Debt

Startup funding sources – Bank loans

Startup funding sources – Bank loans

Do banks lend to startups any more? Probably not is the answer in the current climate. Since the financial crisis, most banks do not lend to startups nor to most businesses they would have before the crisis hit. However, there maybe the odd startup that’s got a business plan and sufficient…

Alternative funding sources for Business – Invoice Factoring

Alternative funding sources for Business – Invoice Factoring

Invoice factoring is a fast way to raise cash by ‘selling’ your invoices to a large factoring company for a fee and who then collect the debts from your customers. It’s different from invoice discounting since the whole credit control function is carried out by the factoring company. It is usually…

Can you make profits and still go bust?

Can you make profits and still go bust?

Yes, you can! Here are some scenarios where your business can be very profitable and still go bust. 1.  Growing too fast – a business can grow too fast and tie up cash in debtors and inventory, running out of cash to pay suppliers. 2.  Big deal sours – too much…