves unable to cover their basic expenses.

This is the kind of scenario that keeps business owners awake at night, but there are ways around it. One of the simplest could be merchant cash advances. This is essentially a lump sum payment taken out on future credit and debit card sales. A provider will make a payment in return for a percentage of your future credit or debit card income.

The lender will take a look at your past credit card sales and use them to base their offer. This might typically focus on the average monthly sales volume. You can then hand over a percentage of your card sales every month until the final amount is paid off.

These business Business Cash Flow Loan are a perfect fit for businesses that use card payment terminals to take payment from customers.

Benefits which help your Business Cash Flow:

Business Cash Flow

Business Cash Flow

  • Overcoming short-term cashflow challenges: if you hit rocky financial waters, for any reason, this could provide a quick cash injection to ensure all urgent costs are met.
  • Make investments:If you lack the upfront capital for an investment in your business, this could give you the boost you need.
  • Reduce stress: As an entrepreneur, stress can have an enormous impact on your health and wellbeing. This can take the pressure off just a little bit, stop you worrying about bills and give you some breathing space to think about more profitable areas of your business.
  • Quick and easy: Applying is much quicker than most bank loans because there isn’t quite as much paperwork involved. Once approved payments can also be made quickly and could be in your account within a week.
  • Bad credit isn’t a problem: Cash advances work in a slightly different way to regular business loans. Because they are based on historic sales volume, they rely less on credit ratings. Many people who can’t access a business loan would be able to secure a merchant cash advance.
  • No impact on credit:There’s no impact on your credit rating in the way you might expect from a bank loan. That’s because this isn’t a loan in the conventional sense. You’re simply being advanced money on the basis of future sales.
  • Low risk:There’s no need to put up collateral such as your home or other assets.
  • Flexible repayments: Your repayments are based on a percentage of your sales. So, if your sales fall, so will your repayments. It’s a more flexible payment structure which fits in with your ability to repay.
  • No restrictions on use: You can use this lump sum payment in any way you want – whether it’s to buy infrastructure, pay bills or meet any other short-term obligation.

Merchant Cash Advance is a Perfect Fit

A merchant cash advance will be more suitable for some businesses than others. It’s likely to be most valuable if your business takes a sizeable amount of revenue through credit and debit card payments. Lenders base their decisions on this data rather than your total sales. If your revenue comes from another source, you might want to choose another options such as invoice finance or lending. 

However, this can be a relatively simple, way to inject some capital into your business. It can overcome any short-term emergencies and make life as a business owner a whole lot less stressful.

If you feel a merchant cash advance can support your business cash flow, please complete the online enquiry.

GET A QUOTE

 

By | 2019-01-05T23:06:02+00:00 December 24th, 2018|Business Cash Flow|0 Comments

Business Cash Advance from Liberis | My Liberis

Liberis describe themselves as the business friendly finance company. They believe in helping UK small businesses with unsecured funding. Liberis is one of the larger fintech business to enter the alternative business funding. As long as you’ve been business has been trading for over 4 months and take at least £2.5k in customer card transactions per month you can take out a Business Cash Advance. This is an unsecured cash advance of anything from £2.5k to £300k.

Cash Advances from Liberis UK

Liberis

Liberis Business Cash Advance

A Business Cash Advance UK comes with the following benefits :

  • Apply in minutes for £2,500 – £300,000 and get a decision in as little as 24 hours
  • You pay back only when you earn
  • Clear cost agreed upfront (no APR)
  • No hidden fees, charges or costs
  • No monthly penalties as there is no such thing as a late payment
  • Over 75% of businesses are approved for cash advances via our simple and hassle-free application
  • You can rest easy, knowing that we are supported by the UK Government

Liberis Business Finance

Business Cash Advances are an advance of cash based upon future credit and debit card sales. Repayments are only made via a pre-agreed percentage of your business card transactions. As payback is directly linked to card takings, you’ll only pay back your advance when your business earns. And unlike many other forms of business funding, company or personal assets aren’t required. There are no penalties or fees added, because there’s no such thing as late payment. A business cash advance is there to boost capital when you need it most.

Some finance providers it can take a while to hear if your loan application has been accepted.  With Liberis Business Finance there is no lengthy application process. If you are looking for a quick loan alternative they can often make a decision in principle for you on the phone. Providing all the information they need, you can have a final decision in as little as 24 hours.

The have found that over 80% of eligible customers renew their funding with them to continue supporting their business growth. The company also now offers a peace of mind guarantee. Should you change your mind within 14 days, you can hand the money back without incurring any costs. The compony operates an online portal for renewals and to check your repayment status called My Liberis.

Liberis Business Finance website

How do we get a Business Cash Advance

PDQ Funding are a leading introducer for Business Cash Advances in the UK. Our services are free of charge as Liberis pay us a commission. To get started the process is simple. Complete the online enquiry form and we will do the rest.

GET A QUOTE

 

 

By | 2018-12-27T23:16:18+00:00 December 20th, 2018|Liberis Business Cash Advance|1 Comment