A small business lender is reminding brokers of the impact they can make if they understand the difficulty of the upcoming holiday season.
Small businesses face increased cash flow concerns as they come up to the busy holiday season.
Small business lender Prospa is encouraging brokers to be aware of what causes those concerns for various businesses and what solutions there are for them.
The end of the year means small businesses face the need for more staff to accommodate the extra custom and the need to buy in more stock. Other businesses also find that payments might be coming in much slower than normal and therefore will be behind on their own payments.
Matt Bauld, general manager, sales & business development at Prospa, said it was important for brokers to understand how different issues affect different sectors.
He added, “For Australians who run small businesses, the end of the calendar year can be a stressful trading period.
“Cash flow concerns are high, but the causes are different. Flat out retailers experience staff shortages right when they need bigger teams, and those that don’t stock ahead in November miss out on great opportunities to grow their business.
“On the other hand, construction and professional services start to wind down for the holidays. Instead of enjoying this time with friends and family, trades businesses and accountants are distracted by delayed payments and a lack of cash coming in from new work.
“Brokers that understand how the holiday season affects different sectors can anticipate their customers’ finance needs and offer the right solution. Being able to identify the major pain points not only builds trust during a stressful period, but ensures those brokers are front of mind when 2019 kicks off.”