The Covid-19 crisis has turned the world on its head, hitting people, businesses and our whole economy hard. But, being positive amid all the negativity, it may be a good time for businesses to be bold and build for the future with the market keen to get some sense of normality and get trading again.
The result is some very enticing deals, combined with equally attractive finance options.
Here’s a few pointers to answer some of the frequently asked questions we get from our customers:
What should I be investing in?
Replacing your business’s core capital equipment to increase efficiency, reduce maintenance or labour costs and increase margins.
Diversifying your business’s activities to generate additional income streams.
Why is now the right time to buy?
Suppliers and manufacturers are cutting margins and offering heavy discounts on equipment right now. They have got targets to hit and bills to pay too.
Investing in new capital equipment or vehicles can help to reduce service and maintenance costs and result in better efficiency.
Diversification may be needed as we face a changing landscape in the short term, and longer, due to the impacts of the coronavirus pandemic that are still being realised.
Is financing the right option?
Absolutely. The old phrase of ‘cash is king’ is certainly true, especially given the uncertainty of some trading ability in the near future.
We now have an extension until the end of November to get applications in for Coronavirus Business Interruption Loan Scheme (CBILS) facilities. This means facilities can be even cheaper with 12 months interest covered under the Government’s scheme (some even with no repayment at all for the first 12 months). What's more, if you have plans to invest in your business but feel now is too soon, you can still apply for a CBILS facility and defer drawing down the funds for up to 6 months.
Is financing cheap?
Uncertainty usually causes an increase in rates but, thanks to the Bank of England rate remaining so low plus an appetite from many commercial funders to lend, we are still able to access great rates for our clients.
Our lending panel , which also includes our own funding , still has an appetite to lend across most sectors, including construction, haulage, plant hire, engineering, manufacturing and more.
Add into the mix the CBILS scheme and it’s a great time for small and medium-sized enterprises (SMEs) to be investing in their business to get in the best position possible to kick on for the remainder of 2020 and into 2021.
Preserve Your Cash
The CBILs deadline has been extended to 30th November!