After some challenging years for retailers, it has been heartening to see such a positive upturn this year and one that has conveniently coincided with easier access to business funding so boutique owners can make the most of the opportunity. 2015 looks like it is going to be a good year.
Although the banks have not loosened their purse strings for small retailers, a wide range of alternative lenders have emerged as credible and increasingly recognised routes for small business funding, moving from the fringes to sit centre stage with traditional lenders.
They offer flexible lending models that are an attractive alternative to bank lending, enabling indie fashion retailers quick and easy access to growth and working capital on terms more pertinent to their business. These new funding options include peer-to-peer lending, angel investment and business cash advance. Paul Mildenstein, CEO of business cash advance company, Liberis, explains why this revenue based funding is proving popular amongst boutique owners.
“Business cash advance enables boutiques to receive a cash injection for whatever they need of between £2,500 and £300,000, based on future credit and debit card sales. It’s paid back only as the business earns through an agreed amount of credit and debit card transactions. It’s unsecured so company and personal assets are safe too.
“Independent fashion retailers tell us they like it because it’s simple and flexible – an easy application process, one set cost, funding within as little as 24 hours and no time limit on repayment so it fits perfectly with seasonal highs and lows. They don’t even notice the payback because it comes off when a debit or credit card transaction is made.”
Nicola Isa, owner of Best Vintage in Leeds, turned to Liberis for help with a refurbishment project.
“We sell men’s and women’s second-hand clothing in the Old Slaughterhouse building in Leeds market. It has loads of brilliant architectural features, but only two floors were habitable. We used the cash advance to do everything, from refurbishing the original wooden flooring to re-doing the electrics and lighting.
“The staff at Liberis were really helpful and always returned our calls quickly. It’s easy to use and understand, as you can see exactly what you’ve taken on a given day and what’s been deducted. When we needed a second advance, it was sorted in less than 48 hours.”
Win a Makeover Worth £10,000
Enter Liberis’ Great British Makeover competition and you could win a £10,000 revamp for your shop.
The lucky winner will receive £10,000 of refurbishment services including decorating, carpentry, glazing, plumbing, electrics, and landscaping, delivered by a specialist team with previous project experience working with the likes of Gucci, Cafe Rouge and the Natural History Museum.
To enter, just submit your contact details on the competition FaceBook page – Facebook.com/LiberisUK.
Five finalists will be selected at random and they will be asked to submit 100 words as to why they believe their business should win the £10,000 makeover. It couldn’t be easier.
Don’t miss the closing date of 28th November 2014. You could also will spot prizes along the way, too.
Image: Nicola Isa, Best Vintage