SME business funding with “challenging” credit – funding a mezzanine floor We all love a challenge and this proposition of funding a mezzanine floor for a very challenging credit certainly ticked that box!

Coffee Shop Franchise Fit Out Fit Out Finance was recently pleased to offer funding to a start-up franchise in London for the fitout of a small franchised coffee and cake shop.

OK, I can’t claim to have been in the business funding industry since 400 BC (though I’m reasonably certain that it existed then), but there is something about the claim that there is no funding for start ups that always puts me in mind of this quote.

You see, one of the first things I learn on joining Lloyds Bowmaker in 1983 was how to handle enquiries from start ups – usually with a swift and firm ‘no thank you‘.

Roll forwards 30 + years, and I can confidently say that the start-up funding environment has softened considerably – indeed with the exception of a few well-documented (and relatively brief) periods of near-criminal excess in the lending sector, it has never been easier to get start-up funding.

That’s not to say it’s a free for all – ultimately any lender of any type is going to want some comfort that they will be seeing their money again, and that the people they are lending to have at least a moderate chance of succeeding in their venture. Realistically, a start-up can also expect to pay a premium on their borrowing to compensate for the lack of all-important trading history.

A good starting point for any start up seeking funding is the Government Start Up Loans scheme – which can provide not just a loan at good rates but will support it with advice and mentoring.

Feedback from the mainstream banking sector is mixed – but it is always worth enquiring.

And finally, there are brokers like us. Some 40% of our deals in the last 12 months were for start ups in various forms. Whilst our own specialism revolved around funding premise fit outs, our contacts are many and varied and we will point you in the direction of a lender or broker suitable for your specific needs.

Don’t let your limiting belief scupper your business, speak to seasoned professionals to get the facts!

Please feel free to call me on 07932 075 754 or email to chat further.