What is a Cash Flow Loan?
Cash flow loans are designed to help business owners manage short-term needs and reduce the financial impact of a poor cash month. This is becoming to be an increasingly prevalent problem and according to a recent Xero Small Business Insights report, the average small business is in negative cash flow for 4.5 months per year in the UK. It’s vital to stay financially secure and manage any short-term cash needs.
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Advantages of a cash flow loan
One of the main benefits of cash flow loans for small businesses is that they’re fast and flexible. Furthermore, they often have more lenient credit requirements, so even if your credit score isn't perfect, you might still be eligible. Because they’re usually smaller and taken over a shorter period of time, they’re usually easier and quicker to access (subject to approval).
How to manage cash flow
Actively managing your business operations and processes is a great way to manage your cash flow. During procurement, curate good supplier relationships that can lead to better terms and deals. As your business develops, don’t be afraid to: experiment with changing your prices; audit your inventory and remove low-selling products, and review your list of clients to see if any late-paying culprits are impacting your cash flow.
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What might you use a cash flow loan for?
Cash flow loans can be extremely versatile and can help you manage your day-to-day operations or even fund growth opportunities. Here are some common uses for cash flow loans:
Managing cash flow fluctuations: if your business has seasonal ups and downs, or you experience unexpected changes in revenue, a cash flow loan can help you cover expenses during those lean periods.
Covering payroll: sometimes, you might find yourself short on cash when it's time to pay your employees. A cash flow loan can help you cover payroll expenses and keep your team happy and motivated.
Purchasing inventory: if you need to stock up on inventory, especially for seasonal sales or to fulfill a large order, a cash flow loan can provide the funds you need to buy the products or materials without straining your budget.
Expanding or improving your business: a cash flow loan can give you the financial flexibility to invest in growth opportunities like opening a new location, launching a new product line, or upgrading your equipment.
Marketing and advertising: to attract new customers and boost your sales, you might need to invest in marketing and advertising campaigns. A cash flow loan can help you fund these initiatives without cutting into your operating budget.
Emergency expenses: sometimes, unexpected expenses pop up, like a broken piece of equipment or a sudden need for extra staff. A cash flow loan can help you cover these costs without derailing your budget.
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90% of applications
are approved
What Happens Now?
Fast, simple application process
1.Apply online in minutes
2.Approval
3.Receive your funds within days
4.Watch your business grow
Borrow from £1’000 to £1 million
Flexible repayments
No security or collateral required
Application information:
We do not need to carry out a credit check for you to receive your provisional quote. Once your application has been approved in principle and you have confirmed that you wish to proceed, a ‘soft search’ will be then be completed in line with responsible lending regulations. The search is not visible on your credit score. Also, you do not need to provide any security or collateral and we don’t even need to see any form of business plan. That’s why our unsecured business finance facility is flexible and fuss free!
Apply now for your unsecured business loan
Want to chat? Call us on: 0207 101 3880
We connect business to business by working in collaboration with our clients and partners.
Wedge.co.uk has been helping businesses since 1998 and is now part of the Alliance Business Group Ltd.
2nd Floor, 17 King Edwards Road, London, HA4 7AE 0207 101 3880
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