Financial crises are not like your average recession or corporate fraud. They involve firms and people overborrowing, usually to speculate on shares or real estate. They turn legitimate economic booms into gluttonies of lazy assumptions, hucksterism, and recklessness. Because they’re based on debt, the loss of confidence in one specific area of trouble quickly reverberates. Presto, credit dries up for everybody. (more…)
When it comes to buying or selling a business, the most important question you need to ask is – how much is it worth?
There is no single formula that can be used to precisely value every private business. The seller will want to drive the price up, and potential buyers will want the opposite. (more…)
There are lots of things to think about if you’re considering taking out a business loan. The UK’s business lending market includes a wide range of providers offering subtly different types of business loans.
If your business needs to borrow money, here are some of the key considerations you need to bear in mind when deciding which business loan is best for you. (more…)
Fundraising for your business is rarely a walk in the park. It’s a tough process, regardless of the industry you’re in, it can take up vast amounts of time, and more often than not, ends in failure.
Communicating effectively with investors will really boost your chances of success, so we asked funding expert, John Auckland, to reveal which buttons you need to press to get investors onboard. (more…)
When you need to find business funding fast, what are your options and what are the quickest ways for you to secure more finance?
We talk you through the most viable fast funding options for SMEs who need finance in a hurry, and include practical tips on how to ensure your funding application goes as swiftly and smoothly as possible. (more…)
Look around at the world’s many unpredictable events and it could not be clearer that our political, and social, tectonic plates are shifting.
Fueled by the digital revolution of young technology adoptees who are now reaching adulthood, it is unsurprising that the connected generation is favouring the peer-to-peer model over outdated intermediaries. (more…)
One of the biggest obstacles to growth for start-up businesses is investment. Investors are often reluctant to commit their money to a new business with a promising idea but no track record of success.
Fortunately the Government lent a helping hand in 2012, and introduced the Seed Enterprise Investment Scheme (SEIS) to help smaller, riskier companies attract investors willing to take a punt on a bright idea becoming a successful business. (more…)
The Enterprise Investment Scheme (EIS) is designed to help smaller, risky businesses raise funding to fuel growth.
Early-stage businesses can find it difficult to secure investment, so the EIS was set up to encourage more investors to back fledgling businesses by offering generous tax-breaks.
To help you see whether the EIS could help you raise funding for your business, we asked award-winning chartered tax adviser, Jonathan Amponsah CTA FCCA to explain how it works. (more…)
A form of finance which is rapidly gaining popularity in the UK business market is bridging finance. Around £750 million was borrowed through the means of bridging in the year 2011, since then it has only gone up where in 2016, this number went up by £4 billion. (more…)
“Any time is a good time to start a company“, so said renowned American angel investor Ron Conway. That may be true, but how easy is it to find the necessary funding?
The answer largely depends on your understanding of how fundraising should be done. (more…)
While “entrepreneur” may occasionally be a euphemism for “out of work”, there are more and more individuals working in earnest to start a business of their own. Indeed, statistics show no fewer than 400 million such individuals globally, with over 2 million in the UK alone.
Most small businesses will, at some stage, seek funding or investment – for growth, starting up, or to see them through a transitional period (or a downturn). In this article, we look at the main sources of funding that are available.
Whilst mainstream finance is still great for some businesses, since the last recession, banks still have lending criteria that small businesses are unable to fulfill.
Fortunately, ‘alternative finance’ can offer a viable substitute for entrepreneurs looking for innovative and flexible ways to fund their business growth.
Borrowing money from a bank to finance your business is a lot harder than getting a loan to buy a new car or to improve your home.
Banks have a number of tough rules that you need to know before you approach them for a business loan, and these rules have become even more stringent as a result of the credit crunch. (more…)
If you are looking to start a new business, there is a good chance that you will need some funding to get it off the ground.
Most businesses will have start-up costs, whether it’s securing premises, stock, equipment or hiring people, and they will all need paying for, so what options are there to fund a new business? (more…)
One of the biggest challenges start-ups and fledgling businesses face is securing the funding they need to realise their potential.
If you need more finance to grow your business, there are a number of options to consider. You could turn to your own personal savings, ask family members for help, get a bank loan, issue shares, or speak to some business angels or venture capitalists. Or you could consider peer-to-peer (P2P) lending.
When people talk about ‘gearing’ in a business, they are usually referring to one of two types;
- Financial gearing
- Operational gearing
Here’s a guide to what gearing is, and how you can use it to increase the returns your business makes;
Looking for an investor to help fund your business? You’d better make sure they’re an angel, not a dragon!
Most businesses require outside investment at some point in their development. Whether you are a new business needing a cash injection to get started, or an established company looking to launch a new product or move into new markets, attracting investment will be essential to your venture’s success.