{"id":864,"date":"2019-07-12T10:23:48","date_gmt":"2019-07-12T10:23:48","guid":{"rendered":"https:\/\/swoopfunding.com\/ie\/?p=864"},"modified":"2024-04-15T12:21:13","modified_gmt":"2024-04-15T12:21:13","slug":"swoops-guide-to-small-business-loans","status":"publish","type":"blog","link":"https:\/\/swoopfunding.com\/ie\/blog\/swoops-guide-to-small-business-loans\/","title":{"rendered":"Swoop Guide to Small Business Loans"},"content":{"rendered":"\n

Debt Finance<\/strong> for small businesses<\/strong><\/p>\n\n\n\n

Debt Finance for business is simply the term used for different ways of borrowing money – or taking out a small business loan. Unlike equity<\/a>, debt does not involve relinquishing any share in ownership or control of your business.<\/p>\n\n\n\n

There are a huge variety of small business loan funding options available, and whatever stage of finance your business is at, our platform can match you. Options range from asset funding to invoice finance<\/a> to crowdfunding. We\u2019ve detailed some of the popular business debt options below, but register<\/a> for full access to all the alternative finance options available.<\/p>\n\n\n\n

For more information and to discuss your options for small business funding, either register or get in touch at hello@swoopfunding.com<\/a> and let the friendly Swoop experts walk you through your options \u2013 we\u2019ll ensure you\u2019re only put forward to the most appropriate providers.<\/p>\n\n\n\n

Click here to get registered<\/a><\/strong><\/p>\n\n\n\n

Invoice financing <\/strong><\/p>\n\n\n\n

What is Invoice Financing? <\/strong><\/p>\n\n\n\n

Invoice Financing allows you to borrow money against the amounts due from customers. Businesses pay a percentage of the invoice amount to the lender as a fee for borrowing the money.<\/p>\n\n\n\n

Banks have been successfully challenged in this space by alternative lenders over the last five years by a new breed of provider who offers; higher percentages, ability to extend the term, ability to be confidential, lower costs.

Invoice Financing can help with issues related to customers taking a long time to pay and difficulties obtaining other types of business credits. <\/p>\n\n\n\n

Understanding Invoice Financing<\/strong><\/p>\n\n\n\n

When businesses sell goods or services to large customers, they often do so on credit. This means that the customer does not have to pay immediately for the goods that they have purchased. The purchasing company is given an invoice that has the total amount due and the bill’s due date. However, offering credit to clients ties up funds that a business might otherwise use to invest or grow its operations. To finance slow-paying accounts receivable or to meet short-term liquidity, businesses may opt to finance their invoices.<\/p>\n\n\n\n

Invoice Financing is a form of short-term borrowing that is extended by a lender to its business customers based on unpaid invoices. Through Invoice Factoring, a company sells its accounts receivable to improve its working capital, which would provide the business with immediate funds that can be used to pay for company expenses.<\/p>\n\n\n\n

Discuss Invoice Finance for your small business, as well as other potential business funding options, by getting in touch<\/a><\/strong> with our team of experts or registering on our site.<\/p>\n\n\n\n

Click here to get registered<\/a><\/strong><\/p>\n\n\n\n

Supplier Finance<\/strong><\/p>\n\n\n\n

What is Supplier Finance?
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Supplier Finance plays an important role in improving the cash flow and operations of a company. Supplier Finance provides companies with credit to buy goods from their own suppliers. In turn, they can use these products to deliver larger orders or build inventory<\/p>\n\n\n\n


Unlike other types of financing, Supplier Financing expands the company\u2019s existing financial capabilities. This solution is used by manufacturing companies and product distributors. It can help them purchase raw materials and products on credit. Thus, enabling them to fulfil new purchase orders or build inventory.<\/p>\n\n\n\n

Supplier Financing is attractive because it is compatible with most other financing solutions that a company may have already in place, e.g. invoice factoring, business lines of credit or asset-based loans.<\/p>\n\n\n\n

Understanding Supplier Financing <\/strong><\/p>\n\n\n\n

The biggest advantages to Supplier Financing is that it\u2019s invisible to your clients and available on an \u201cas-needed\u201d basis. It\u2019s easy to implement and available to help finance all size of business including SMEs. <\/p>\n\n\n\n

It is important to keep in mind that Supplier Financing only covers the cost of buying products or raw materials, not labour or other costs. It can only help up to the amount that the company can be credit insured.<\/p>\n\n\n\n

Supplier Financing is available to businesses and SMEs that manufacture or distribute goods. The business will need to have operated for a minimum of three years, provide accurate financial statements and have product liability insurance.<\/p>\n\n\n\n

For a discussion on whether Supplier Finance would be suitable for your business, or to discuss other small business funding options, please get in touch<\/a><\/strong> with our team or register your business here.<\/p>\n\n\n\n

Click here to get registered<\/a><\/strong><\/p>\n\n\n\n

Order Finance<\/strong><\/p>\n\n\n\n

What is Order Finance <\/strong><\/p>\n\n\n\n

Order Financing or Purchase Order Financing (PO) is a funding option for businesses requiring cash to fulfil customer orders. In a small business cash flow is a major problem, and there is likely to be occasions when the cash is not readily available to deliver against an order. Turning the order down would mean a loss of revenue and impact in the business in other negative ways, for example, reputation.<\/p>\n\n\n\n

Simply put, Order Financing involves one company paying the supplier of another company for goods that have been ordered to fulfil the job for a customer. Basically put, Purchase Order Financing is an advance covering some, or all, of the order.<\/p>\n\n\n\n

Understanding Order Finance<\/strong><\/p>\n\n\n\n

It is quite easy for a small business to qualify for a Purchase Order Financing. The lender is interested in the creditworthiness of the client who created the purchase order. With a strong credit history, Purchase Order Financing is fairly straightforward to get.<\/p>\n\n\n\n

Unlike bank financing, lenders of Order Finance depends on the financial strength and of the company who has placed an order with a particular business, and not on the business itself. This makes it a viable funding option for new businesses and those with average credit ratings.<\/p>\n\n\n\n

To discuss whether Order Finance is a suitable funding option for your small business, register here, or contact<\/a> <\/strong>our team of experts.<\/p>\n\n\n\n

Click here to get registered<\/a><\/strong><\/p>\n\n\n\n

Asset Finance<\/strong><\/p>\n\n\n\n

What is Asset Finance<\/strong><\/p>\n\n\n\n

Simply put, Asset Finance is a type of business funding used to access the equipment, machinery and vehicles a company needs, without having to find the upfront costs. Businesses can also use Asset Finance to release cash that’s tied up in the value of their current assets – this is called Refinancing.<\/p>\n\n\n\n

Asset Finance is fairly straightforward in how it works. Simply put, the lender pays for the asset upfront so the business does not have to, and then the business pays a recurring fee for a set period of time to use the asset. The two most common types of Asset Finance are Hire Purchase and Lease Financing.<\/p>\n\n\n\n