Business Support Finance – COVID-19

Launched in response to the coronavirus outbreak, the Coronavirus Business Interruption Loan Scheme (CBILS) is designed to support UK businesses during this period of disruption. CBILS provides the lender with a Government backed guarantee of 80%, against finance offered under CBILS with the balance of risk being held by the lender.

CBILS is designed to assist with cash flow, initially by way of a Capital Repayment Holiday (Interest only period) of 12 months or a commercial loan over 6 years, with no repayments in the first 12 months followed by a 5-year loan facility on a full repayment basis.

CBILS will only be made available to businesses that were deemed “viable pre Covid 19” and as a consequence a “robust” case must be made for your new Capital Repayment Holiday or loan based on your pre Covid trading information.

It is important to note that if your financial and supporting information isn’t presented correctly to meet the lenders requirements, this could lead to a decline for support, which may impact on your existing loan covenants when considered against your lenders’ “prevailing” debt service criteria which may give your lender cause for concern post Covid 19.

During this period of uncertainty, we at Stewart Hindley & Partners are here to help you and have direct access to all the lenders’ that offer CBILS and who are accredited by the British Business Bank. https://www.british-business-bank.co.uk/. If for any reason your business is not eligible for CBILS then we can provide other routes to finance to support your business.

Given the record levels of demand that banks are incurring for general advice and CBILS applications, we at Stewart Hindley & Partners are able to offer, on your behalf, support through our own FCA relationships with all CBILS accredited lenders.

As a result, we are able to deal with the relevant Business Relationship Manager directly, to ensure a prompt application, with the best possible outcome given your circumstances and thereby take away the uncertainty by securing a decision in-principle within 24 hours.

If you’d like to discuss how we can assist you with your CBILS application or any other funding requirement during these challenging times, then please don’t hesitate to get in touch with us either via completing the contact form or by calling us directly on 01488 684834.

How Does Property Development Finance Work?

Whether you’re a first-time property developer, a professional landlord or a seasoned property investor, there are a number of different ways to secure the finance you need to complete your first or next property development project.

From commercial mortgages and auction finance, through to first time property development finance, it’s important to determine the right property development finance option for your needs.

If you’re struggling to know where to start when it comes to securing finance for your project, we’ve taken a look at some of the options available to you.

 

First time property development finance

If you’re a first-time property developer looking to purchase your first property, one of the best options for you could be a flexible development mortgage. There are flexible development mortgages specifically for first time private developers, especially for those looking to buy a property with the view to refurbish it to rent it out.

 

Sources of property development finance

Properties at auction tend to be a lot more affordable than those listed on the market, making them a great way to purchase your first or second property. When you purchase a property at auction, you will usually be expected to pay for it within a month of securing the sale. However, some lenders will offer auction finance known as a short-term bridging loan. This means that you can access funds quickly when needed and refinance the house once the work is completed.

If you are interested in developing a private or commercial property, commercial mortgage options will give you the funds to purchase a commercial property such as a shop, warehouse or office.

Of course, it’s not just the price of the property you will need to take into account when securing finance to put towards the purchase of a property development. You should also consider the amount of refurbishment work that is required and whether or not it is a ground-up development.

 

Securing property development finance

At Stewart Hindley, we understand that the right investment is crucial when it comes to acquiring the funds you need for your new property venture. Get in touch today to find out how we can help you to obtain the best option for your financial circumstances.

How are GP Practices funded?

All of us use NHS services in some shape or form, including visiting our local GP when we feel unwell. But have you ever wondered how GP practices are funded or how a GP surgery works?

Many patients fail to understand that GP surgeries are run like a business and rely heavily on funding to provide a high standard of care to a set number of patients. This is one of the reasons why cancelling GP appointments or not turning up to a GP appointment can have a huge impact on GP’s budget and the services they are able to offer.

How are GP practices funded in England?

Throughout England, GP surgeries receive on average, £152. 04 per person, with England’s 7,543 general practices sharing £9,050,006 million. And this is to deliver care for approximately 59,527,981. These figures are based on data released in the 2017/2018 financial year.

The NHS offers three different types of contracts for GP practices, which impact the services they are able to offer. These may include General Medical Services, Personal Medical Services and Alternative Provider Medical Services.

The amount allocated to each GP practice depends on the type of contract provided.

How are GP practices funded in Scotland?

The way GP practices are funded in Scotland is different to England, following a vote for a new GP contract in Scotland that has changed the way Scottish GP practices are funded.

Set out in two phases, the changes outlined have also had an impact on GP pay structures. Phase one took place in April 2018 when the GP Workload Formula was introduced. The new formula has been designed to re-estimate the number of consultations per patient based on age, sex and deprivation. It has relieved the pressure on the workload of GPs in Scotland as it provides a more accurate reflection of patient inflow and demand.

Phase two is set to be introduced in 2020/2021 and although it is still subject to further negotiations between the Scottish government and GPC Scotland, the plans will aim to introduce a standard income range for GPs with a set pay progression. The main purpose of this change will be to remove the link between the new formula and practice funding.

All GP practices will still be required to submit annual data on earnings, expenses and hours worked to NHS National Services Scotland Practitioner Services.

Why do GP practices need GP surgery finance?

There are many reasons why medical professionals might require GP practice finance, including:

  • If a partner is leaving and the remaining partners need to buy them out
  • If the partnership is increasing and a loan is required to be split between the existing partners in order to dilute their shares
  • If practice improvements or extensions are required
  • If a new practice is being set up

At Stewart Hindley, we understand that the right investment is crucial when it comes to providing primary healthcare. Whether you’re looking for funding for an NHS GP practice or a private surgery, we’ve got the skills and specialist experience to help you secure commercial finance for your GP surgery. To find out more, get in touch.

Coronavirus – Business Help Available

As the coronavirus (COVID 19) continues to spread across the UK mortgage lenders have been taking special measures to ensure that borrowers are protected from financial shocks.

Most, if not all, lenders have put in place emergency funding to help existing SME businesses get through this period of uncertainty.

If you feel that your business may come under duress over the coming months, please speak to us now so we can assist you to put in place interest only periods or repayment holidays.