Financing and grant funding after lockdown
Whilst businesses are now gradually moving back toward full reopening, albeit with government imposed restrictions and guidelines likely limiting overall capacity, some management teams are finding that new opportunities lie in wait for them, as well as the rebound impact of pent up demand.
Fortunately for some, this means that expansion appears a viable outcome albeit with a balanced eye upon longer term implications of recent (and potentially future) lockdown.
For those who are confident of their fortunes and intent on pursuing a growth plan, the next conundrum lies in the financing of such a strategy. Prudent planning is likely to necessitate a meticulous forecasting of cashflow to ensure the affordability of the growth, whilst also gauging cash headroom across the growth plan.
Financing in the current climate is no mean feat, with mainstream banks seemingly reluctant to entertain new business opportunities and some alternative lenders retrenching. Some funders do remain open for business and, for those with a thorough and robust plan supplemented by detailed cashflow forecasting, financing options do remain available.
Beyond that and for those intent upon a capital expenditure programme and recruitment initiative, grant funding could also become an option. Local authorities around the UK are keen to support businesses with such objectives and, depending on the location and size of the business in question, toward half of the investment cost can be complimented by a grant contribution.
Such a grant award can often be the difference between a growth project proceeding or not. For those within this category, now could be a great time to consider what may be available.
MHA Tait Walker is connected to a range of bodies responsible in delivering grants and would be happy to assess your project and guide you through your financing options and what grants may be available.