FLEXIBLE REPAYMENTS ARE IN BUSINESSES BEST INTEREST

Written on the 26 June 2014

FLEXIBLE REPAYMENTS ARE IN BUSINESSES BEST INTEREST BUSINESS loans that offer flexible repayment options are in demand from small businesses.

Flexibility provides added security that suppliers and wages will still be paid when cash flow gets tight and that businesses can expand by using extra funds to tender for new jobs.

Businesses also have the ability to negotiate better terms and discounts with suppliers if they have cash available for larger upfront payments that is not tied up in loan repayments.

Being able to choose the frequency of loan repayments, as well as the ability to make extra repayments will often depend on whether the loan has a fixed or variable interest rate.

However, regardless of the interest rate chosen, businesses should negotiate to ensure their repayment options are best suited to their financial needs.

Whether a business opts for weekly, fortnightly, monthly, quarterly or even yearly repayments can depend on many things, including cash flow and stability.

Also important to business owners deciding to lend is the ability to decide between principal and interest or interest only repayments.

It is essential that a business chooses a loan with flexible repayment options to ensure they can best tailor the loan to suit their needs.

A business built on flexibility will be best tailored to deal with fluctuations in business activity and profitability.

An ANZ Small Business Specialist can assist you with every aspect of your business finances, including managing your cash flow, applying for a business loan, consolidating your banking and streamlining your accounts. If you would like to find out how you can grow your business through finance please go to www.businessloans.anz.com  to find out more.

This is sponsored by ANZ.

Australia and New Zealand Banking Group Limited ABN 11 005 357 522 (ANZ).  This is general information only. Its content is for information purposes only, is subject to change and is not a substitute for commercial judgment or professional advice. This material does not take into account your personal and financial needs and/or circumstances, and you should seek appropriate advice (which may include property, legal, financial and/or taxation advice) before considering any material further. ANZ recommends you read the relevant Terms and Conditions and the Financial Services Guide before acquiring any product. To the extent permitted by law, ANZ disclaims liability or responsibility to any person for any direct or indirect loss or damage that may result from any act or omission by any person in relation to this material.


Latest News

APOLLO REVS UP ITS RESULTS

APOLLO Tourism & Leisure (ASX: ATL) has hit its profit forecast in its maiden result as a publicly traded company...

JASMINE YARBROUGH AND TAMIE INGHAM TAKE MARA & MINE TO HOLLYWOOD

MARA & MINE entrepreneurs Jasmine Yarbrough and Tamie Ingham (pictured left and right respectively) slipped in...

HUGE PROFIT SPIKE FOR HELLOWORLD HEALS MERGER WOUNDS

HELLOWORLD (ASX: HLO) gripped the share market this morning after its announcement of a whopping 880 per cent increas...

PROFIT DROP AT SERVCORP

SERVICED office company Servcorp has seen its profit fall, citing New York City, Singapore and Saudi Arabia as the pr...

Related News

WHY EMPLOYEE-OWNED COMPANIES ARE BEATING ASX200 SHARE PRICES

EMPLOYEE-owned companies command a higher share price than their publicly listed peers, reaping a 17 per cent prem...

RISE OF THE MACHINES HAS WORKERS SWEATING

UP TO 3.8 million Australian workers are fearful their job may soon be terminated by a robot, a new survey has shown....

LESS TALK, MORE SMALL BUSINESS ACTION IN 2017

THE future growth and prosperity of Australian SMEs could be undermined if governments lose sight of the sector...

TEST DRIVE A POST GRAD AT BOND

THERE'S only one way to really move your career into the fast lane, says Bond University, and 'test driving...

Contact us

Email News Update Sign Up Contact Details
Subscriptions

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter