The credit crunch lands at my door.

Really2

Alan_M wrote: »

This is actually my preferred route, I really don't want more borrowing. However as this has been dropped on us rather unexpectedly, we're a little unprepared to be wooing potential investors.

Getting decent business plans and cashflow forecasts together takes a bit of work, but I've made a start.

Excellent hope all goes well. Don't be worried about sounding out suppliers as potential investors also (but don't be to honest on the cashfow side, as I am sure you don't want to spook them).
If your business is strong their investment can be rewarded twice (your purchases and your sales) also some like a "route to market" even if they do not "officialy" sell direct.;)

PS Also some customers (If you have a friend like relation ship with them) Only if you know it would not rock the boat.

geoffky

alan,m i feel for you m8 ..how about your regional development agency or local business forum....also have a look over on the singing pig i know there are people who do business finance over there...good luck and remember at the end of the day they cannot take your health off you and that is priceless..

Sir_Humphrey

I am sorry to hear of your problems. This is the sort of situation that shows why banks cannot be left to their own devices. You seem to have a viable business that ought not to have problems.

Alan_M_2

Generali wrote: »

Just a quick thought. If y/e is 31/1 then isn't your last y/e 31/1/08?

Yes it is, all enquiries made so far won't consider talking to us without current years figures, which is reasonable, the world is very different place to 12 months ago.

Alan_M_2

Really2 wrote: »

Excellent hope all goes well. Don't be worried about sounding out suppliers as potential investors also (but don't be to honest on the cashfow side, as I am sure you don't want to spook them).
If your business is strong their investment can be rewarded twice (your purchases and your sales) also some like a "route to market" even if they do not "officialy" sell direct.;)

I've tried suppliers but they are facing the same pressures from their banks to reduce liabilities (i/e credit lines to customers). It's not a dead end but it wasn't exactly received with open arms. I am exploring every route possible though.

Generali

Is vendor financing possible? Your suppliers extend you (additional?) terms of credit? It's normal in lots of areas of retail for example.

Do you extend credit to your customers? If so vectoring might help.

Sir_Humphrey wrote: »

I am sorry to hear of your problems. This is the sort of situation that shows why banks cannot be left to their own devices. You seem to have a viable business that ought not to have problems.

I'm sorry that you feel the need to respond to a cry for help with a waste of bandwidth. AlanM has been a valued member of these boards for a while and this is the best you can come up with? Pathetic!

Alan_M_2

geoffky wrote: »

alan,m i feel for you m8 ..how about your regional development agency or local business forum....also have a look over on the singing pig i know there are people who do business finance over there...good luck and remember at the end of the day they cannot take your health off you and that is priceless..

Ahh yes I tried singing pig, I was quoted some truly shocking APR's for stock finance which also required them holding the goods on their premises.

Sir_Humphrey

Generali wrote: »

I'm sorry that you feel the need to respond to a cry for help with a waste of bandwidth. AlanM has been a valued member of these boards for a while and this is the best you can come up with? Pathetic!

Oooh, touchy. Well, if you want to carry on defending the banks doing the indefensible, then carry on sunbeam. EDIT: All I was doing was pointing out a government policy solution to prevent this sort of thing happening.

Really2

Also do you invoice customers on 30 days?

If you do how about factoring your invoices it would mean a loss of margin but if it could see you through a rough patch it may be worth it.

Lotus-eater

Can I ask about the restocking? You say business is slow, yet you need to restock. Is there anyway you can hold on until you get some more money from clients in? What would you normally be doing, have you not been paid by customers?
Sorry, its difficult to get a hold of what's going on in someone else's business.