Hanya, there are 2 main balance sheet items when it comes to growing and financing your business – short term and long term funding. This is important to understand given that security alone is not an essential driver for a lender in providing finance to a business, but so is the health of the company’s working capital and net profit position.
Short term funding
This is in the form of debt that would be repaid in full within 12 months and there are several options to choose from – overdrafts, business credit cards, export and import loans, and invoice or debtor financing.
Longer term funding
This type of funding applies to loans that are to be repaid between a term of 13 months and up to 30 tahun . These include business mortgages, working capital term loans, commercial property mortgages, leases and business equipment finance.