What is flexible business finance?
posted by: Jason Hulott
Have you ever struggled with the seeming inflexibility of any business loan your bank may have offered you?
It might prove a long-winded process, involving all the checks mentioned in the Entrepreneur Handbook.
A fairly rigid atmosphere is created from the get-go, when you are summoned to an appointment with the bank manager to explain just why you need the loan and what business case you can make – by way of a detailed business plan and cash flow projections, for example.
You then wait while the bank considers your application, and, if your application is approved, details the strict schedule of repayments you must stick to once any loan is granted, and the severe reminders and prompt action taken if ever you miss a payment.
The flexible business finance we offer here at Cubefunder is everything that the bank is not.
Choose your loan
You may apply for any amount between £5,000 and £100,000 – depending, of course, on your needs, financial status and credit rating.
Once you have chosen the amount you want to borrow and the period over which the loan is to be repaid (between three and 12 months), we are generally able to give a decision in principle within just a minute or two. This gives you the flexibility of amending the borrowing terms or changing your mind altogether, without in any way affecting your credit history with a record of an application rejected.
Apply for your loan
With that particular degree of confidence and assurance, therefore, you may complete a formal application for the amount you want, from the lender you have chosen.
If your application is approved, we choose the most convenient and hassle-free way of getting your requested loan to you by transferring the funds electronically, directly to your company bank account.
Throughout the period of your loan, the same adviser is here at the end of a telephone to keep in touch with any questions or enquiries you may have.
To give just one example of just how flexible business finance may be, let’s take a scenario in which you may be having difficulties in meeting a particular monthly repayment instalment. Provided you keep in touch with us and let us know in good time, we are generally able to extend your repayment terms by that extra month – so, a 12-month loan is extended to 13 months, for instance – without your facing any further financial penalty.
You might find it difficult to have your bank or any other lender exhibiting the same degree of understanding and flexibility – but that’s because we are entrepreneurs just like you and recognise that circumstances beyond your immediate control may interfere with even the best-laid plans to maintain every month’s repayment on your business loan.
And that flexibility may work two ways also. If you are in a position to repay your loan ahead of the scheduled completion date, you may settle the outstanding amount with us straight away and face no financial penalty for making such early repayment of your loan.