Could a short-term loan help you overcome your cash flow challenges?

Date: 05/02/2019
Author: Spotcap
Company: Spotcap

The beginning of the new year brings new challenges for businesses in and around Greater Manchester. A higher than normal order intake requires businesses to bridge receivables, but can also mean that they spend beyond their means; if not managed with care, this can quickly turn into a cash flow tap.

Many businesses try to address their cash flow challenges too late which can put them in a dangerous situation. For example, if a business is unable to pay its staff or relevant bills on time, it is more likely to run into serious financial problems further down the line.

So when it comes to quickly bridging a cash flow gap, have you thought about taking out a short-term unsecured business loan?

Many short-term loan options, including invoice finance or asset-finance, require a security in some way, such as a commercial asset, a director’s or personal guarantee. There are some lenders, however, which offer completely unsecured short-term loans to established and profitable businesses, without the need for any collateral, not even a personal guarantee. This is all made possible thanks to the lenders’ comparably strict assessment criteria.

If you’re considering a completely unsecured loan, interest payments are likely to be higher than with asset-based lenders or a traditional bank loan. Something many business owners are happy to do, given that they don’t have to put an asset or their house on the line.

Spotcap is one of these few lenders, providing short-term business loans of up to £350k without the need for debentures or a personal guarantee. Due to Spotcap’s rigorous underwriting process you will receive a credit decision within one working day once your application has been completed. And with the help of our high-quality customer service team and a straightforward application platform, we enable business owners to focus on what matters.

For example, we recently provided a £100k short-term business loan to a diagnostic manufacturing company based in the Greater Manchester area. The profitable firm had been operating for eight years with a turnover of approximately £4.5 million. A late payment for a large order put the company in a tight spot. Due to our turnaround time of one working day and the swift access to the full loan amount, the business owner was able to quickly bridge the imminent cash flow gap.

Finding the right finance for your business can be an onerous task. Spotcap is here to help established businesses like yourself to focus on what matters. Feel free to contact our Business Relationship Manager Teddy Rahman on 020 3699 9958, tahidur.rahman@spotcap.co.uk, or find out more on https://www.spotcap.co.uk/