A supplier recently described PMD as ‘a slick Interface between customers and access to money’. As well as being a kind compliment to us, it’s also a great way of summarising what we aim to achieve in just a few words
Our customers say we are functional, straightforward and impressively smooth and efficient.
These days, I think anyone would struggle to define a bank’s activities this way. That’s quite sad. I am from a banking background, a full family of them in fact, and like many of my peers, banking formed the foundations of my finance career. That’s where I learnt how to serve customers well!
However, the fact is, the banks seem to be making it increasingly difficult for customers to access money. We hear of decisions that are taking an age, and when they are eventually made they seem to be very risk averse, wrapped up in a whole load of additional security, and ultimately far more costly to the customer than an independent asset finance deal.
Sourcing finance for your business can be a headache but at PMD we aim to take the pain away!
Traditional Finance v Asset Finance
We believe it’s best practice to use the bank for more traditional finance, such as overdrafts and mortgages and when it comes to project and equipment finance, stick with a broker!
Asset finance is generally only secured on the actual equipment financed whereas banks tend to take ‘blanket’ security which covers all their facilities and any future ones – this is normally a charge on property or a debenture over company assets which can be very tying and restrictive, ultimately leaving a small business over exposed.
This is something to be mindful of and also applies to any asset finance division of the bank you may be referred to.
Most businesses tend to use a blend of both bank and asset finance, allowing them total flexibility and choice.
Speed of decision
We can arrange asset finance for equipment very quickly; with the majority of decisions taking between 1 and 24 hours. We talk to you about your plans so that we can approach our funding panel on your behalf and actually discuss your case with the decision maker, submitting a report and recommendation.
Banks have very little autonomy themselves, often have to submit your application to head office and can take weeks to make a decision. If a business needs a piece of equipment imminently it’s impossible for them to wait, and a lengthy decision process eats into precious time.
Using an independent broker who acts quickly means your business can start making money from the equipment straight away, turning your investment into a profit as soon as possible.
Simple and inexpensive
A common misconception is that banks are cheaper. We can compete against any bank owned finance company on rate, so we are definitely not more expensive.
We are now in ‘the age of the broker’. Most of our funders have had their own direct sales department at some point but have found this to be costly and a lot of hassle so it hasn’t worked for them. Instead they prefer the broker to do this on their behalf and offer discounted rates.
PMD Business Finance is one of the largest brokers in the UK. We can help with both asset finance and business loans enabling you to make borrowing decisions with confidence.
Give us a call if you are looking to grow your business, acquire equipment or simply need a cash flow injection…. We would love to be part of your journey!