Why should I consider refinancing for my business?

Refinancing is likely to work for your business for many reasons and we will work hard to find you a lender who will be able to offer your business:

• A flexible means of borrowing – Refinancing offers the option of raising cash against one or two assets, or with larger amounts (perhaps where a fleet of vehicles is involved) a line of credit which can be used as a revolving facility. The maximum amount of cash your lender is willing to allow you at any one time will be agreed upon and secured against the value of your asset(s). You can borrow and repay cash from your credit fund up to its limit within the terms agreed by your lender.
• Instant capital to fund growth and change – Refinancing assets of your business is a fast way to release cash to fund growth and purchases; it can even be used as part of a financing package to fund mergers and acquisitions. Once approved, your line of credit will be set up straight away and you will be able to access the cash which has been released.
• A flexible solution – A variety of funding products are available, either on or off balance sheet, at fixed or variable rates. Interest rates, amounts available and repayment terms would be dependent on a number of factors, including the value of the assets and their perceived remaining useful life as well as your businesses financial statements and projections.
• A cost effective solution – Refinancing is a cost effective means of generating cash and it provides you with the ability to spread repayments to maximise affordability.
• The freedom to continue trading as usual – Refinancing will not affect the use of your business’ assets, the ones you have refinanced and the ones you haven’t, and you can continue to use them in the same way as you did before.

Are there any risks associated with refinancing?

• Can’t afford repayments? Assets may be seized – Your lender takes security against the asset it is lending you. If you cannot afford to make repayments or are repeatedly not paying, then your lender is likely to seize the asset to repay the outstanding balanced owed to them.
• It can help some businesses that are struggling, but it is not a solution to insolvency – If you are struggling with cash but have a high value of assets on your balance sheet, refinancing can be an extremely useful tool to get back on track. However, if your underlying business is insolvent, struggling to pay debts and cannot see your situation improving, refinancing assets is unlikely to help. If you are facing this situation contact us as soon as possible to discuss alternative options to preserve your business.
• Look after your assets or they’ll lose value – You should not only look after your assets so you get years of use out of them, but because the better condition they are in, the more they are likely to be worth.

Why choose us?

If cash flow is a bit tight and your business is cash low but asset rich, refinancing could be the solution you need to release some funds. It allows you to release cash which is tied up in your assets. Refinancing doesn’t affect the usage of any equipment in the agreement and you can carry on using any equipment as normal. Any money borrowed in a refinancing agreement can be paid back in monthly instalments and is an option that enables you to raise finance without selling any assets.

With strong relationships developed amongst the top UK funders and years of experience in the market, we are in a fantastic position to help you secure the best refinancing deal. WF Financial solutions get access to preferential rates and we will be able to help guide you through, what can be a confusing time.