British Business Bank launches new ‘Making business finance work for you’ Guide
The British Business Bank has launched a new guide aimed at smaller businesses to help them understand how different financial products can support them at all stages of their development.
The new guide, ‘Making business finance work for you’, available on the British Business Bank’s online Finance Hub, is designed to help businesses make informed choices about accessing the right type of finance and highlights the seven most common challenges businesses might face and the types of finance that could help to meet them:
- Starting a business – Starting a new business often requires capital – money that is used to help research a business idea, create a prototype product, or purchase equipment or machinery that a new business will use.
- Research and development – Research and development (R&D) is when a business develops innovative products, services, or processes.
- Importing and exporting goods and services – Businesses selling goods or services overseas face risks when it comes to cash flow and receiving payment from buyers.
- Protecting cash flow and working capital – Cash flow can be unpredictable with unforeseen costs, seasonal fluctuations, and wider economic challenges all impacting business growth.
- Debt consolidation – If a small business has multiple loans or lines of credit, they may decide to consolidate their debts into a single, more manageable loan.
- Purchasing a major asset – If a small business is looking to acquire another business or invest in a large asset, such as specialist plant or machinery, an injection of capital may be required.
- Scaling and growing a business – Whether it’s opening a new location, expanding product lines or increasing production capacity, growth requires capital.