A full range of financial solutions for Insurance and pension advisors

Since the coming of pension freedoms in 2015, the possibilities for pension savers, and those who are ready to call on their pension pots has changed out of all recognition. New concepts, such as flexi access drawdown and Uncrystallised Funds Pension Lump Sum, need to be carefully explained, and clients helped to decide on the best options for their circumstances.

The potential of insurance advice can be exciting, with the old standard life assurance now accompanied by less familiar products such as critical illness cover and key person insurance.

Of course, competition may be fierce. With the growth of large practices with advisors that cover the country, the need to invest in your business has never been greater.

At Rangewell we believe that your work is important. And we work with insurance and pension advisors throughout the UK to help them find the finance they need.

Understanding your funding options

There are many types of business finance available. You need to get the most appropriate funding option to help you:

• Set up your business
• Acquire premises
• Acquire equipment and assets
• Finance growth
• Deal with tax

The challenges you may face include:

Setting up your business

If you are setting up as an independent insurance and pensions advisor, you may believe that your funding needs are small. However, building up a list of profitable clients, and achieving enough momentum in your business to generate business through referrals could take years.

If you are serious about your business, you will need to arrange funding to keep your business running while you work to take it to the next level. You may need an income, and you will need to look at marketing your services.

These days, your bank may not be able to lend if you’re starting up a new business venture. An overdraft used to be a versatile solution for fledgeling businesses, but since the credit crunch, these may also be increasingly difficult to arrange with your bank.

Revolving Credit Facilities

Revolving Credit Facilities may be a versatile alternative. They provide a line of credit, with an agreed limit that you can call on when you need it. You only pay for the money you take out, so it can be a cost-effective way to raise funds if you need them.

Find out more about Revolving Credit Facilities

Working Capital Finance

Working Capital Finance is another solution. Working Capital Finance is often used to provide cash to pay staff and suppliers while business is slow during the early weeks and months of a new practice, or during a period of growth. It is usually designed to be repaid in the short- to medium-term, once the practice is fully on its feet.

Find out more about Working Capital Finance.

Acquiring premises

It is possible to run an insurance and pension advisory business from your laptop, but a more professional approach will mean acquiring premises. Even a small serviced office will require an upfront payment, while renting an office will mean acquiring everything from a desk and chair to a computer. The costs will depend on your location, and the square footage you need, and there may be service charges and business rates on top of the bare lease. You may need upfront funding to secure the agreement - we can provide a number of solutions to help you.

However, renting means ongoing costs, and puts your practice at risk of rent increases. Once your business becomes established, you might want to consider buying your premises with a commercial mortgage. It could actually decrease your monthly outgoings, provide your business with a valuable asset for the future, and provide space to take on staff or a partner when you want to expand. Commercial Mortgages can help you buy your premises or even an existing practice.

Find out more about Commercial Mortgages.

Funding for your equipment

Your business will need a surprising amount of equipment. Your computers and printer will be an obvious cost, and you may need specialised software with operating licenses and renewals, training and maintenance. You may also need to furnish your office.

At Rangewell we have found that Asset Finance solutions can often provide the most appropriate ways to provide the equipment you need. There are several types of asset funding to consider. You may prefer Hire Purchase for items that you will wish to keep, such as desks, chairs and document storage. Leasing may be more appropriate for your IT, as it will allow you to update to use the latest and most reliable technology whenever you need it. Contract Hire might help you reduce the costs of providing your vehicles.

At Rangewell we can help you find the most appropriate asset funding solutions for your needs.

Find out more about Asset Funding.

Getting the right type of loans for particular business needs

At  Rangewell, we work with lenders across the UK market, and can help you secure the most competitive lending for your business.

There are two main types of business loans:

• Secured Loans are ‘secured’ because you need to provide security which the lender will take if you cannot pay the loan back. This could be your home or your business premises. They can be used to borrow large sums of money, of £250,000 or more.

• Unsecured Loans can be suitable for smaller sums, from £5000 upwards, although some lenders will not let you borrow more than one month’s turnover with an Unsecured Loan.  

We can help you find the kind of loan that is most appropriate for your circumstances your needs.

We can also help with a number of specialised loan products:

Tax Loans

You minimise your tax obligations, but a large quarterly VAT or annual tax demand will still be coming your way. It can cause problems with your cash flow, particularly when it falls at the same time as other costs. Tax Loans help you to spread the cost of your tax demands into affordable monthly payments.

• Better control of cashflow
• Fixed monthly payments
• Quick and simple to arrange
• Avoids issues with HMRC, potential penalties and professional liabilities

Growth Finance

Providing any kind of financial advice is a people-intensive industry, and growing your business will mean taking on more staff. Whether you want to take on trainees, or hire experienced advisors from other firms, having the right financial solutions in place will be essential to ensure your business can grow around them.

Lenders may require an established trading history and record of profits, but it may be possible to arrange Growth Finance based on your profit projections, rather than on your trading history.

Get our help finding the most appropriate lending for your needs.

Should you consider alternative business funding?

Alternative business funding, such as Crowdfunding and Venture Capital, has become more popular in recent years - but at Rangewell we believe that they can have major drawbacks. Costs can be high, raising the funds can mean long delays or even fail altogether, and there is the risk of loss of control. Fortunately, we can help you find better alternatives, with the new generation of lenders who have a more flexible approach.

Find out more about alternatives to Crowdfunding and Venture Capital.

Help your clients find financial solutions

We can also help you find solutions when you have a client in need of business funding. It helps you increase the level of service you offer, and it could provide an additional source of revenue.

How we help you capitalise your business

At Rangewell, our expertise works to bring you the financial solutions you need to capitalise your business, whether you want to fund capital expenses, working capital or growth.

Whether you have a straightforward finance need or require a complicated ‘Jigsaw’ funding plan made up of a combination of products, we can work with you to find the answers that are right for your needs.

Call us now to get our experts working for you and your clients.