Funding a business through bank borrowing is the most common method for owner-managed businesses. It is often one of the most important corner-stones for the stability of any business. The methods by which funds can be lent: through loans, overdrafts, invoice financing, credit cards or bank bonds and guarantees, require detailed analysis as to the financial covenants surrounding them.
Whether you are looking at your existing arrangements or at a new approach, we are able to steer you through the pitfalls. We like to get to businesses before they need money to deal with an immediate cash flow situation, but even if you do have that immediate requirement we can provide guidance on negotiating facility agreements, banking documentation and personal guarentees.
Having worked for the banks we are aware of the relationships and the requirements needed to ensure that you have a decent and commercially advantageous relationship - and if you don't have one then please speak with us on how that can be achieved.
Transferring funds between companies within a group structure can be an efficient way to provide for funding in an efficient manner. The provision of minutes and, if necessary, shareholder resolutions and also the establishment of the corporate rationale in the lending or acceptance of the borrowing, sets up the parameters of the arrangement. You can also link the provision of funds to a service given by one company to another.
For discussion on banking or other funding requirements, please contact:-
Yavan Brar in our Wokingham office on 0118 977 4045 or email yavan.brar@herrington-carmichael.com or Nick Hothersall in our Camberley office on 01276 686222 or email nick.hothersall@herrington-carmichael.com