It is normally difficult for a business to admit financial difficulties, but in the midst of the global credit crunch even healthy firms are finding the economic problems passing on to them.
As the impact spreads, many Banks are moving away from the riskier unsecured lending, like overdraft facilities and moving toward more secure finance facilities like Invoice Factoring.
However, our corporate advisor’s have assured us there is no need to panic, as even the healthiest businesses will feel the strain of the worldwide economic troubles in securing or renewing finance facilities in the coming year and this should not be taken personally, however, it is important to plan for this eventuality.
Whereas the credit crunch began with mortgages and made it tougher and more costly to borrow money to buy a home, now the same problem has extended to the corporate sector.
Whilst unsecured lending options remain restricted, finance directors are going to have to discover new, inventive ways to keep their companies ticking over.
Cash flow within a business is essential and The Enable Corporate Finance team are more than prepared to educate and discuss alternative options that are available to businesses.
For further information on this topic please contact Phillip Evans direct 01623 812902 or follow some of the links to find out more.