- June 11, 2020
- Posted by: avantmortgage
- Category: SME Loans
How to ensure you are well positioned with Singapore SME Bank Loans – The economy is in a very bad shape now in Singapore. With the recent semi lockdown called the circuit breaker, most businesses in Singapore had to shut off to prevent the spread of the coronavirus. The economy has tanked and many food businesses that are based in malls and in the central business district are shutting down for good.
This is one of the problems most businesses will face in the long run. Most businesses do not have a good base of funding so that they are able to tide through this period for the long haul. For most businesses, the owners either take out the cash for personal use after the end of the year or they will reinvest it into more assets for growth. With such a strategy of growth, the funds that are available for free cash flow is very low for the needs of the company.
For such an extraordinary situation like the current Covid 19 outbreak, this has exposed many businesses to this big risk of having inadequate cash flow to settle the problems in hand. With only 2 to 3 months of operational cost at hand, the businesses that are caught in the circuit breaker do not have revenue for them to go on more than a few months and end up having to scramble for funds.
One wise business move to go about such a situation is to have some Singapore SME Bank Loans in place for such a situation. If you foresee a downturn coming, it is always wise for you to borrow from the bank for a standby. This is a good move and also a smart move, because during downturns, the banks get really busy trying to loan money out, you might take a longer time to get your approvals. Also during a downturn, your revenue might be so weak banks might be scared to lend it to you.
The good thing about getting your Singapore SME Bank loan early on is that you will have the cash flow ready when you need it and to activate it to pass through the tough times. When tough times are gone, and you are the few standing, you stand to get the sweetness of the rebound afterwards. Rebounds can usually be a V Shape and you might get back on your feet faster than you realize. You can also return that Singapore SME Business Loan that you took.
If you are a business owner who is worried that this Covid 19 pandemic situation will last for a much longer period than right now, you may want to stand by some Singapore SME Bank Loans so that you are able to tide through things for longer.
If you are keen to get your Mortgage Loan in Singapore done with Avant Mortgage you can also speak to us. Avant Mortgage does new home loans, mortgage refinancing and mortgage cashing out for our Singapore clients. Whether is it for your own use or investment property, speak to us to learn more about the current rates that will help you save on your interest payments and transfer more savings to you and your investments.