Raising funds quickly?
Discussion
Hi guys,
This week I'm experiencing an issue which I hear, most self employed people face at some stage or other. Waiting for an invoice to be paid that was due 4 weeks ago!
Now critical and so I was wondering, is anybody aware of anywhere aside from the not so friendly business banking advisor of how I could raise £500. I imagine that there are places that provide funds on for people in this situation as I imagine I'm not the first and won't be the last. Frustrating as the invoice was for over £4k and yet I have to pay this in cash tomorrow!
I live in Surrey and so can drive upto London etc etc.
Any help greatly appreciated.
BF
This week I'm experiencing an issue which I hear, most self employed people face at some stage or other. Waiting for an invoice to be paid that was due 4 weeks ago!
Now critical and so I was wondering, is anybody aware of anywhere aside from the not so friendly business banking advisor of how I could raise £500. I imagine that there are places that provide funds on for people in this situation as I imagine I'm not the first and won't be the last. Frustrating as the invoice was for over £4k and yet I have to pay this in cash tomorrow!
I live in Surrey and so can drive upto London etc etc.
Any help greatly appreciated.
BF
£500 doesn't seem an awful lot in this day and age. Can't you get a temporary overdraft extension (say for a month)?
And you don't have an "issue", you have a "problem".
Why do people use the word "issue" instead of "problem" these days? Is it because the word "issue" has less negative conotations than "problem"?
"Issue" actualy means "situation" or "child".
And you don't have an "issue", you have a "problem".
Why do people use the word "issue" instead of "problem" these days? Is it because the word "issue" has less negative conotations than "problem"?
"Issue" actualy means "situation" or "child".
Yep, modern spin that works very well.
Some people, me included, have trouble dealing with problems for that very reason you mentioned. Problems have negative conactations. An "opportunity" to prove that you can do something about the problem creates a better mindset to solve it, rather than getting bogged down by the problem.
Some people, me included, have trouble dealing with problems for that very reason you mentioned. Problems have negative conactations. An "opportunity" to prove that you can do something about the problem creates a better mindset to solve it, rather than getting bogged down by the problem.
Plotloss said:
Will they not give you an overdraft against the invoice?
£500 is not the sort of sum that anyone other than a high street lender would entertain.
Could you factor/invoice finance the invoice?
I was just about to suggest factoring (invoice finance) - best invention ever for small businesses where you know you're going to have problems from poor/late payers. Talk to your bank about setting it up for future invoices, but limit it's use only to those cases where you expect problems or don't have a trading history.
Obviously it's a personality thing. Some people thrive on the challenge of fixing a "problem". Others are obviously scared of the word and can only be induced to deal with it by telling them its not a problem but an "issue" or, even worse, an "opportunity".
Pathetic, in my eyes.
Anyway, back to the original question. As I said, I wouldn't think that £500 would be considered a serious "issue" by a bank. Surely a temporary extension to the current overdraft facility must be a simple option. Alternatively, as already mentioned, using a credit card to pay the supllier the £500 should be feasable in the short term.
I am not a huge fan of factoring - it's expensive, complicated, often causes resentment with your customers and is a pain to account for properly. Plus, if you are a limited company, it creates a huge burden of additional disclosures in the statutory accounts.
It's certainly not a solution to temporary short term credit problems.
>> Edited by Eric Mc on Wednesday 3rd May 13:25
Pathetic, in my eyes.
Anyway, back to the original question. As I said, I wouldn't think that £500 would be considered a serious "issue" by a bank. Surely a temporary extension to the current overdraft facility must be a simple option. Alternatively, as already mentioned, using a credit card to pay the supllier the £500 should be feasable in the short term.
I am not a huge fan of factoring - it's expensive, complicated, often causes resentment with your customers and is a pain to account for properly. Plus, if you are a limited company, it creates a huge burden of additional disclosures in the statutory accounts.
It's certainly not a solution to temporary short term credit problems.
>> Edited by Eric Mc on Wednesday 3rd May 13:25
Eric Mc said:
Obviously it's a personality thing. Some people thrive on the challenge of fixing a "problem". Others are obviously scared of the word and can only be induced to deal with it by telling them its not a problem but an "issue" or, even worse, an "opportunity".
Pathetic, in my eyes.
Probably, but we're not all as perfect as your goodself!
Do we assume that you have exhausted the obvious options such as overdraft, cash advance on credit card, loan from friend/family etc..?
If you have then you will be on the point of factoring (although you might not have time), or selling something (think pawn shop).
Neither are very good.
Can you go and get the invoice paid in cash now, or even take a cheque and express clear it?
I hope you work something out
D
If you have then you will be on the point of factoring (although you might not have time), or selling something (think pawn shop).
Neither are very good.
Can you go and get the invoice paid in cash now, or even take a cheque and express clear it?
I hope you work something out
D
If you can demonstrate you are in full time employment you can get pay-day loans. Do a search online but the interest rates are unreal - £500 over 30 days will cost something like £100 in interest or more. Not a great option but they can get the cash to you same day.
Really should only be considered as a last option IMHO as it is madly expensive.
Really should only be considered as a last option IMHO as it is madly expensive.
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