For small business loans, flexibility emerges as a crucial concern.
What factors are most essential to you right now when choosing a lender to fund your small business? When it comes to loan repayments, however, small business owners in Australia have prioritized 'flexibility.'
Given the economy’s turbulence that most firms have had to deal with over the last two years, this should come as no surprise.
A study commissioned by Prospa, a small company lender, indicated that when requesting funds in the next 12 months, one-third of SMEs (33%) would choose a lender with more flexible repayment choices.
Is it possible to make flexible repayments?
When it came to defining flexible repayments, one of the most common themes emerged: variable timelines.
Flexible loan repayments are often related to the opportunity to repay debts sooner, prolong repayment durations, or make no installments for some time (ie. up to 8 weeks).
“Over the last two years, small firms have had to adapt, shift, or pivot,” says Roberto Sanz, Prospa’s national sales manager.
“As a result, it’s logical that business owners want to be able to adapt to changing market conditions and make the required changes to keep their company moving.”
According to ScotPac, a non-bank lender for SMEs, cash flow is currently a top-three concern for business owners, with 81.5 percent of SMEs stating they are concerned about it.
In 2022, do you want to learn more about your financing options?
With a flurry of new lenders and products hitting the market recently, the SME lending industry is constantly changing.
And, yes, you guessed it, one of the most important new trends is flexibility.
So, if you’re a small business owner in need of flexible capital, get in touch with us right away. We’d be delighted to assist your company in evaluating its choices.
To learn more, contact Premium Finance Group Australia at (07) 4720 8888 or email us at firstname.lastname@example.org
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