DO YOU FUND STARTUPS?

Retail Capital provides working capital. Because our funding is asset-based or gets measured against the average turnover of your business it needs to be trading for more than 6 months.

WHAT IS UNSECURED FUNDING?

Retail Capital provides funding without requiring collateral or security. will transfer a cash lump sum into your business’ bank account in exchange for a percentage of your future turnover, which will be paid to Retail Capital until the agreed amount is paid back. The repayment options are flexible and can be fixed or match the cash flow cycles of your business.

WHAT IS A CASH ADVANCE?

Retail Capital will buy your future turnover for a lumpsum today. By transferring a cash lump sum into your business’ bank account in exchange for a percentage of your future turnover, which will be paid to Retail Capital until the agreed amount is paid back. The repayment options are flexible and can be fixed or match the cash flow cycles of your business.

WHAT ARE THE ADVANTAGES OF UNSECURED FUNDING?

The use of funds are unrestricted. As a business owner, you know exactly what the strengths and weaknesses of your business are and you can use the funds to grow your business. The application process is quick and easy and your business can receive funds within 3 days of submitting a complete application. There is no security or collateral required, so your assets are not tied up in funding your business. Also, the repayment options ensure flexibility in managing cash flow as the repayment is agreed upon and based on the performance of your business. Since the payments are directly tied to your business’ turnover, you don’t need to worry about making payments or missing deadlines.

HOW CAN I USE THE FUNDING?

The funding is unrestricted which means business owners can use the funding for whatever needs they may have, such as working capital, stocking up for a busy period, advertising, remodelling, expansion, paying taxes and more.

HOW MUCH FUNDING DO I QUALIFY FOR?

The funding is determined by the asset or the monthly turnover. Our business consultants or online application process can provide you with a no-obligation assessment of your funding opportunities.

HOW DO REPAYMENTS WORK?

Repayments are based on the product as per the signed agreement. Our funding products are flexible and can be a fixed amount or based upon an agreed percentage of your turnover. This percentage is paid over daily, weekly or monthly basis until the entire amount due is collected. This saves you from worrying about making payments and missing deadlines so you can focus on running your business.

WHO QUALIFIES FOR FUNDING?

Any registered business that has been trading for at least 6 months can qualify.

DOES MY CREDIT RECORD MATTER?

No. Business owners who do not have a perfect credit rating or collateral to offer are still able to get approved and receive funding. Because our funding is based on affordability and dependent on future turnover, personal credit history is considered, but does not determine affordability the same as when applying for small business loans from banks.

WHAT ARE THE DIFFERENCES BETWEEN OPERATING RENTAL OR AN INSTALMENT SALE?

The main differences are ownership of the asset as well as the accounting and Vat treatment of the two agreements.

WHAT DOES INSTALMENT SALE MEAN IN ACCOUNTING TERMS?

It’s an on-balance sheet structure which shows the asset and corresponding liability allowing for interest and the wear and tear allowances to be deducted from your taxable income. Vat can also be claimed upfront on the entire cost of the equipment being financed.

WHAT DOES OPERATING RENTAL MEAN IN ACCOUNTING TERMS?

It’s an off-balance sheet structure with no asset and no liability reflected on your balance sheet with the rental payments being an operating expense which allows you to deduct this expense from your taxable income.

CAN I CLAIM MY VAT BACK ON MY PAYMENTS IF I SELECT THE OPERATING RENTAL OPTION?

Vat is payable on the rental payments however you can claim the Vat back if you are a registered Vat vendor.

HOW DO I CHOOSE BETWEEN A RENTAL OR AN INSTALMENT SALE FOR MY BUSINESS?

Each business has its own unique requirements and after we engage and do an assessment with you and your accountants, we will provide you with the best solution for your business.

DO I NEED TO PAY A DEPOSIT?

It is not an absolute requirement to pay deposits or down payments on either of these agreements.

WILL THERE BE AN ESCALATION IN THE REPAYMENTS AND IF SO WHY?

There may be an escalation structured into the agreement, however, this is done in consultation with our customers and is normally to assist with the cash flow in the business.

IS THE RENTAL OR INSTALMENT INCLUSIVE OF MAINTENANCE OR SERVICING?

The rental or instalment is not inclusive of maintenance or servicing, and should you need to arrange for this, you should speak to the supplier directly. You may not withhold any payments should the equipment become faulty and non-operational.