The Different Options for Commercial Finance

Businesses don’t have it easy. It’s no simple task to set up a business, run it successfully and make plenty of profit immediately. It will take time, commitment, the right people, the right processes, the right service offering… and plenty of capital. Businesses don’t run on hard work alone; they need to be fuelled with enough capital to start up in the first place, and then to grow and flourish. A one-time cash injection probably won’t be enough for most businesses to succeed. The option of commercial business finance is a realistic and sensible option for lots of businesses. There are various commercial financial options you can take, meaning you have more capital so you can begin creating success through your business strategies.

With regards to commercial finance, there are various options you can choose. Once you have decided to go down this route and you are happy to explore the options, it will open up lots of doors for you. Sometimes, you might not be sure who to approach and where you can discuss your financial options. Talk to a financial adviser or a company set up specifically to advise businesses like yours. Lots of financial services are available for SMEs and start up businesses – you just need to know where to look.

These are some of the most common types of commercial finance you will come across:

  1. Commercial mortgages. Taking out this financial option will allow you to grow and expand your business in ways you might never have thought possible. A mortgage will allow you to purchase premises for your business, a step that means you can begin growing, taking on more staff and increasing your turnover. It’s not a decision to take lightly, so talking to finance experts can help. This will allow you to find the best mortgage providers for your business and ensure you are able to take on the financial commitment. Having your own premises is exciting and offer you lots of opportunity, but it is also a big commitment.
  2. Leased business finance. This is finance designed to help you purchase the lease on a business like a shop, pub or restaurant. It can be hard to track down financial options for leased businesses. Your best option might well be to speak to an adviser, who can put you in touch with appropriate lenders that you wouldn’t have been able to track down yourself.
  3. Raising working capital. If you need funding to continue your business, working capital options need to be explored. This might entail asset finance, invoice finance, a commercial loan, or perhaps a different approach like crowd funding. It’s not easy to know who to approach or where to find working capital options, but there are plenty of options if you explore it.
  4. Business startup finance. This will usually take the form of a new business loan, or perhaps startup investor funding. These options will give you capital to begin a business and ensure it has enough money behind it to succeed. If you don’t have adequate funding, it’s much harder to drive your business forward.