Making a product that people use and like is one of the most satisfying things a business person can do. But the road from having an idea through to creating prototypes, making that product and getting all the required approvals in place can be extremely challenging. And there’s the need to market, distribute and get your product into the hands of resellers and customers.
Each step in the process requires a lot of patience, effort, dedication and money. While technical advances such as 3D printing have changed the economics of manufacturing in some ways, it remains a capital and labour intensive part of the industry.
While 3D printing sounds great, serious manufacturing won’t get by on $500 consumer devices you find at your local electronics store. You’ll need to invest in serious hardware that can use the materials you need to produce a great prototype quickly so you can iterate. When you’re at the beginning of your product journey, an injection of funds can help you get your hands on the equipment you need. And, as it’s an investment that will continue to deliver for your business, the interest is tax-deductible.
Once you get past the prototyping stage, you’ll need to get the ball rolling on several other things. You’ll need to either establish your own manufacturing process that can scale as your sales grow or you’ll need to partner with someone who can support you in mass-producing your creation. Either way, that is likely to require an injection of cash.
Establishing your own manufacturing facility will require buying or leasing a factory and the equipment you need as well as hiring staff to support you. If you choose to partner with another business, it’s likely they will need to retool their facility to support you in your endeavour.
At the same time, it’s likely you’ll need regulatory approval to sell your product. That means engaging in independent testing and gaining approval from the appropriate government agencies and departments. Those processes aren’t always simple and can be costly. That means more expenses that you may not be ready for in your early days.
Assuming you get through all those steps, it’s time to think about marketing, sales and distribution. Getting those things ready, before you ship, will make a massive difference to your chances of success. All of those activities are an investment that requires an injection of cash.
For many new businesses, particularly in today’s start-up culture, the journey to securing funding at different stages involves engaging with the investor community. That can involve getting support from angel investors, venture capital funds or private parties that will exchange money for a piece of your dream.
Although their investment will help you as you move from great idea to a saleable product, you’ll be trading their money for a stake in your business. Many founders dilute their holding in a business to the point where they can lose effective control of their dream. So while the press continues to tell a story about startups gaining billion-dollar valuations through investors – the so-called ‘unicorns’ of the business world – the reality is that traditional finance represents a different way to forge ahead that doesn’t dilute your ownership.
When it comes to loans, there are two main types manufacturing companies should consider; secured and unsecured loans.
If you have a valuable asset such as a residential or commercial property, then a secured loan is worth considering. A secured loan uses an asset as security for the lender. If the borrower defaults on the loan, the lender can sell that asset to minimise losses. This is a way for them to reduce the risk on the loan and allows them to offer lower interest rates and, potentially, lend larger amounts.
In contrast, an unsecured loan doesn’t use an asset as security. Credit cards are a form of unsecured finance. For a borrower, this means they don’t put any assets at risk. But as the risk of a loss is greater for the lender, The lender offsets this risk by lending smaller amounts at a higher interest rate.
Neither option is inherently better or worse than the other. Each has a place in your business strategy for different situations. For example, if you’re buying property, a secured loan is a good option whereas a piece of equipment that will deliver you a quick return on investment might be better suited to unsecured finance.
Building and running a manufacturing business is about more than cranking the handle on a machine. It’s about creativity, testing, meeting regulatory requirement and ensuring your marketing and sales channels can deliver on your promises. Choosing the right financing partner, like Capify, can help you through each step of that journey.
Our mission is to help small businesses by providing simple, quick and responsible access to business funds
Capify was born out of the desire to offer small businesses an alternative and accessible lending option. Proudly we were the first to do so in Australia. With 10+ years of local experience providing small business loans working capital globally, Capify is Australia’s most experienced alternative lender to small business.
With a focus on customer service and simplicity; our vision is to support Australian businesses with tailored financial solutions and solve small business finance. With our philosophy, we work together to create the most flexible and accessible commercial business loans for our clients. This allows us to streamline our internal processes passing on time and cost savings to you.
Capify is Australia’s Leading unsecured small business lender, and you can easily find us on Finder.com.au, Canstar, Mozo, InfoChoice, and other financial comparison websites.
We have business-friendly staff
We ensure our team have a comprehensive knowledge of the Australian SME market and can truly understand your business needs, aspirations and need for finance. Our small business lending consultants will guide you through the entire small business loan process from initial quotation to funding.
Mozo says “With more than ten years of experience, Capify has been helping Australia’s small business owners reach new heights with their tailored funding solutions. The lender provides unsecured business loans which are flexible and accessible, and its simple application process makes getting funding a breeze”.
Our unsecured business loan funding products work for you
We have several repayment solutions, all of which we tailor to suit your business activities and cash flow. We work with you to construct a repayment structure which will minimise the impact on your business cash flow. We’re proud of the customised solutions we design with our customers, and we see them renew their small business loans time and time again with us.
Australia’s most prominent financial services comparison website Canstar says
Take a look at some of our customers lending’ success stories and how we’ve partnered with them to make their dreams and aspirations a reality.
At Capify, we offer short-term business loans, usually three to twelve months for a variety of small businesses. Below, we’ve collected some of the costs, features and other need-to-knows of a Capify business loan, so you can be completely informed before you sign up. Proudly we were the first to do so in Australia. With over 10+ years of local experience providing small business loans working capital globally. Capify is Australia’s most experienced alternative fin-tech lender to small business.
Adopting a customer-centric focus on service and simplicity; our vision is to support Australian businesses with tailored financial solutions. With our philosophy, we work together to create the most flexible and accessible commercial business loans for our clients. This allows us to streamline our internal processes passing on time and cost savings to you.
Capify Is one of the most trusted small business lenders in Australia. With TrustPilot reviews and Google reviews that speak for themselves, our story shows our dedication towards helping business finance growth.
Capify Australia provides FAQ’s and a customer help centre on unsecured business loans, quick business loans, online business loans solutions based around the payments, credit, investment and Sydney, Melbourne, Brisbane, Perth, Hobart and the territories, markets space. Small Business Australia says: “Capify Australia: Review for Borrowers.
Read the following Capify review to find out more about this company and discover if it’s suitable for your needs. … Capify is obviously among the top 3 most significant and most respected lenders in the Australian small business loan market”.
Australia’s leading Finacial Comparison Website, Finder.com.au.says “
If you’re looking for a flexible business loan. This unsecured financing option from Capify may be one to consider”. You can apply for however much you need, with loans of between $5,000 and $300,000 available, and with same-day approval, you can have your funds within 24 hours. Repayments can be flexible to suit your business’ cash flow”.