If your company's revenue rises and falls predictably across the year, borrowing can smooth the troughs so you can stock up, staff up or pay suppliers ahead of the peak. Used with a plan, it turns a lumpy cash position into a manageable one.
Map the year first
Before you draw anything, sketch out when cash typically tightens and when it recovers. The clearer that map, the easier it is to time a drawdown for when you genuinely need it and to plan repayments for when income arrives.
Borrow into the build, repay out of the peak
- Draw to fund the preparation that the busy period requires.
- Schedule repayments to land when your seasonal income comes through.
- Aim to bring the balance down before the next quiet stretch begins.
Why Flex often suits seasonality
Because Credicorp Flex is revolving, it can mirror a seasonal cycle, rising as you prepare and falling as you collect. Credicorp Slice may suit a one-off seasonal investment instead. The rate and term you receive are set out in your own offer.
Credicorp lends only to UK limited companies and LLPs for business purposes, and the loan is to the company, not its directors. As an exempt business lender, we are outside the FCA consumer-credit regime, so the Financial Ombudsman Service and FSCS do not apply.
See also: How to budget loan repayments into your cash flow, Choosing between Credicorp Flex and Credicorp Slice, How do I manage a seasonal dip in trading?.