Small businesses use these short term loans for to cover unexpected losses as well. Perhaps you have increased expenses due to additional marketing efforts, new employees, or relocation of an office. Or the time has come for you to update, expand or renovate your current office space or product lines. Maybe the economy has led to you having an additional number of slow paying customers and you need to make up funds. It’s possible that some recent operating losses could have reduced or depleted your cash reserves. To put it simply, for just about any business looking for some quick financing, a working capital loan is definitely a great choice to consider.

Why Konnect?

At Konnect Financial, we arranged working capital loans for businesses within 2-3 hours.

Konnect Financial can help you if your business needs cash quickly and a working capital loan provides the best solution. A working capital loan with Konnect Financial offers more benefits than an overdraft from a bank and is most notably a much easier approval process. A working capital loan is an unsecured debt, which means it doesn’t require the collateral or security of a bank loan. The end result is you have a much better chance of getting approved. Our team includes financing professionals who specialize in working capital loans, merchant cash advances and flexible small business loans, so you can count on getting expert recommendations and customer service.

Fast Cash for Business Success

Konnect Financial offers working capital loans that are hassle-free and tailored to meet the specific needs of your business. Once you fill out and submit our one-page working capital loan application, we will arrange funding with a fast credit decision. Plus, Konnect Financial can provide your business with a working capital loan of up to £150,000 in as little as one day. For immediate funding and busy business owners like you, this is excellent news.

Once you receive your cash, you can use the money as you see fit for your business. Use the cash to renovate, purchase new equipment, increase your inventory or expand your operations. You can even use your working capital loan to consolidate high-interest debt or pay taxes.

Speed and Flexibility

One advantage of working capital financing is that most eligible companies can obtain short-term loans, including accounts receivable credit lines, inventory loans or bank lines of credit, in a short period of time. The loan amounts are typically a fraction of revenues and are tied to assets that quickly convert to cash. Working capital financing is generally flexible, with varying interest rates and repayment terms. This flexibility can help companies with seasonal or periodic fluctuations smooth out cash flow.

Short-Term Options

Accounts receivable credit lines and factoring, which occurs when your company sells its receivables to a third party at a discount, directly tie to your company's accounts receivables. As your company's revenues and associated receivables grow, the credit line increases so as you need more money, these working capital options make those funds available. These also provide a viable choice for smaller or newer companies without the operational history or balance sheet strength to qualify for a bank term loan or unsecured line of credit.

Medium-Term Options

Your company can also finance working capital with a term loan. Short-term working capital financing addresses cyclical needs throughout the fiscal year. Mid-term working capital financing provides the funds to purchase additional stock and generate the receivables that increase working capital. For companies with growth prospects over the next few years, this option provides access to a steady stream of capital to cover gaps created by growth-related expenses.

The post Why Working Capital Loan? appeared first on Konnect Financial.

A bridging loan is a short term loan. It’s a stop-gap or loan to tide you over till you can get a longer-term, more favourable arrangement set up.

Bridging loans are commonly used when the cash from the sale of an asset is expected, but won’t be available till after financing is needed for something else. When you sell your house, you might not receive the cash for a few weeks. You may have already completed on your new home and have to pay for this before you get the money from your sale. A bridging loan can cover the gap.

Usually more expensive than conventional loans, bridging loans normally charge a higher rate of interest and can have other costs associated with getting them set up. However, these instant business loans can be set up at relatively short notice. They can be very useful especially when perhaps there is the need for finance immediately, and alternative funding will take a bit longer to arrange.

Konnect Financial is pleased to bring this article to you explaining the benefits of bridging loans, check our bridging loan service here.

When you need a bridging loan trust Konnect Financial

When to use a bridging loan

Often a bridging loan is useful when purchasing property if you need to act fast in order not to miss out. For example, if you are purchasing land or property from foreclosure or the seller is in a hurry to sell.

In these cases, the bridging loan would be repaid on sale of the property and then refinanced with a conventional lender like a building society. This might also be when the credit-worthiness of the buyer improves, or maybe improvements to the property mean that it can be re-mortgaged to pay off the bridging loan. 

Used most often when financing property, a bridging loan might be used by developers who want to start work on a project while permission is being processed. This is risky, as there is no guarantee that the project will go ahead so the loan will be a high rate of interest, usually from a specialised lender that is prepared to take a gamble. Usually, once the necessary permission has been forthcoming, then the project will become eligible for loans from more conventional and cheaper lenders.

A homeowner who is buying a new house and wants to make a down payment based on the proceeds of the home that is being sold can take out a bridging loan. Equity can then be taken from the current home to be used for the purchase of the new place. There is an expectation that the sale will go through within a short time and the bridging loan repaid.

Commercial uses of bridging loans

Commercially, bridging loans can be useful as a stop-gap in a business when perhaps a partner decides to leave while another wants to continue running it. The loan might be then based on the value of the company’s premises until funds can be raised from other sources like a management buy-in.

Sometimes property can go at a discount if the purchaser can complete quickly. Often in auctions, completion needs to be within two to four weeks. This may not be enough time to set up long-term lending so that a bridging loan can buy that extra time needed.

The flexibility of bridging loans can be very attractive to businesses everywhere.

Corporate financiers use bridging loans for a number of purposes. Sometimes capital is needed for a company to keep going between successive private equity financings. A company that is in trouble might take out a bridging loan while it looks for an investor or someone to take it over. Sometimes a bridging loan might be needed as a final piece of debt financing to continue business in the period just before a public offering of shares or a takeover.

Though more commonly used for purchasing property and commercial finance reasons, bridging loans can also be used when you have any temporary problem with your cash-flow. Whether it’s to finance unexpected tax payments, upgrade your home or offices, to buy property to rent out or for holiday accommodation abroad. In fact they can come in handy for any of those big expenses like a new car or a holiday of a lifetime when you know you can pay off the loan in the not too distant future.

Expect higher interest charges

Bridging loan interest rates are usually higher than normal building society and bank rates for mortgages. Terms typically go up to 12 months, might be fixed to a predetermined time frame or can be open, with repayment usually required by a certain date.

Similar to a loan, it is short-term and non-standard but loans can come from a variety of sources. Whereas a bridging loan refers to the duration of the loan and is normally arranged through a bank that is in the business of making high-risk decisions and providing high-interest loans.

Bridging loans are most frequently used to purchase property but have a range of other possible uses too

Bridging loans are a source of quick business funding and easy to set up, but are a short term measure. More expensive, they are useful to bridge the gap between getting something more cost effective, but which usually takes longer to arrange.

About Konnect Financial

Konnect Financial are specialist business finance brokers serving mainly the SME market, click here to find out more about Bridging loans available.

We can often arrange finance within twenty-four hours. We appreciate that bridging loans are required to help with working capital needs of businesses, sometimes to finance stock for a large order before you receive payment or to pay an important creditor vital to your business. Talk to us, whatever your need for a bridging loan - we’re here to help and listen to your requirements.

The post What is a Bridging Loan? When is it Appropriate to Use Them? appeared first on Konnect Financial.

Rather than rely on computer generated credit-scoring techniques, Konnect Financial will individually analyse each application. This gives them an in-depth understanding of a business’s needs which allows them to match them with a suitable lender. Where banks issue refusal notices, this personalised approach offers Konnect Financial clients impressive approval rates.

Konnect Financial team says, “SME opportunities are thriving and it’s time for business owners to work smarter, not harder. Our 24 hour approved loans do just this, allowing entrepreneurs to secure cash in a matter of hours, not days.”

The UK is currently in the midst of an economic revival, and small businesses are fuelling the blaze. The Federation of Small Business recently reported that at the start of 2014 there were an estimated 5.2 million businesses in the UK which employed 25.2 million people and had a combined turnover of more than £3,500 billion. These figures are on the rise, with Citrix revealing that 33% of SMES have added employees since 2013. Growth is categorical and opportunities for expansion have never been more present.

While the SME boom is gaining momentum, some entrepreneurs are finding it hard to finance their businesses in the wake of the recession. Konnect Financial is giving these cash strapped industrialists a must leverage opportunity to secure small business loans within one day. The approval process eliminates the need for large business plans, detailed cash flows and proof of equity. Instead, it replaces it with a simple, easy and quick approach. With just a few key documents SME owners can secure funding for any purpose. Whether used to settle overdrafts, provide cash flow for business expansion or simply supporting new contracts, there’s no need to wait 10 days in a bank loan queue.

When it comes to tapping into market trends time is always of the essence. There is a huge amount of competition out there and SMEs that fail to respond ASAP will inevitably lose out to the competition. With access to small business loans from Konnect Financial, entrepreneurs can secure funding in just 24 hours. 

Time is money and Konnect Financial appreciates that every second is valuable to SME owners. That’s why the approval process is simple, straightforward and lighting fast.

To find out more about Konnect Financial, and inquire about applying for a business loan, go to: https://konnectfinancial.co.uk/

The post Konnect Financial Funds SME Business in Just 24 Hours appeared first on Konnect Financial.

Businesses require funds instantly. No one has time to wait for approval and disbursement for 1 week or even 2 days. People and businesses need instant decision. This also applies to lenders. Lenders who ask for lots of documents or have lengthy internal processes to approve them, lose their business. Time is critical.

At Konnect Financial, we approve loans within 1 day. In the majority of cases loans are approved within 3-4 hours. We don't like wasting our time or yours. There are few cases where we know businesses cannot get more funding, there is no point giving them false hopes so we are honest and up-front. 

To be able to get an instant business loan, you will have to meet certain conditions. If you run a well-established business with good turnover and profit, the loan will be approved in minutes. As the loan amount goes higher, sometimes you might need some security or personal guarantee for the loan.

Success Stories

£100k loan approved in 5 hours. The business needs funds for working capital and growth of the business. They had big orders but shortage of funds.  

£150k loan approved in 6 hours for a new start up business. The client had a few properties but no financial track record. We knew with experience how we can help his new start up business to support funds.

£60k loan approved for a commercial store which was declined by various lenders in the UK. The person was in instant need of funds to pay suppliers and consolidate existing debt.We approved the loan quickly and the business is growing every year.

Contact Konnect Financial for your instant requirement of funds. Quick approval, easy funding...

The post Instant Business Loans appeared first on Konnect Financial.

The customer had some adverse credit with CCJ's, however we still got it approved.

Another Success Story - a £50,000 loan approved for a business based in India, but whose Director was based in the Northern Ireland. Each application is different, each has a unique set of circumstances and a story to unlock.

What are you waiting for? Apply fast for a quick business working capital loan.

The post Business Working Capital Loan appeared first on Konnect Financial.

Yes, Konnect Financial can help sort out all your funding problems within 1 day.

Short term finance options

We know you need fast and quick and without lengthy forms. The funds for short term business can be used for any purposes. It could be home improvements or something related to their business such as securing a profitable opportunity or paying of a tax bill. You might not be able to borrow from your mortgage company because the property is in a mess or you just don’t qualify. You know that if you could get the cash you will repay them in the short term - This is where a bridging loan or short term asset loan can help.

What are you waiting for, Contact us to solve your problems.

The post Quick Short Term Business Loans appeared first on Konnect Financial.

When many business owners think of business loans, they think of a traditional 5-10 year term loan from their local bank.

In recent years, however, short term business loans have become an increasingly popular tool for business owners to quickly take advantage of opportunities and handle obstacles that may come their way.

For example, sometimes inventory is only available at a discount for a limited time, or marketing opportunities can be time sensitive. Sometimes, business owners just need breathing room while waiting for clients to pay. In these cases, getting a short term business loan is often a better option to taking a loan with multi-year repayment – If you turn your inventory in 3 months, you don’t still want to be paying for that inventory in 3 years.

And, short term financing typically has higher approval rates than long term bank loans.

Apply fast...

The post Business approval and funding within 1 day appeared first on Konnect Financial.