Nothing in this world is certain, as the old idiom goes, except death and taxes. There’s not much to be done on mortality - but tax season needn’t be a nightmare.
Every single business is familiar with the claustrophobia of a looming tax bill. Sometimes cash is tight and a big lump sum payment is the last thing you need. Tax can be a substantial cost to your company, straining your cash flow and taking over your banking lines and overdrafts.
But, of course, your tax obligations are unshakeable and HMRC aren’t exactly known for their flexibility. So is the only option to bite the bullet and just front up? It’s here where tax funding can really help soften the impact of a tax bill.
By paying for your tax liabilities up front, you lose the ability to use this working capital in other, more important areas of your business. That lump sum is money that could be used elsewhere: a new hire or a critical refurbishment, perhaps.
Tax funding is the same as any other unsecured loan. It’s typically offered over 6 or 12 months, to fund your tax liability allowing you to retain cash in your business. It loosens the restriction on your cash, freeing you to use your money to invest and grow your business.
The extended repayment period also puts you in the driver seat. Smaller installments, rather than one big bill, make it simple to manage your cash flow, smoothing out wild fluctuations and making it easier to plan ahead and invest.
As always, which provider you choose is as important as the loan itself. Wesleyan Bank is the only endorsed finance provider to the Law Society of England and Wales and is a strategic partner to the Law Society of Scotland. By choosing us, you can be assured that we have the expertise and knowledge to support you through the tax funding process.
The process is all online and takes just a few minutes. Once completed, you’ll receive quote then and there. Our online tax portal operates annually between June - July and December - January.
If you’d like to know more about how Wesleyan Bank can help you get a grip on your tax affairs, then get in touch and let’s talk about solutions that can help you sail through tax season.
Talk to the team today about spreading the cost of your upcoming liability, call us on 0800 980 9348 and mention ‘AccountingWEB’.