Niche Magazine Issue 44

Page 19

The year that was in commercial finance

Darren Willoughby of brokers 2XL Commercial Finance relives the last 16 months illustrating the UK’s journey through Covid-19

I

t’s 11.30pm on March 24, 2020 and I’ve just put the phone down on my 87th call of the day. The world is in the depths of a pandemic and the economy is showing signs of crumbling. Frantic business owners are scrambling around to see what support is available, while many stare into the abyss as the Prime Minister enforces lockdown. You remember it well, I imagine. BBL and CBILS loans are launched in an attempt to keep an already fragile economy afloat in the backdrop of Brexit, and as commercial finance brokers at 2XL, we are often first port of call for clients and professionals. Information is scatty at first, but then comes the availability of £50k in the form of a BBL without credit checks and no personal guarantee, which sends business owners into a frenzy and bank managers to throw the rule book of lending out the window. It causes one commentator to state: “we may as well put a skip at the end of the road with bags of £50k in and clients just sign to say they will pay it back.”

CBILS Loans are available for in excess of £50k but only to those who can prove they can pay back based on previous years’ performance, which leaves a big gap for those who can’t or haven’t traded long enough. Then comes the inevitable lull as businesses in the main put off major business decisions until the turbulence passes. This allows some business owners breathing space, although for those with children, that is replaced by schoolwork as schools are closed and the economy grinds to a halt. When it’s thought green shoots of hope are around the corner, the death toll continues to rise with government borrowing reaching stratospheric proportions and consecutive lockdowns halting any enthusiasm of a recovery whilst we continue to clap the NHS for their sterling efforts against a backdrop of turmoil. ‘Resilience’ and ‘diversification’ are the cries as many businesses adapt, and in some cases, thrive. ‘Out of adversity comes triumph,’ as

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some say while businesses adapt to the ‘new norm’ and, thankfully, at the time of writing, the vaccine seems to have come to our aid. So what next? The recovery loan scheme has been launched to help UK businesses access finance as they recover and grow. It aims to help affected companies and can be used for business purposes such as managing cashflow, investment, and growth. Take up of the scheme has been slow, which could be a good sign as it may mean businesses are finding their feet again, or the alternative view is that we haven’t quite reached the bite point yet as most businesses haven’t yet started paying off Covid support and may be reticent to take on more debt. Let’s hope the vaccine enables us all to get back to what we all do best… which incidentally in my case isn’t a six-year-old’s science homework! Darren Willoughby is Managing Director of 2XL Commercial Finance, a Commercial finance brokerage specialising in all things business and property finance.

OUT OF ADVERSITY COMES TRIUMPH

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Commercial Mortgages | Development Funding | Asset Finance | Commercial, Business, Personal Insurance | Bridging Loans | CBILS Loans NICHE | 19


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Care in the comfort of your own home

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pages 99-100

Why this lady switched from IT to care

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page 98

How to choose between them

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page 97

Outdoor performances by Bamboozle

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page 96

Demand for homelessness support

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page 91

Cycling for Hope

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Land’s End to John O’Groats

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The joy of shopping locally

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Orton’s Brasserie and Curve team up

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page 81

Beauty in imperfection, a new fashion range

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What’s new at Uptonsteel Cricket Ground

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Addressing gaps in mental healthcare provisions

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How music affects mood

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pages 72-73

Broom makers turned house hold brand

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Switching gear to excel in the future

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Real estate opportunities

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pages 65-66

Building strong foundations

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pages 59-64

Digital marketing advice from the experts

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Digital rebrand

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pages 50-51

What ‘good’ looks like for websites

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page 49

Is confectionary the new business card?

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page 46

Getting social media right

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page 48

A spark for learning

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What are all-girls schools really like?

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pages 44-45

Chamber helps businesses ‘grow back better’

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Generation Next

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Investing your money

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The real person behind this Virtual PA

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The future of travel

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Your DiSC personality traits and alter-ego

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Is hybrid working?

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Streamlining IT solutions

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Legal advice from the experts

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Law firm makes the semi-finals for three awards

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page 29

In conversation with Amanda Daly

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page 22

Are you ready to sell your business?

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Reliving the last 16 months in finance

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page 19

HMRC clearance update

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page 20

An accountancy firm with a face

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Should Covid vaccines be compulsory?

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Are you claiming R&D tax relief?

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Uncover the Story; Leicester’s gripping tales

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