Finance Review: January & February at BCDF
January was a busy start to the year as we teamed-up with several new referral partners who introduced a number of enquiries to us, filling up our leads pipeline into February.
Cashflow solutions remain in high-demand amongst business owners who are looking to stabilise and protect their reserves. This month we supported a number of businesses with short term working capital loans, including a Barbershop and an Independent Financial Advisors.
Longer term loans also continue to be popular for investment in growth, purchasing assets and refinancing existing debt. We supported a local restaurant group to secure a long term loan from a regional lender in order to open a new location.
In February, The Bank of England’s Monetary Policy Committee voted to reduce the base rate of interest, from 4.75% to 4.5%. The MPC’s next rate decision will be announced on the 20th of March.
What does this mean for business owners?
The base rate is the interest rate the Bank of England charges commercial banks for loans. The aim of lowering interest rates is to stimulate the economy.
Businesses are more likely to borrow and invest when the cost of borrowing is lower. This increased investment leads to job creation, higher productivity, and ultimately, economic growth.
The base rate is the interest rate the Bank of England charges commercial banks for loans. The aim of lowering interest rates is to stimulate the economy. Businesses are more likely to borrow and invest when the cost of borrowing is lower. This increased investment leads to job creation, higher productivity, and ultimately, economic growth.
Different lenders calculate their interest based on a number of different factors, including economic outlook, perceived risk, loan size, and the availability of security or collateral. All lenders factor the base rate of interest into the rates they charge customers for borrowing.
So this is good news for business owners planning to borrow money to grow their business. BCDF customers can now expect more competitive offers and lower rates in the solutions we arrange for them.
