Business finance for your plans

What does your business need money for?

Describe the investment and when the money is needed. Machinery, stock, new premises and business growth each require their own assessment. Distinguish between a one-off investment and a recurring shortfall in operations. Additional finance does not automatically resolve a structural gap between income and expenditure.

A clear plan shows what you want to achieve, what it costs and which resources are available. Consider whether you could phase the work, reduce the plan or use your own funds. The amount you want to borrow follows from that overview; it is not the starting point for every choice.

For buying or renovating business premises, read more about a commercial mortgage.

A form of finance suited to the purpose

Business finance takes different forms. A loan may be used for an investment, while a credit facility may suit a fluctuating need for funds. Leasing concerns the use or financing of a business asset; factoring relates to outstanding invoices. Business premises require their own financing assessment.

These are general forms of finance to understand and compare. We discuss personally which route is relevant to your business and which services are available. This list is not an offer of every form of finance or a promise that your business will be accepted.

Repayments in your business budget

Work out how the additional commitments will be paid. Review expected cash flows, existing finance payments and the money that must remain available for day-to-day operations. Include personal drawings or income taken from the business. Expected growth does not guarantee that the planned income will arrive on time.

Set out a specific adverse scenario. What happens if customers pay late, revenue growth fails to materialise or an investment costs more? Finance may run for years; the agreements must remain understandable when circumstances change.

The purpose, amount and date the funds are needed.
Your own contribution and desired financial reserve.
Expected cash flows and existing commitments.
A realistic plan for interest and repayments.

Costs, security and flexibility

Consider interest, any arrangement fees, the term and total repayments together. Ask what early repayment costs and which conditions apply to changes. A low monthly payment may reflect a longer term or an outstanding balance at maturity. The contract determines the commitments you take on.

A finance provider may require security. Understand what a pledge, guarantee or other personal obligation means for you. If you combine financing arrangements, the combined payments, the providers' rights and different maturity dates need particular attention. Discuss legal or tax questions with your accountant or another appropriate specialist.

A careful start with RFD

Give RFD an outline of your business plan and financing question. We discuss the question, the information needed and the appropriate next steps. The work and agreements for the process are made clear beforehand. Contacting us does not constitute a credit offer; a finance provider decides on the basis of the application and its conditions.

You can book an appointment or contact us directly. Do not send a complete business file or personal documents in your first general message. Agree which information is needed and how to provide it securely. This page gives general explanations and does not replace an assessment of your own business.

Frequently asked questions

What is the difference between a business loan and a credit facility?

A business loan is generally agreed for a set amount and repayment period. A credit facility may allow you to draw funds subject to conditions. The specific agreement determines how it works, its costs and its flexibility.

Can I combine different financing arrangements?

That may be an option to consider, but the combined payments and agreements must fit your situation. Also review security, the ranking of finance providers and different maturity dates. Combining finance does not guarantee funding.

Is business finance suitable for resolving every setback?

No. First, the reason for the need and how the commitments will be repaid must be clear. Additional debt is not an automatic solution to a structural shortfall.

Which information is needed for an introductory meeting?

Describe your business, the purpose and timetable, the investment amount, your own funds and existing financing. We then agree which figures or documents are needed for the next steps.

This is general information and does not constitute personal financial advice or a binding finance offer. What is suitable and possible depends on your circumstances and the lender's terms. Read the disclaimer.