Recent client: Vehicle testing centre and a Covid loan

BusinessLoans.ie is celebrating another happy client. He got a loan under the Covid-19 Credit Guarantee Scheme. This gave him a low-rate and he didn’t have to sign a personal guarantee. In our initial call he had a concern over previous credit history. From the last recession he was still getting letters in relation to Bank of Scotland (Ireland) for an alleged unpaid debt and this had been a big stress in engaging with lenders. We were able to reassure him that we have helped many business owners with legacy issues. Of key importance to lenders we work with is current operation of the bank statements. It’s usually things like recent referral charges for unpaid standing orders & direct debits that are a big concern.

We were able to get the quote produced without any issues. Our client complimented us on the experience he had with us. In the past he had a personal relationship with his bank manager. If he needed finance he could sit down and speak with them. They understood his situation and he felt listened to. In recent years he could only get someone on the phone. It was a regional manager in a call centre who didn't know him and the person on the end of the phone changed often. He didn't feel heard and didn't want to deal with his bank anymore. But he said the experience he now got with us and the non-bank lender was more like it used to be. The lender and our team were readily available to discuss his situation and go through the loan agreement and answer any questions he had and he was happy.

Does your business need a loan? For fast finance quotes, get in touch today at hello@businessloans.ie or call 01 55 636 55.

Brexit & the Irish Company that got Asset Finance for a €1 Million Machine

Last year BusinessLoans.ie assisted with an asset finance deal for an Irish manufacturing company that was forward planning for Brexit. They are in the glass industry and their supplier for jumbo sheets of tempered glass was UK based. While the current situation meant they felt they were paying more than they should, the situation was manageable. However, they had identified that the pain of Brexit moved this machinery purchase from a want to a need.

The Issues

The specialist manufacturer was in China and the business had already made one stage payment of €200,000 for the machine out of working capital. They needed finance fast because another stage payment was falling due and their bank were not on board. If they made the next payment out of working capital it would have hurt their business. The risk was too much for their own bank to construct an asset finance deal with a Chinese specialist manufacturer when the asset was not yet in Ireland and hence no collateral they could rely on. Also, this company knew what it wanted and their machine was bespoke. It was being constructed to their specification with European parts. Any asset finance underwriting team has to consider, if they are left on the hook for this in the event the deal goes sour, how can they quantify the resale value & find a buyer? It seemed the pillar banks didn’t have the specialist asset finance teams able to find a solution while the business was already committed to this project.

The Solution

BusinessLoans.ie reached out to one of the best alternative asset finance lenders in Ireland to get feedback on a solution. They too felt a big level of risk in making stage payments on an expensive and unusual asset coming from China however, when they dug a little deeper they found that the business had significant assets already on their balance sheet & located in Ireland. They laid out a plan to use those assets as collateral to finance the stage payments. The business owner was confident in his relationship with the manufacturer and was comfortable with the level of risk in making the stage payments. Eventually the machine was finished, shipped and got to port in Ireland. Then the asset finance company was able to switch the collateral to the new machine at port and away from the machines the business already owned. The business had their machine and only had to worry about making their monthly payments going forward.

If you’re in the market for machinery, vehicles, equipment or any capital expenditure talk to us. There are currently some excellent solutions available to Irish businesses. You can benefit from low SBCI rates from the Credit Guarantee Scheme and get what you need to trade stronger through Brexit, the pandemic and whatever else 2021 beholds for the Irish economy. Call the BusinessLoans.ie team today on 01 55 636 55.

3 Fast Business Loans in Ireland for 2021

If you’re starting or running a business in Ireland right now we salute you. Irish business owners are being hammered by the Brexit mess & an awful pandemic. Yet, despite this, the majority of businesses have survived and some have even thrived. You will also see the news headlines about various supports. Some have went down like a lead balloon (the hospitality keep-your-receipt tax back one with a dismal take-up) whilst others faltered at first (SBCI money through the banks with a 5% drawdown of €2 billion made available) but now are starting to take off due to the SBCI enabling some of the more agile fintechs to get in on the act. So what does that mean for you weighing up options for where to get a quote? Well, generally you can expect a faster turnaround time (days not weeks), lower paperwork requirements & no conditions attached before you can access the funds.

Fast Loan Options

1. Simple Working Capital Loan. You can now get up to €250k in days at rates from 4.75% so long as you are turning over in excess of €100k, are profitable and pass a credit check based on a few simple documents (2 years accounts, 12 months bank statements and the tax clearance certificate.)

2. Invoice Finance & Trade Finance. The SBCI have allocated funds to a fintech who can release funding based on what you’re owed in your book of debtors. In some instances they can also finance your purchase orders. This keeps vital working capital within your business instead of being tied up while your goods are in transit and then whilst you’re waiting for your customers to pay you.

3. Asset Finance. A fintech has access to SBCI funds to help businesses get more assets. They have a track record of financing new, old & unusual assets from all over the world. If you have your eye on something to help your business grow you can benefit from a quick decision at a great rate.

BusinessLoans.ie is here for you 7 days to organise fast finance quotes. Talk to us on 01 55 636 55 now.

BusinessLoans.ie 2020 Review & 2021 Finance Forecast

The team at BusinessLoans.ie are happy 2020 is coming to an end and we look forward to 2021 with great hope. Now that Brexit is looking settled and vaccines will be administered in the coming months, most businesses can plan for the future once more. This also means that lenders will be more receptive to supporting Irish business.

The alternative lenders were open for business throughout the pandemic but were mostly supporting businesses who were continuing to trade. While the government did a great job in assigning capital to SMEs many business owners found the banks whose job it was to release the funds didn’t approve them; or they felt they were getting the “slow no” with decisions not forthcoming in a timely fashion. Ultimately it led to a small percentage of available funds getting drawn down. This in turn led to extensions of some government-backed lending schemes. BusinessLoans.ie were able to help a wide variety of businesses during this time; from retailers in need of cash flow to uniform suppliers pivoting from hotel trade to frontline workers.

Looking forward to 2021 the alternative lenders will be broadening their scope of industries they can support after the harsh level 5 lockdowns ease and the population gets vaccinated. In early 2021 working capital facilities, invoice finance, asset finance etc. will be business as usual and we look forward to getting your quotes organised. We’re available over the holiday period if you’re making your plans now. Send us a message or call us 7 days on 01 55 636 55.