Finance

Broker interview: Andy Munson, Yorvik Business Finance

April 6, 2021
Broker interview: Andy Munson, Yorvik Business Finance

Andy Munson, Managing Director of Yorvik Business Finance, shares his thoughts on the Recovery Loan Scheme (RLs), the developments he anticipates in the business finance market as we exit lockdown and the significance of flexible invoice finance lenders like Satago.

Tell me a bit about who you are, your business and your background

Yorvik Business Finance was formed in January 2020. We cover the whole of the market, working with over 200 lenders across a wide range of financial solutions, ensuring that each solution is bespoke to that specific client, their requirements and their current circumstances.

Based just outside York, we work across the UK. Our mission is simple, to help as many UK-based SME's with access to finance as possible.  

Before setting up Yorvik Business Finance, I

worked in the banking industry (RBS) and held Sales Director roles at both principal lenders and brokerage companies.

What do you enjoy most about being a commercial finance broker?

Being able to provide a solution to almost any situation and truly making a difference to business owners who need our help.

What are your views on the government support schemes (BBLs and CBILs) and their replacement (RLs)? Where do you see the business finance landscape moving as we progress through 2021?

In theory, the BBLs and CBILs were a fantastic idea. However, theory and practice are two very different things. There have been many clients who, through no fault of their own, have been heavily impacted by the pandemic and have been unable to source the help they needed through these schemes, particularly CBILs.

Unfortunately, some of the decisions made by lenders make no rational sense, as a lot of other brokers have confirmed to me. The RLs seems to be a promising option, particularly without the 'minimum turnover' criteria. However, we will see what the scheme looks like in reality when we know who the lenders are and exactly how the scheme will work. There is still a lot to be confirmed.

Moving forward, invoice finance will be imperative to many companies in terms of growth and cashflow management.

What are the biggest challenges you see for business owners given the continuing Covid crisis and what advice would you offer them in regards to finance?

With the pandemic impacting many businesses in terms of both turnover and profit, affordability for mainstream finance such as loans and revolving credit facilities is one of the key challenges many business owners will face in the coming months. This is where our business can benefit our clients, we're able to look at a range of options and provide a holistic solution.

What developments do you anticipate in the business finance market in the coming months and what products will be the most important?

The RLs has the potential to be very important. Outside of this Government-backed scheme, invoice finance for B2B businesses and revolving credit facilities for B2C businesses will be imperative. The key reasons for this will be their flexibility in providing access to finance without long-term commitment.

What are the most important characteristics you look for in an invoice finance provider? Why would you recommend it over other forms of finance?

Customer service above anything else. We have seen in the last 12 months just how unpredictable running your own business can be. Clients need flexibility and a lender who understands how the commercial world works, rather than a 'tick-box' lender like many of the UK banks.

A few years ago, invoice finance didn't have the best reputation. You were often committed to factoring, the service levels were sometimes sub-standard and you quickly became overly reliant on the facility. Now, with companies like Satago providing a flexible facility, business owners are able to pick a solution which works exactly as they need it to.

What do you like about Satago?

A number of things, but particularly our relationship with James Chetwood. I've known James for a number of years and he is always helpful and professional in his discussions with both our team and our clients.

I also like Satago's turnaround time for decisions, their processes and their online client portal is second to none.

When you’re not helping businesses out with their finance, how do you like to spend your free time?

I am an avid supporter of West Ham United (someone has to be!) and watch a lot of sports, particularly football. My wife and I enjoy long walks in the beautiful Yorkshire countryside with our two young children. Having studied Criminology at university, I also like to read and watch crime fiction.

And, finally, what are you most looking forward to being able to do again as we move out of lockdown?

Seeing friends and family, socialising and meeting up with our clients, introducers and lenders alike!