Struggling to get business finance? There is an easily accessible ‘alternative’

Nick Smith, sales and marketing director of SME funder Reward Finance in Manchester and Leeds believes it is time to drop the ‘alternative’ tag as asset-backed business funders compete head to head with traditional lending.

There is no doubt that some people reading this article will have had a tussle at some time with their bank when trying to raise initial finance or wanting to inject additional cash into the business.

Many will have had to overcome more hurdles than Colin Jackson when applying for a loan or overdraft.

I’ve heard many a tale from companies who come to us about the frustration this can cause, especially when it is a successful business which just needs short-term funding to do even better.

It’s even more annoying when they’ve got the security to cover the risk.

However, there is still a nervousness within traditional banks which has remained since the credit crunch 10 years ago.

It is like a thick fog that hangs over the sector, which precludes them from seeing beyond the computer screen.

If it ever clears they may be able to see the fuller picture and the potential of a business and, who knows, they may possibly relax some of the more restrictive practices of the business.

I think we all know it could be many years before that will happen, if at all.

In the meantime, asset-backed business funders, like ourselves, have become increasingly popular, as companies turn to us for much needed cash.

And, we are now often the ‘first port of call’ for a growing number of companies.

That’s because there is now a great deal more understanding in the marketplace about the funding solutions we offer.

For example, the stigma that use to be attached to invoice finance has been removed as people realise that it does not make sense that a customer they have successfully supplied products or services to should hang on to their money, way beyond their credit terms, and starve them of the much-needed cash they need to grow or sustain the business.

Additionally, in today’s fast moving world, companies need to move quickly, especially when an unmissable deal comes along.

But banks are not renowned for their fast turnaround due, in no small part, to the hierarchy of decision making, leading to some finance deals taking weeks to be sanctioned, by which time it is too late.

The beauty about dealing with Reward is that we can turn around a deal within just a few days.

In fact, on some occasions, when everything is in place, money can be in the account within 24 hours.

Although we are relatively new to the North West, Reward Finance’s Manchester office is built on strong foundations.

The company was started in Leeds in 2011 by two extremely experienced funders, Dave Jones and Tom Flannery, who spotted the gap in the market.

Since then we have attracted some of the most respected and experienced funders to join the team. In the last year alone we have added 10 people, three of whom have joined the Manchester office.

Although we are growing quickly, the company continues to be successful as it operates in the same way today as it did at the start, which is to provide a highly responsive service to businesses of all sizes.

As soon as a company gets in touch they’ll have one point of contact who understands the objectives and takes responsibility for helping to meet them.

We also work with a major law firm to arrange the details of the finance quickly, simply and responsibly.

We see every client as unique and do all we can to provide the right finance, at the right time, on the right terms.

By giving a quick decision means plans can be actioned with confidence.

But it’s not just our introducers and brokers, on both sides of the Pennines, who have been impressed with this approach.

A year ago Foresight, a global independent infrastructure and private equity investment manager with over £2.5bn assets under management, invested £40m to double the amount of funds available for the company to lend to SMEs.

Such was the demand for our business finance, invoice finance plus and trade finance products that in July Foresight provided us with an additional £10m.

What’s more, Reward Finance now forms 75% of Mettle Investments, a financial services company which is quoted on the South African stock exchange.

If you are looking for business finance up to £2m, quickly, then come and speak to Reward, after all, what’s the alternative?

For further information about Reward Finance take a look at www.rewardfinancegroup.com or call 0161-214 7935.

You can also speak directly with one of our business development directors:

Clive Briggs – 07523 513355 clive.briggs@rewardcf.com

Mike Calvert – 07858 518562 mike.calvert@rewardcf.com

Russell Holt – 07825 327725 russell.holt@rewardcf.com