As we rapidly approach the forthcoming festive season, here at Newable we would like to wish all of the many introducers we have worked with this year a very Merry Christmas and all the best for 2020.

Making working with us more Rewarding

Making affordable business finance available to more UK SMEs is central to Newable’s philosophy, and with this in mind we will be making some changes to our introducer commission payments in 2020.

The aim of the changes is to better reward those introducers who are providing us with the greatest volume of high quality applications and this will be achieved by introducing a tiered reward programme which will make our broker commissions even more competitive in the current market.

The amendments to the rewards to introducers will be communicated via your Broker Manager in due course but in the meantime our latest quarterly incentive closes on 31^st December. Therefore, please don’t miss your opportunity to maximise your benefit as much as possible by getting those extra loan applications in to us as soon as possible!

There are exciting plans for our loan offering to be expanded early in 2020 so look out for further details.

As ever, if you have any questions or would like to introduce lending business to Newable if you are not already doing so, please get in touch.

Deal of the Month

Each month, we take a look back at a recent successful loan application. We would love to have the opportunity to assist other quality businesses such as this who may be looking for affordable business finance, so please do get in touch if you have clients in similar circumstances.

We were recently in receipt of an application from one of our introducers which was on behalf of a successful business established for over half a century looking to expand further. The business has diverse operations which range from running a car parts operation, an amusement arcade and several cafes and a seaside pier.

The business was presented with an opportunity to open a new fish and chips café and additional working capital is required in order to cover the set up and staffing costs of the new operation. We were asked to help with a loan of £150,000 over 24 months to help get this project up and running.

In the most recent financial year, the business generated revenues of around £2m with a gross profit achieved of approximately £550k. A gross profit margin of 27% was evidenced.

No dividends were taken out of the business with profits being reinvested and an EBITDA of £257k was noted. The balance sheet shows over £5m of tangible fixed assets including land and buildings worth around 80% of this total.

The recent bank statements provided in support of the application showed a well conducted account which operated exclusively in credit for the period observed with other debt obligations being fully respected.

Both directors of the company had good personal credit histories and were homeowners, albeit with limited available equity. We were therefore happy to support this request subject to the Personal Guarantees of the directors and support of the Government’s Enterprise Finance Guarantee (EFG).

Christmas and New Year arrangements

Newable are open for business on Christmas Eve with the office then closing for the Festive period until Monday 30^th December when we will be open as normal. We will be closed for New Year’s day and then open as normal on Thursday, 2^nd January 2020.

We would like to take this opportunity to wish all of our introducers a very Merry Christmas and a happy and successful New Year.

Stop Press…

A number of our introducers have been reporting the problems currently being experienced by some clients when dealing with Growth Street at present.

Please be reassured that we remain committed to increasing our lending options to SMEs during 2020 and if we can assist any of your clients who may be affected, please do not hesitate to get in touch.