Yield curves are steepening as financial markets start to resemble some facets of ‘normal behaviour’, but a return to the office 5 days a week seems like it will never return…

→ how do we benchmark useful rules of thumb when some things seem to have changed forever?

Well there is one thing with never change – when business owners need new finance and banks assess new loan applications, the major judgement is…..can the proposed debt be serviced by the cashflow generated by the business with a margin of safety for both the borrower and lender?

Yes, the views of acceptable leverage will change as both the economic outlook and credit policies adjust over time – but the core focus on repayment is the central issue – and one where interests are aligned for both bank and client. It is in everyones interest that loans are repaid on time and without surprises.

If you need to find out what funding is appropriate and available in current market conditions, get in touch for a free assessment.