what are the best business finance products?

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By: Trade Debtor Finance Consultants (TDFC)

Sid Goodwin

What Are The Best Business Finance

Products?


http://tradedebtorfinance.com.au/




The most common business

finance product is an overdraft




Often secured by the directors

and unless the business is in top

shape, secured by assets as well




It is the cheapest and most used

funding for a business




However, it is not the most flexible




If a business grows, then the bank

overdraft takes time to do the same




Often frustration from clients as it

clearly doesn’t grow with them




Line of credit offsets against

business assets




Very good on pricing and easily

controlled by the client




Big risks if the business decision

goes bad as it affects assets




Again, it hasn’t got the flexibility in most

cases, as you only have credit to the

value of the assets on offer




Factoring Of Invoices




Funding is reasonable in most

cases on pricing




Cost of funding is off your profit margin,

so you have to have plans in place to

make this worthwhile




Not a good idea to factor to just

get in front on some bills




Factoring is very flexible and will grow

with your business plans, as your

invoicing grows




Important to remember as you grow,

your facility grows, you actually pay

less for funds the bigger you are,

but the lender wins either way




Loans




Not widely used as it’s limited and

the cost of funds is high




Business owners need to have plans to

get such funding, so the others above

will get better results




However, if you don’t have invoices,

and looking to buy stock, it’s still

a good way of doing business




Main Office:

1300 00 8332

Fax Number:

07 5540 3727




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0408 058 827 or 0408 711 932

After Hours Consultants:

0416 142 907




Postal AddressPO Box 646,JimboombaQLD 4280

Email: [email protected]


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