Business Finance Options for all businesses
At Alfandari, our business finance division was founded on traditional values and ideas. Today, we maintain this forward looking entrepreneurial approach – helping people obtain the finance solution they need to increase production, stability and maximise profitability.
We understand that this is a fast changing world and that many of the “off the peg” bank financial products and business loans are now dated, which is why our dynamic team offer asset finance and refinance products for your business or if needed we can create a bespoke refinance product for just you.
Alfandari is unique within the business finance sector. We are determined to go further than anyone else to help our clients obtain their needs.
With Alfandari, each customer has easy access to an expert broker with solid experience and a full understanding of finance possibilities.
Our brokers have a real depth of knowledge and have invaluable insights into all manner of products. We stand out in the industry because we offer access to flexible finance options for any business asset.
We do not offer business loans. We offer unregulated asset refinance and asset finance agreements, the agreements will be either secured or unsecured dependant on credit, underwriting and situation.
You will be required to give personal and/or corporate guarantee(s) to support the finance agreement with your company and you may be asked to provide a guarantor to guarantee your businesses liabilities, in addition, dependent on agreement and amount borrowed and the credit status, we will require a unilateral notice or legal charge over your residential property and/or business property and/or any guarantor’s residential property. A fixed and floating charge over the assets of your company or any corporate guarantor (a “debenture”) will also be required.
You can settle our agreements early and there are no additional penalties for doing so, however, you will pay exactly the same amount whether you settle the agreement early or if you let the agreement run it’s full term. The settlement calculation is simply, all the contractual payments that would have fallen due are added together along with any notice period and risk fees with no discount and this will form the settlement figure. We suggest to clients that are considering settling their agreements early to use their surplus funds within the business or to put into an investment / high interest account, as settling our agreement early has no saving and no benefit due to the settlement procedure that follows our strict funding covenant.
When considering whether or not to accept any offer of finance we make to you. The finance offered will not be a loan but instead will be a hire arrangement. Under a hire agreement you will have a primary term requiring a notice period of 3 months to terminate and which will be followed by a secondary term until the notice period ends. At the end of the hiring you will be given an option to regain title to the goods .
The hire agreement does not have an interest rate as it is NOT a loan, the easiest way to work out what you will pay back is to add up all your payments due. To try and calculate an equivalent interest rate (which would be for example purposes only) you can add together all the payments due less any tax relief then you will have an equivalent interest rate after tax relief. All tax relief figures are based on 20%. We recommend you request & review all our documents prior to entering into any finance agreement. We do not give tax advice and hold no responsibility for the accuracy of any tax or equivalent interest rate calculations made, you should seek independent expert taxation advice from your accountant for verification on potential tax relief relating to your specific situation.
Once a finance agreement has been signed there is no cooling off period. If you are vat registered, you may claim the vat back on the monthly payments and you will also have a vat liability upon receipt of the initial sales proceeds.
We will require personal guarantees and often other security such as a Debenture or legal charge which will be taken into account when assessing your application for finance. If we are satisfied with the overall security offered and taking into account your financial position and credit worthiness generally, we may agree to provide you with finance even though the equipment you have to offer is relatively worthless compared to the amount you wish to be funded.
IF YOU DEFAULT OR PAYMENTS ARE NOT KEPT UP ON YOUR FINANCE/HIRE AGREEMENT AND THE AGREEMENT IS TERMINATED YOUR SECURITY MAY BE AT RISK.
IT MAY ALSO MAKE OBTAINING CREDIT MORE DIFFICULT.
In instances where a borrower has fallen behind on repayments, or refused to continue making payments, the lender or lenders will have the usual rights to enforce their rights under the finance/hire agreement and legal charge’s.
This can include:
1. Enforcing any debenture held over the company assets and appointment of an administrator;
2. Notifying the customer’s bankers that any consent to the operation of the customer’s bank account is now withdrawn, potentially resulting in the customer’s bank account being frozen;
3. Appointment of a Receiver over the customer’s property or issue court proceedings to enforce their right to possession and sale of the property under the terms of the legal charge;
4. Placing a default on the customer’s credit file; or
5. Instructing repossession agents.
If you experience payment issues or your business stops trading, we strongly advise you to contact our customer services/collections department straight away who will try to help you and work with you.