The campaign comes after new research commissioned by JCB Finance, who are sponsoring this years FMB House Builders Survey, revealed that more than a quarter of respondents who had bank loans or overdrafts did not believe they had the potential risks to personal assets explained to them when borrowing from the banks.
JCB Finance has therefore pledged to help SMEs access more secure funding to finance capital equipment without unnecessary security of personal assets, and is preparing to launch a number of exciting new services.
Paul Jennings, Managing Director of JCB Finance, commented: “We know from experience the importance of providing our customers with reassurance and understanding, and importantly tailoring our services to meet our customers’ needs.
“Back in 2010, the big banks were under pressure and in some cases withdrew funding from small businesses when they needed it most. In fact, that year there were reports that the number of complaints by small business owners to the financial ombudsman service about loans and overdrafts rose 119% on the previous year.
“Our policy was very different. JCB Finance went out of its way to reassure and support customers with asset finance, using hire purchase and leasing to help small businesses to secure the resources they needed while protecting their working capital.”
JCB Finance offers a range of options designed to help spread costs and, depending on your circumstances, can also provide the flexibility to cope with unpredictable events such as bad weather and payment delays for jobs done.
Such options give customers a regular and fixed payment schedule as a secure alternative to payment on demand loans, something which the research highlighted as a top priority, with 89% of those surveyed stating that managing working capital is important to their business.
The research also highlighted the variety of preferences when it comes to how customers would like to arrange finance facilities. More than half prefer a face to face meeting whilst a quarter would rather talk over the phone, 14% like to arrange finance at the point of purchase and 10% prefer to arrange finance by email. JCB Finance therefore offers a range of on and offline communication channels tailored to meet its customers’ needs.
In addition, the survey identified that 41% of small business owners find it difficult to find time in conventional office hours to arrange finance and when it comes to cyber security, more than half of those surveyed said that they worry about exchanging information and attachments by email.
JCB Finance is therefore delighted to announce the forthcoming launch of its Online and Sign Online platforms. Scheduled to launch in October 2017, they will enable the convenient and secure signing of finance agreements, without the need for printing, scanning and emailing. It will also enable customers to access their agreement details, any related correspondence and plan their cash flow more easily.
Finally, the survey showed that 82% of customers who use JCB equipment would be happy to arrange finance with their dealer or salesperson. JCB Finance is therefore proud to offers its services nationwide via its trusted and accredited dealer network or through its personal field sales team, to help best meet the needs of individual customers.
Jennings concludes: “We remain as committed to our customers, new and old, as ever. As a people orientated business, we always aim to treat our customers fairly and provide a secure and stable route to additional credit lines.
“We have been providing asset finance and supporting business growth in the construction, agriculture and industrial sectors since 1970 so we understand the kind of challenges our customers may face. We know that investment in plant, machinery or commercial vehicles for instance is key to maintaining and developing successful businesses.
“It is important for any business to hold cash reserves against potential dips in activity or income but that doesn’t have to delay or prevent investment in vital assets. Asset finance can spread the cost of investment, perhaps help reduce your tax bill and enable you to retain your cash for wages, tax and day to day needs.
“I think our customers like to know that they haven’t got all their eggs in one basket. Many choose JCB Finance so they can open up additional credit lines that are independent from their bank. The protection offered by a fixed term contract is particularly appealing compared to a bank overdraft which as was seen, during the recession, could be withdrawn at any time.”