Non bank funding is a relatively new term in the UK. Business lending especially short term unsecured funding was until recently a thing of the past. Many UK small businesses at some point need a little help around cash flow or money for investment in equipment, refurbishment and so on.
If you’ve already approached your high street bank and had a negative response for funding, you are not alone. This has been the response for hundreds of thousands of businesses throughout the uk over the last decade.
There is however great news. News that is backed by George Osborne and the entire British government.
It’s called non bank funding
Business loans which are an alternative lending solution away from the high street banks. A Business Cash Advance is one of such loan products and is literally taking the UK small business space by storm.
Anyone who takes sales using a credit / debit card terminal otherwise known as a PDQ machine or merchant card terminal is able to borrow against future card sales. The positives around this product are enormous and easy to see.
If for example your business has a poor month on sales then you pay back less. If your sales are good then you will pay it back earlier. The reason is that it works in line with your cash flow.
The business cash advance is also unsecured, which means the loan amount is not secured against your property assets or any other personal or business asset.
It also doesn’t affect your cash sales, this part of your cashflow is unaffected with a business cash advance.