Business Borrowing

A question about : Business Borrowing

Hi everyone

I run a limited business (sole director) and have been considering taking out a business loan.
I came across something called Funding Well which looks to be a new business specialising in unsecured business cash advances. There is no fixed monthly payment, rather the amount is calculated as a fixed percentage of your card sales amount and deducted from card sale takings.
I was wondering whether a) anyone had head of this company?
and b) whether this could be considered a good form of borrowing?

I have dug around a little on their web domain. It shows that the parent company is called Blenheim Chalcot Management a venture capital firm based in London.

I can't find any reviews of funding well on trust pilot or other similar sites. Any thoughts about or knowledge of this company, please let me know!

Many thanks
LOTM

Best answers:

• Never heard of them personally.
  Looking at their example though they lent Ј35k for 270 days with total repayment of Ј44,500 so roughly 37% interest.
  As this is B2B and so much less heavily regulated than consumer finance you can be fairly sure they've chosen a best case and so many probably have higher rates to pay.
  The only advantage is no personal security to the debt but I'd be looking elsewhere first as that level of interest could be the reason for a business to fail.
  There is also no comments I could spot on the site about how they get their money, are you just paying it or do you have to switch merchant bank etc in which case there could be extra costs
• Thanks for your comments folks. Initially this seems quite an attractive deal, but as you point out (InsideInsurance) that example reveals just how high the interest is likely to be.
  I think I'll just have to look at the more traditional borrowing methods. Many thanks for your input both of you.
  -LOTM