Making use of the loan that you received as a business owner can be quite tricky, as you want to make sure you utilise every single penny to the best of your ability. So, if you’ve recently received your lump sump from your business loan, keep reading and discover 10 creative ways to use it!
When you run a business, there will be times when you have to access extra finances to help get you through any challenges you’re facing. You can do the same in your home life too, as lots of people look at taking out pay day loans in the UK.
Inventory
Every business needs plenty of stock, and it can be hard to replenish it when needed. This is where using parts of your loan can be extremely helpful. Some of your stock might be more expensive than others to buy in, so you might not be able to have it all the time.
However, with the help of your business loan, you could fully stock up on even the most expensive items of inventory. This will help you to boost your sales in the long run as you won’t have to turn away any orders. So, if you notice that your stock room is looking empty, be sure to use your loan to fill it back up.
New Equipment
Equipment is vital for lots of businesses, but it can be extremely expensive to buy and upgrade. But with the use of your loan, you should be able to treat your business to all sorts of brand new equipment. Old, out-dated equipment can actually be hindering your sales and success, so you really want to look into bettering it whenever you can.
With the latest equipment, you’ll be able to work much faster, process more orders, and ensure that you’re able to keep your employees safe. Having old equipment can cost you more in the long run too, as it will need repairing more often. But if you spend your loan on something brand new, you should hopefully run into fewer problems.
Marketing
When you run a business, you need to work hard to get your name and branding out there. One of the best ways to do this is with the help of marketing, but it can be quite costly to do. So, don’t be afraid to use parts of your loan purely on marketing, as it can make a huge difference to your success.
While you might think that you’re doing an okay job at doing it yourself, bringing in the professionals is the best way to go as they’ll know exactly what to do. You want to market your business in such a way that it actually benefits your business, so utilising a professional marketing service is going to be extremely helpful.
Hiring Employees
Sometimes, you might not have just enough to bring in the new employees that you need. However, with the help of a loan, you should be able to hire whatever new talent you need.
Having the right number of staff can ensure that you meet demands and provide a great service at all times, so don’t overlook the importance of it. Using a loan for hiring is useful for smaller businesses especially, as it can help you take your business from a one-man show to a fully supportive team.
Investing In Training
Once you’ve got a good team, you also want to make sure you invest in their development. Providing your employees with the ability to learn and grow their skill set will be beneficial for them and your business.
This is because they’ll be able to apply what they’ve learnt to their job role and perform even better than before. It will also provide them with better job satisfaction too, helping them to feel secure in their role and prevent them from looking for a different job for some time. Investing in your team is investing in your business, so don’t forget to do it!
New Technology
Technology changes all the time, and it can be hard to keep up with it. However, if you have the funding of a loan behind you, you should be able to update the technology that you have on a much more regular basis, ensuring your business doesn’t get left behind.
New technology could mean anything from new computers and laptops to the latest digital software to process orders. Whatever technology you decide to spend your loan on, make sure that it’s as modern as possible, and you’ll be able to stay ahead of your competitors and maintain a consistent level of service for longer.
Workspace
A lot of businesses are wanting to expand their premises but find it difficult to scrape together the money to do so. But if you’ve received a lump sum from a direct lender loan, you should be able to do so with ease. Having a bigger workspace will be beneficial for your current employees, but it will also allow you to expand your operations in all sorts of different ways.
You’ll have lots of space for more staff, room for new equipment, and even space for something like a kitchen area. You’ll be able to increase your operations and give your employees a much better quality of life too.
General Expenses
Every business has general day to day expenses that they need to pay, and they can sometimes feel as though they’re becoming too much. However, if you can utilise parts of your loan to pay them off, you might find that you’re able to manage them for longer and effectively.
For instance, you might have a regular supplier charge that you have to pay. What you could do is use your loan to bulk buy something to cut down on the expense for the long run. You may find that you get a cheaper price for buying in bulk too!
Paying Off Other Debts
A lot of people use their loans to refinance and pay off other debts, and you could do the same for your business. Consolidating your current debts with one loan can be helpful for lots of reasons.
One of the main ones is that it lowers your overall outgoings as you pay off all your little debts with your new loan, and just make one monthly repayment for your new loan. This can really help you to reduce your current bills and expenses, leaving you with more money to work with at the end of each month.
Designing A New Website
Websites are extremely important for all businesses, and unless you’re a website designer, you probably shouldn’t do it yourself. You want your website to be a true reflection of you and your business, so it needs to look professional.
Spending parts of your loan on a website can work wonders for your business and allow it to be seen by even more potential customers. Using a professional to build it will also help you to add new features that customers will enjoy and make it that much easier for them to navigate the site.
Using your business loan doesn’t have to be daunting and spending it should be fun. These ten tips show you just how easy it can be and how much of a difference it can make to your business. So, if you’re thinking of applying for a business loan from a direct lender, make sure you take these tips on board. You’ll soon be running your business like a pro and have everything you need to succeed.
