Cash Flow Options for New Business
Start up costs and initially low revenues can put huge stress on the bank balance at a time when the focus needs to be on generating commercial activity.
This is why securing access to business finance and the careful control of cash is an absolute essential. It must always be central to an organisation’s strategic planning but is particularly important for a new business.
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New Business Funding Solutions
There are a number of alternative solutions to the challenge of finding business funding, including:
- Invoice Factoring – This gives access to business finance by unlocking cash tied up in the sales ledger. It has the added benefit of outsourcing credit control, freeing up precious resources to focus on business development.
- Personal Loans – Borrowing money from friends and family can be an inexpensive way of funding a business. But it can also bring difficulties because agreements are often verbal and lenders can vary their repayment terms at short notice.
- Asset Finance – A business making substantial capital investment in equipment can convert the purchase into a financing opportunity. This reduces the immediate cash flow impact and creates a predictable repayment pattern.
- Bank Overdraft – Arranged overdraft facilities can be the answer to short term cash flow pressures but the bank will be looking for some form of security and facilities can be withdrawn at short notice.
- Credit Cards – This is another way to access funds in the very short term but it can quickly become expensive if balances are not settled at the end of each month.
- Fixed Term Loans – Lenders will need assurance that loans will be repaid, usually in the form of security on assets.
Finding Funds With Touch Financial
We can provide you with free, independent advice about alternative sources of business funding. As the UK’s leading commercial finance broker we help customers to find the funds they need to grow and establish their businesses.
We work with a carefully selected panel of funders who offer a variety of finance products, and we may be able to get you access to exclusive rates and offers not available elsewhere.
Our service will not cost you anything because the fees are paid by the funders and we are structured in such a way that our experts are able to give you advice that is completely impartial and focused on giving you the best solutions.
We have helped thousand of UK organisations and we look to create long term relationships, so our success is linked to yours. If you want to discover answers to your commercial finance needs why not get in touch with us today?
How much cash could you release from unpaid invoices? Compare factoring quotes instantly online >>
Also in this section:
- Managing and Optimising Your Cash Flow
- The Importance of Cash Flow
- Cash Flow – Introduction to Cash Movements
- Cash Flow Management – The Value of Forecasting
- Tips To Improve Your Business Cash Flow
- Understanding Your Cash Flow Finance Options
- Spotting and Avoiding Cashflow Problems
Every month Touch Financial help businesses improve their cash flow with invoice finance. Request a quote to find out how much extra cash you could raise.
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