In the current economic environment, raising funds for your business is key to survival and growth. We know that cash is king and we help our clients raise the cash that they need to continue building their businesses.
We can help guide you towards the best finance option for you and your business and will explore every angle with you. These are the key avenues to consider:
Grants are non-repayable, but businesses have to reach certain criteria to be eligible for them. One of the grants available is the Department for Trade and Industry (DTI) grant for Research and Development. It provides finance to individuals and SMEs in England to research and develop technologically innovative products and processes. We’ll talk you through what grants are available to your business and how you can go about applying for them.
Alliotts has access and contacts with both institutional investors, high net wealth individuals and investor groups for smaller amounts of funding. We’ll be able to put you in touch with the right people who may be looking to invest in your business.
As well as raising finance from private individuals, institutions and banks, Alliotts are able to act as reporting accountants for the purposes of admitting a company to the UK Alternative Investment Market (AIM).
The AIM market currently offers an effective method for companies to raise funds and have marketable shares, without the obligations and expense that a full UK main market listing would incur. In particular we find that many overseas clients are keen to list on AIM, including companies from as far afield as China and Australia. The impact of Sarbanes Oxley regulations in the USA may also lead to more companies registering on AIM, which at present is not covered by Sarbanes Oxley.
Debt finance is available from both the high street banks and specialised lenders. The conditions for obtaining debt finance are such that strong companies with a good strategic plan will find it easier to access debt finance than companies with a less substantial business plan. Affordability of repayments is a key test, and the majority of lenders are looking at asset backed lending rather than cash flow lending. Opportunities do exist however, and at Alliotts we can help match you to a lender, finding the best solution for you and your business.
A company investing in the UK from overseas may have substantial cash reserves that can be used to invest in a UK business, with minimal tax implications or other capital restrictions. Cash flow planning is vital in the form of timetabled events for currency conversion or interest charges on a handful of dates each year, rather than incurring such costs weekly or daily.
Often referred to broadly as ‘business angels’, high net-worth individuals have a significant part to play in the financing of business in the 21st century. There are tax breaks for some forms of investment such as the Enterprise Incentive Scheme (EIS). At Alliotts we can help you optimise your business opportunity to attract such investors, and structure their investment so that they can obtain the tax reliefs available.
To speak to one of our specialist corporate finance advisors about the options available for raising funds for your business, please contact Ian Gibbon, Chris Cairns or Dipali Buch. Our specialists will be able to go through everything with you to ensure you make the right choice for financing your business.
I wouldn’t be sat here on a Friday with a great tan, long hair, and optimism for the future, without Alliotts