With the coronavirus pandemic still rampant across the world, and with lockdowns still common across most parts of Australia, the economy is feeling the strain. The last year and a half has caused unstable economies in many countries, this is mainly due to how unpredictable the pandemic has made everyday life.
Despite this erratic behaviour, predictions from well-known investment bank and financial services firm Morgan Stanley, have estimated a strong trajectory for the global economy rebuild.
Optimism is high, in fact, Australia has just notched up its biggest quarter for deals on record, with over $70 billion in mergers and acquisitions. So this could very well be the beginning of a vaccinated and vibrant post-pandemic economy.
However, the last year and a half definitely created scepticism across a range of businesses. Many small and medium-sized businesses have had to live in a state of constant concern while witnessing widespread foreclosures, and cash flow struggles.
This wasn’t the only struggle that was happening. Across the board, there were cancellations of insurance policies from businesses. Naturally, the businesses that were struggling decided to get rid of their insurance policies, which was ultimately a recipe for disaster.
Now that we are seeing the property market performing increasingly well and the share market is recovering, it is time to manage the recovery of small and medium-sized businesses carefully.
Many businesses that have either recovered or had a better financial year than expected are looking to purchase all necessary business insurance again as part of their recovery. This is instead creating issues for small and medium-sized businesses, who can’t pay for multiple insurance premiums all at once.
So, now another trend is presenting itself. We are instead seeing an increase in small and medium-sized businesses seeking insurance premium finance to avoid cash flow issues as a result of high insurance premiums.
Insurance premium finance is a great option for SMEs who want to avoid the complicated and expensive side of business insurance. Instead, they can get funding and free up cash flow to spend on other aspects of the business such as growth and development.
When searching for the right lender to provide your small or medium-sized businesses with insurance premium finance, it is important to find a lender that suits your business and your operations.
Often Australian SMEs can struggle to find a bank lender that is willing to finance them due to the nature of small businesses. Bank lenders often have tough criteria to meet in order to get finance and most of the time SMEs don’t meet the criteria. This is why non-bank lenders are so important to the SME market.
Unlike bank lenders, many non-bank lenders tailor their finance solutions specifically to suit the needs of small and medium-sized businesses.
So, if your SME is searching for the right non-bank lender to deliver insurance premium finance solutions, then look no further than Grow Finance. Grow Finance tailor their finance offerings to your SME so that you can get the best options available and avoid the stress of insurance premiums.
If you’re looking to learn more about Insurance Premium Finance, get in touch with the Grow finance team today, call 1300 001 420, or visit our website to find out more.