People are constantly being reminded to shop around for the best deals on their personal finances, but when was the last time you considered refinancing your business loans?
Whether you're looking to save money on your total repayment, cut down on monthly outgoings, or take up a completely different lending option altogether, refinancing can bring a wealth of advantages to your business.
At Capitalise, we work with a number of institutional lenders, including high street banks, alternative lenders and independent lenders. Capitalise makes it easy to find, compare and select lenders who are most likely to give you favourable terms and an offer.
Read on to learn more about some of the most popular reasons that businesses choose to refinance with Capitalise.
Any outstanding loan that you're repaying will need to be paid back with either interest or fees attached, and the better the rate you can negotiate, the cheaper the overall cost of the borrowing will be. If you originally took out a bad credit business loan, your credit score may have improved sufficiently to now access a more traditional lending option. Lower interest rates and fees could help to significantly reduce the time it will take for you to pay off your outstanding balance, reduce the monthly repayments, or both.
As you meet the peaks and troughs of the business world, your revenue is likely to increase and decrease accordingly and you may find that your existing repayment structure no longer suits your cash flow. Refinancing is a great option for businesses that wish to increase or decrease the length of their loans. Spread out your repayments over a longer period to reduce your monthly spending, or increase your repayments to get your loans paid off more quickly.
Investment is key to growth and whilst it's great to reduce your outstanding liabilities, extending your borrowing can provide the foundation on which to propel your business to the next level. When it comes to increasing your borrowing, refinancing can be a far more cost effective and efficient way of doing this rather than having several loans running at the same time. It's far easier to keep on top of one regular payment rather than trying to manage multiple loans across different lenders, plus you may get a better overall deal by consolidating your finances into one place.