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What are my finance options now the has Recovery Loan Scheme ended?

The Government’s Recovery Loan scheme is due to end on the 30th of June 2022 after being extended by 6 months – originally due to end on the 31st of December 2021. The aim of the Recovery Loan was to support businesses recover from the effects from the Coronavirus pandemic and support them in getting them back on track. 

Even though the Recovery Loan Scheme has ended, there are still many different finance options available for business owners. Depending on what you’re planning on using the funds for and your business requirements, there are different types of finance available all with their own benefits.

Finance to Upgrade Equipment & Machinery

Your business may be looking to add another piece of machinery to increase your productivity or upgrade existing equipment that you may have had for a few years. 

For purchasing new assets, you can go down the asset finance route either- getting a lease finance or hire purchase agreement. Hire purchase will mean that you own the asset outright by the end of the agreement whilst leasing gives you some flexibility to replace or upgrade equipment. 
Alternatively, you could choose to get a business loan and use some of the funds to purchase new assets and then maybe use the rest on marketing, hiring new employees or as an injection of working capital.

Finance to support Cashflow

There will be times when your business will be faced with cashflow issues. The lack of cashflow can have a significant knock on effect on the business from paying payroll and suppliers to investing in opportunities. There are a few finance options to support your cashflow depending on what your needs.

Firstly, an Invoice Finance facility could be utilised if you’re waiting for invoices to be paid from your customers. Invoice finance is when you receive funds from a lender based on outstanding invoices therefore, you will have a healthier cashflow whilst you chase or wait on those outstanding payments. 

Another option you could go down is a Business Loan. This is when you receive a lump sum loan which you can use however you see fit: boost your cashflow, pay business expenses, invest in new employees, keep for emergencies etc. 

With business loans, you have the option to go down the secured or unsecured route.

Finance to Purchase another Business

One of the popular methods of growing your business is acquiring another company and to be able to do this, you will need to have the finances to do so. Once you have acquired the business, you will need to consider other factors such as rebranding costs, new premises and training.

Cashflow finance such as a business loan can be used to buy another business and will allow business owners or investors immediate access to funds that they need.

Finance to Purchase a new/move Commercial Premises  

If your business is looking to move premises or invest in owning your own premises, the most likely finance option would be a commercial mortgage or a bridging loan.

Depending on what your plans are, Amplo Mortgages & Financial Solutions or Amplo Commercial Finance will be able to assist you on finding a finance solution for your commercial premises.

In conclusion, with the Recovery Loan Scheme coming to an end, there is plenty of options for business owners who are looking for commercial finance. Using a broker like ourselves, we will be able to find you the finance solution from our panel of lenders to meet your business requirements.


Amplo Mortgages & Financial Solutions

Amplo Mortgages and Financial Solutions is our sister company who advises on residential mortgages, buy to lets, bridging loans, commercial finance as well as protection insurance.

Don’t hesitate to get in touch with them to discuss your requirements and find how they will be able to help.

01270 443510
amplomortgages.co.uk

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Speak to us about Commercial Finance Options

We can arrange a full suite of business and property finance and as a whole of market broker, our priority is finding a finance solution that meets your needs.

Get in touch with us today for a no-obligation discussion about your requirements and how we’ll be able to help.

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