Since the end of March, we have all been in what could be described as unchartered waters.
Many businesses have benefitted if not survived due to the government CBILs, bounce back loans, grants, and furlough schemes but as I am sure you are aware these are coming to an end.
No one knows when this pandemic will over, no one knows what the world will look like when it is. The NHS have done an amazing job in caring for the sick and learning how best to deal with new patients, they are seeing far better recovery rates and fears of them being overwhelmed have eased. As the schools return hopefully things will continue to normalise, business will start to return to pre pandemic activities although some will change beyond recognition and others will not survive.
Many of the funders I work with have increased rates and tightened underwriting criteria over this period with many focusing on helping existing clients get through these difficult times with payment holidays, interest only payments etc.
Lenders and banks need to lend money, it is the core of the business. Now those lending need to be comfortable that people looking to borrow will be able to make the repayments no matter what the future holds. That means we are asking for up to date bank statements, Covid 19 viability statements (we can help with these) with all proposals.
We are doing deals, less than normal and we are having to work harder to get them through, but finance is available.
As things normalise or we get to a new normal underwriting criteria will ease and as lenders compete for business rates will go down but for now we will work harder for you to help get the financial support your business needs to weather the storm.