Business Finance Blog

"The interest only mortgage: those were the days!" A regular comment from business owners I speak with.  Or more likely, "I'd like an interest only mortgage, are they still available?" The simple answer is no.  This is not entirely accurate, as they still exist in the Buy-to-Let world, and many business owners will have legacy…

Unlike the state-owned banks, the privately owned banks do not have government imposed restrictions on their lending activities, and as such, are providing some of the more attractive commercial mortgage products in the marketplace. The reality is, in many cases, it's the fact they are providing products full stop that is their USP.  I could…

These are my views, based on experiences I've had with businesses I've come across. State owned banks have two main ways of raising the funds to pay us back: 1. increase current account charges, and 2. sell existing mortgages on to other banks. N.B. The requirement to sell commercial mortgages to other banks to pay…

This is a really important fact about today's banking, and with a further focus on commercial mortgages; not all banks take the same view of each business sector!  As a result, you get different rates and different terms. It therefore begs the question: how do you know for sure your mortgage is with the best…

If your business has a commercial mortgage, I'll bet you haven't been told this before.  Why?  Because it has not come to many business's attention, until now! It's very simple.  The Government Funds for Lending Scheme, contrary to media speculation, can be very successful for businesses.  If you change mortgage provider, 2% of the loan…

This may sound surprising, and to an extent not totally true of course, but I'm going to discuss how a slight change in mindset can help you pitching to banks for better terms. One of the most regular scenarios I come across is a business who's banking or commercial mortgage terms have got worse, despite…

FACT 4. Terms are improving. FAO Commercial Property owners, or holders of commercial mortgages: It is definitely worth applying for commercial mortgages today.  Why?  Credit policies in various banks are changing, and for the most part, they are improving. I deal with banks on a weekly basis, and it has been very noticeable to see…

FACT 3. Bank managers that understand your business do still exist, but they are not where you used to find them. Find out where they are, and how to access them Here's a couple of recent examples: Example 1 - A gentleman contacted me recently who ran an interesting business, a Stud Farm, for Horses, in East Anglia.…

FACT 2. Brand loyalty does not pay.  Why your current bank is not incentivised to offer a better deal Most of us do it; staying with the same provider longer than we should.  A certain mobile phone provider and their lack of reception on the same day of every week (it's Friday) springs to mind! Supermarkets are…

FACT 1. Going into the High Street branch is not the best way to source a commercial mortgage, business loan, or business banking manager One of the big misconceptions in this recession today is the fabled media line, "the banks aren't lending".  There are a number of reasons businesses and commercial property owners have come to this…