You’re a builder?
That’s fine but you’re always hankering for more, right?
Too many years out in all weathers making money for other people. Developers.
It’s big business. Massive business. So where is your slice of the pie? “One day.” Is that it?
Make one day today and change your future.
“Ah”, I hear you say. “If only I had the money”. Well, read on…
Great! You got this far. That’s one step further. One step closer to the dream of being your own boss, elevating yourself from “I’m in the building trade” to “I’m a Property Developer”.
Let us show you how.
1. Sounds good but I haven’t got a track record.
Ah, but we know of at least one lender who will consider you based on your trade experience and we have special access to them (and their money!). We show you how your CV can come into it’s own and make the difference between a long list of rejections and one big, fat acceptance! Before the deal gets on the lender’s desk, we look at it and can make suggestions that might just make the difference.
2. I’m a one man band. Is that ok?
It can be, but you’re going to lose more than your shirt if things go wrong. Better a Limited Company to limit your liability in case of a disaster. This is easily done and we’ll happily hold your hand if you need us to.
3. My neighbour has bought a plot of land and has planning permission but no money to develop it. Is there a way we can work together so we both benefit?
Oh yes! Again, we have the expertise and the back office team to get you and your neighbour exactly where you want to be. His land, your building expertise, our finance. What a winning team looks like.
4. I’m worried about interest payments, legal fees, surveys, valuations etc. Don’t hit me with surprise costs!
Fees are inevitable, they just need to be managed. As an example, what if we could roll up the interest on the deal into the amount borrowed
so you only paid it off at the end? That would help a lot. Face it, you’re in this to make a profit and fees/costs are just a “cost of doing business”. We let you know anticipated costs before you sign on the dotted line and, so long as you factored in the costs in assessing the project’s viability, you’re still making profit.
5. I have planning permission to build three separate properties on a piece of land. Ideally, I’d build them all together but there’s no way I can finance that.
In that case, what might help would be an arrangement where you could get ALL the ground-works done, perhaps ALL the services to the site and finance to build the first unit. Then, the sale of that first property would pay off all the initial finance and leave you a profit
– a profit to help you get the funding for the other two properties – to do them both together. So, one deal for all would be impossible, three would be tedious, costly, take longer and mean more hassle all round. Two rounds of sensibly structured finance would be the compromise to make the whole deal work. It’s that kind of thinking from IDM Commercial Finance that could make all the difference to a deal going ahead or going down the pan.
6. I’m worried I won’t be able to sell.
The sale of the developed property is out of your control if you’re in the hands of an unpredictable property market. Options could be to rent out and take a longer term view or move to a longer term finance product to give you some breathing space.
7. Cashflow – I don’t have money sloshing around so if there’s a delay in getting the main finance, I might be stuck to put it mildly. For example, I might have to release my builder to work on other projects and that costs time and therefore money.
We all know the phrase “cash is king” and a slight modification to “cashflow is king” is just as valid. A business that runs out of cash is dead in the water. We have a flexible Cash-flow solution to fill the gap, should you need it. It’s a bit like having a massive credit card facility available to you. Set up at the start, you only pay if you use it. If all goes well, you don’t need to use it and the cost of initial set up is no different to you buying insurance for the site itself. Just like insurance, it’s no good looking to buy it after the car crash has already happened!
Please call us today to see how we can help or submit an enquiry and we will contact you.
We will contact you ASAP