Working Capital

The need to maintain or build product inventory or raw materials, to pay overheads, and to extend credit to customers often occurs significantly before your customers pay you. GE Capital facilities are structured to finance the working capital demands of your business - demands that would otherwise be financed out of your cash flow. A GE Capital flexible drawdown facility can release up to 90% of the value of your current assets to your business, and significantly reduce or even eliminate the financing gap between payment of your creditors and receipt of cash from your customers.

We provide facilities which may be used by you as you require, or left completely or partially undrawn as headroom to use as seasonal demands arise. Our revolving facilities are evergreen - you can utilise them and repay them whenever you want during the full term of the facility - and the underlying assets remain on your balance sheet (unless you prefer to explore an off-balance-sheet solution).

GE Capital will begin by carefully reviewing your trade receivables to ensure that we fully understand their value and the nature of your business. You then have the option to draw a high percentage of this value as cash. Thereafter, the facility increases as you notify GE Capital of new invoices raised, and is repaid as invoices are settled by your customers.

We can also provide working capital financing against inventory. We will review and assess your inventory, taking into account absorbed overhead costs, and determine its true underlying value - which can often be in excess of the value you attribute to it in the balance sheet. GE Capital continuously updates this valuation using information provided by you, and you can borrow a high percentage of this value through a revolving inventory loan.

GE Capital also knows that current assets aren't necessarily restricted to debtors and inventory. For some businesses, it is appropriate to extend fully revolving facilities to what other lenders may consider long-term assets such as plant and equipment. We take the time to consider how these assets are used and deliver the most suitable solution for your business.

Our term loan facilities for real estate typically represent a minority component of a broader asset-based lending solution, and amortise over the facility term.

Customer Stories