Studio44 Introduces - Lending Made Simple
Whilst the government has announced a range of grant funding and deferred payment options for business, some businesses will need more rapid access to cash. In addition, businesses experiencing high demand or changes in cashflow may also need more immediate access to funds. Our friends at Lending Made Simple have worked with a large number of our clients on such solutions. Here is some more information, as well as some of their recent success stories and a selection of the products available:
The government have announced that they will be offering SMEs the Coronavirus Business Interruption Loan Scheme (CBILS and the British Business Bank have announced the partners which are predominantly high street banks and enterprise scheme companies of which we work with Lets Do Business (LDB).
The process will be very lengthy and the feedback from my clients is that they will not be in business long enough to cope, also this fund will still have to be guaranteed by the client 100%. The 80% guarantee from the government is for the banks which would only kick in once the normal recovery processes had not worked.
However, on a positive note, most of our funders still have an appetite to lend and here are some of the offers we got this week:
Online Sales: £150k Flexi Loan with no set up fees, they have 30 days to draw down, 3% per month, no penalty to pay off the loan and no more interest once they pay it back.
Property Developer: Revolving Cashflow Facility top up from £50k to £100k to help her with cashflow to pay rents and carry out refurbs. Cost was 3% set up fee and 0.075% per day only on what she uses.
Builder: £30,000 Business Loan at 8.9% over 3 years to help them as client did not pay for completed works.
Kitchen Fitters: £20k Revolving Cash Flow (as above)
Window Blinds company: £15k Revolving Cashflow for stock his order coming from China. His order to install time went from 8 weeks to 14 weeks.
Here are a few options available:
Revolving Cashflow Facility
• Term: 12 months
• Set up fee : 3% of fund amount
• Interest only on what you use: 0.075% per day, (75p per £1,000). No interest is payable on the balance
• No monthly admin fees
• Amount available from £10k to £500k
• Up to £85k unsecured and above £85k secured
• Must be a homeowner
Business Accelerator Loan:
• 3 month Holiday on repayment and interest rolled up to the end
• Set up fee: 3% of fund amount
• Interest only 1.75% per month for 12 months
• Amount available from £10k to £500k
• Up to £85k unsecured and above £85k secured
• Must be a homeownerFlexi Loan:
• 12 months facility
• No set up fees
• Rates from 2% per month
• Overpay or settled at any time
• Amount available from £1k to £200k
• Unsecured
Business Loans:
• 3 months to 60 months facility
• Rates subject to credit checks (normally between 6% and 20%)
• Amount available from £1k to £500k
• Unsecured
If you'd like a no obligation chat with one of the team at Lending Made Simple, do let us know, and we can set that up!
