To raise enough capital to purchase a property to let out, in most cases, you will require a buy to let mortgage. As a secured finance solution buy to let mortgages are widely used by commercial landlords and property investors, allowing them to raise a large sum of money whilst renting the property concerned - a sound business investment. But an area that often causes confusion is the matter of deposits. Why do you have to pay a mortgage deposit? Paying a deposit, alongside the collateral in the form of the property, provides the mortgage lender with more certainty that you are committed to the transaction and intend to honour it. If you default on mortgage payments not only will...
When taking out a loan for your business, it is common to want to keep the associated costs as low as possible. Providers will always up-sell additional insurance and benefit, some of which you may not need. But others like loan protection cover should be seriously considered. What is loan protection cover? Business loans are usually secured against guarantors (owners, directors or other key individuals) within the business. In the result of their death, the loan would still need to be repaid. Would your business survive in this scenario? Many lenders request loan protection cover as a matter of course, as this type of insurance allows companies to repay outstanding loans if the worst were to happen to one of...
Business owners currently face unprecedented challenges in the wake of the Covid-19 restrictions, challenges that impact staff, business property and the ability to trade. Those companies that already had a business continuity plan in place are likely to weather this storm more effectively than those that were taken by surprise. A business continuity plan sets out procedures and actions that a business can follow in case of an emergency. This can be a flood, fire, cyber attack or, in this case, a global pandemic. It is rare to get advance notice of a disaster, so a robust and actionable business continuity plan to maintain business functions or resume them quickly is essential. These plans usually cover staff, business partners, assets...
Is your business ready to take the next step? Expanding your business could increase your revenue, but you just need an injection of cash to get the ball rolling. If so, many business and commercial finance options can help fund your business growth. This guide is for businesses looking to expand by increasing turnover, moving into new premises, buy new equipment or take advantage of a new business opportunity. Increasing your revenue with business finance Increased business turnover says a lot about your business. It suggests that your position in the market is improving and that you are doing more business with more clients. All this makes you far more attractive to new clients and business partners. In real trading...
Cash flow management is key to the success of your business. The business revenue on paper doesn’t always correspond to the real-world funds you have in the bank. For many different reasons, your business can find itself temporarily short of cash when things need paying. Cash flow refers to the money coming in and going out of your business and it is common for the two to not align. In many cases, this is a temporary problem but one that can cause long-lasting and long-term issues for the success of a small business. But there are several ways that you can prepare your business for this eventuality with some simple cash flow management preparation. These can work with or without...
