Funding options to help your business in the run up to Christmas

The run up to Christmas can be a challenging time for businesses as they look to increase their stock levels to prepare for an increase in sales in the run up to the festive period.

There are a wide range of short-term loan options for businesses to borrow money from 1 month to 5 years and agree a repayment plan which is the most manageable for the business.

For Businesses in the retail sector, you could take advantage of a Business Cash Advance where the lender will advance you an amount equal to two month’s card sales and you repay via an agreed percentage of your future sales.

If you have a significant supplier invoice to be paid, there are lenders out there now that will pay the invoice to the supplier on your behalf, and you repay them in monthly instalments from 3 to 12 months.

If you have a significant tax bill that needs paying, there are now options to help you spread the cost of the tax bill and retain that vital cash within the business.

Thinking ahead, December and January can be difficult months for many UK SME Businesses if your sales tend to decline towards the Christmas break. January too can be a very slow month of trade.

During the Christmas break many UK businesses will close for a week or more which can have a very big impact on a business’s cash flow as companies look to hold onto their cash over the festive period and delay payment of your invoices.

The effective use of Invoice Finance can help bridge the cash flow gap not only over the festive period but for any businesses that are suffering at any time of the year. You can choose to offer all your invoices to the lender, or simply select which invoices you would like funding against. Using these cash flow tools along with effective credit control will ensure that these periods are managed without feeling the pinch.

These are just a few of the options available, why not get in touch to see which finance products can help you to successfully manage your cash flow in the run up to the Christmas period and beyond.

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