5 signs you need business funding to grow

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Every business reaches a point where they appear to hit the limits of their current potential. To be in that position leaves you feeling like you are stuck in a rut.

You may even feel your business is in a stable position, but it is not growing, or perhaps the cash flow is slowly declining.

The good news is that you can still grow your business.

You simply need to ask what will it take to move your company to the next level? In many cases, it’s simply a case of asking yourself if it’s the right time to get business funding. This could allow you to drive your business forward again and achieve your goals.

Let’s not forget that, considering the challenges of the last 20+ months, most small and medium-sized businesses have been tested in one way or another; yet, we are close to opening our economy again and now is the right time to start getting ready for growth again.

In fact, business funding to improve efficiencies and maintain or increase your customer base is seen by many businesses as essential to be prepared for the next year.

Now it’s the time to decide if business funding might be the right strategy for you and your business. The following five signs can help you identify if now is indeed the right time for you to move forward with business funding.

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  1. Your Business is Using the Credit Card too Often.

    There are many reasons why a business might be using its credit card too often. This can include seasonality that demands extra investment in inventory and workforce. It can also include unpredictable market changes such as COVID related lockdowns. Equally, your equipment may be getting old and past its best, preventing it from coping with the demand. This might even prevent you from expanding and making the most of market opportunities. Of course, it could simply be that you need to improve your cash flow planning.

    However, the basic fact is that using your credit card all the time is a clear sign that there is space for improvement. Your business is likely to be better off and better able to seize opportunities if you utilise specialised business funding from online business lenders like Lumi.
  2. Your Clients are Expecting Bigger and Better Things from Your Business.

    Today’s access to information is vast. Your clients are likely getting more sophisticated and demanding. It’s not surprising that they are
    more aware of their options and potential solutions. Alongside this, increased competition is helping to create higher quality goods at lower prices.

    In short, your direct and indirect competitors are becoming stronger and faster, so the good old concept of loyalty is no longer the be-all and end-all business defence.

    To retain your clients you need to offer them the best quality at the right price; and for that, you need higher levels of efficiency.

    The simplest way to address this is by increasing and improving your advertising, ensuring potential customers are aware of how great your product is. Of course, to make this possible you are likely to need improved premises, better and faster equipment, new product options or perhaps more locations.
    This is where you’ll need to create a business plan and look into the funds you’ll need to make this happen. While a lack of funds can be perceived as the barrier between your business’s now and future success, you’ll find business finance is surprisingly easy to attain.

    You simply need a good business plan, a viable goal and financial & credit history. You should then find it easy and fast to get access to the required business funds with an online specialist like Lumi.com.au. Applications can be processed within hours, and the funds could be in your business bank account on the same business day.
  1. There is No Safety Net nor Emergency Plans.

    It’s natural for all businesses to have down cycles and unexpected challenges. Indeed, being prepared for difficult times is an essential part of risk management. That’s why businesses need safety nets, to ensure they don’t fall at the first hurdle. A safety net could take the shape of cash, credit, backup equipment, spare parts, or inventory.

    Creating this safety net doesn’t have to be complicated; you could access business funding quickly by reaching out to online lender specialists.

    For example, a lender like Lumi could have your funds approved as fast as two hours. They also offer special loan terms and features for greater flexibility.
  2. When An Extra Set of Hands Would Make a Significant Difference.

    Can your business do more and deliver better outcomes without compromising quality? If the answer is no, then it is possible that hiring new employees could be the answer.

    Employing extra people is often a great solution but one that business owners avoid for as long as possible. Put simply, it’s complicated taking on new staff, it means going through the complex hiring process and spending financial resources on it.

    But, sometimes, getting a bigger and better team can undoubtedly be the right path for a business to grow and thrive again. If that’s what it takes and you’re worried about having the necessary funds to invest in staff, you should know that you could get quick access to funds with the help of an online business lender.

    Two major factors can help you evaluate if extra employees are the answer.
  3. Equipment Capacity

    If the tools and tech you use aren’t at maximum capacity then you may need an extra employee or two to reach capacity and increase production. This is one of the simplest ways to increase your sales.
  4. Team Capacity

    If your current team is stretching themselves to deliver the necessary outcomes and you are struggling to keep up. You should consider whether it is time to invest in more employees. Especially if you have spare equipment.

    This is when an SME lending specialist becomes essential. That’s a specialist lender that can hold your hand from the early stages of evaluation.

    They’ll guide you through establishing the right set of conditions and features where business funding can make a world of difference. Of course, they could also offer the needed finance.
  5. Your Competitors are Getting Better and Better.

    Look at what your competitors are doing, how far their advertising channels reach, and what business model they have adopted. It’s also worth taking a look at the client journey and unique value proposition. Of course, you need to ensure their products are within the same range as yours.

    While looking, ask yourself the hard question, are my competitors better than me? By how much? Whether the answer is yes or no, you need to keep checking. After all, it is paramount to constantly search for alternative ways to improve your business, and this is the only effective method of staying competitive.

    In short, testing new methods then measuring and improving your systems is something that needs to be done regularly if you want your business to flourish. If you haven’t done this for a while, there is no better time to tackle this than now, and this is a powerful reason to look into getting business funding to do so.

    To facilitate this, remember that a great source of ideas about improving your business is to include your employees in the process. You can ask them to make improvement suggestions; you may be surprised by what they come up with. You’ll then be able to look into the best business funding options to turn the best initiatives into reality.

    One of the best options for business funding is Lumi.com.au; they are an online lender with an outstanding range of options and a deep understanding of SMEs.

Final Thoughts

Lumi.com.au is a leading online business lender, providing second to none loan options for small business owners. Their focus is to help small, and medium-size businesses reach their potential.

They endeavour to go beyond expectations, strive to provide better alternatives and provide better lending conditions.

If you need business funding to take your business to the next level, don’t hesitate to reach out to Lumi.com.au; they will be delighted to discuss options and see how they can help you get there.

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