Using finance is a great way to grow your business through investment in the latest garment technology whilst preserving cash flow.
Even during the current pandemic, some businesses want to keep pushing and investing in the latest technology to improve output and diversify their offering.
The advantages of financing machinery and equipment
Financing, as opposed to outright purchase, allows your business to use the equipment to make a profit as it works for you. You wouldn’t pay your employee five years in advance, so why do the same with your equipment? This allows accurate budgeting and forecasts to stay in complete control with their fixed monthly payments.
Finance can help you invest with low initial outlay to provide a new service, speed up an existing one or buy another business to complement your existing one.
Since the pandemic, there has been an increase in machinery and equipment being purchased using finance. With the Government providing funding and grants to keep businesses going, it has prompted many companies to keep their hard-earned cash in the bank should the worst happen again.
During the lending process, funders will consider time trading, current performance and affordability alongside how the equipment will generate income for them so will want to understand how your business can demonstrate a return on investment (ROI). For start-ups, the criteria is a little stricter but as long as there is sufficient fall back in the people behind the business and they evidence a clear business case then the process is relatively straight forward.
Looking to the future
It is predicted that finance will be a main driving force in 2021. Suppliers need to make it easier for their customers to find a funding solution and businesses find it easier to justify their investment when they evidence ROI.
PMD Business Finance was established in 2010 and is one of the largest independent providers of business finance. Additional information is available here.
If you would like any more information, please contact Aimee Jones, marketing manager at PMD Business Finance, on:
Telephone: 07719 527471
About PMD Business Finance:
PMD Business Finance is one of the largest independent providers of business finance. The team act fast and can deliver a range of flexible and competitive finance solutions to all types of businesses. Established in 2010 by Peter Dobson and his key management team, the company has grown significantly and is now lending over £100m each year to UK businesses. The company operates both directly with clients and through professional introductions and suppliers of business assets, providing a diverse and flexible range of business finance solutions, including: Asset Finance, Supplier Finance, Invoice Finance, Business Loans, Structured Finance and Merchant Cash Advance.
Whether you are considering acquiring business machinery, equipment and vehicles, refinancing existing assets, looking for loans to expand or cash flow solutions, PMD can assist you.