Manage your Finances

	Understand Financial Solutions Available in the Market
	How to Successfully Apply for a Business Loan
	Evaluate your Cash Flow Position and Needs
	Maintain Business Records
	Set up a Bank Account
	Manage your Business Payments with a Company Credit Card

Understand Financial Solutions Available in the Market

There are two key aspects to most credit products:
(1)	Tenor
	Duration Example Short-term Revolving 1 year Overdraft, Profits Tax Loan, Letter of Credit , Bill Purchase, Import Loan, Factoring Medium-term 1 – 5 years Instalment Loan, IT Equipment Financing, Machinery Loan, Car Loan Long-term 5 years or above Mortgage Loan
(2)	Nature
	Example Working Capital Finance Overdraft, Instalment Loan Special Purpose Finance Equipment Financing, Car Loan, Profits Tax Loan, Mortgage Loan, Bank Guarantee Trade Finance Letter of Credit, Bill Purchase, Import Loan, Export Loan, Factoring, Account Receivable Loan, Pre-shipment Finance
	SME Business Loan allows you to enjoy greater flexibility in cash-flow to maximise your competitive advantages See other options of our range of financial solutions for you to choose from Hang Seng SME Trade Finance provides simple and time efficient trade finance services to keep you ahead of competitors in the market Call 24-hour Business Partner Direct 2198 8000 and we will help you to decide which financial solutions best suit your company

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How to Successfully Apply for a Business Loan

The following outlines four critical factors in successfully applying for a business loan:

(1) Get prepared

Insufficient information may hinder the loan application process or even result in your application being rejected. Sufficient preparation and retention of relevant supporting documents are crucial to a successful application. Application requirements vary, but you have to at least get ready the following information to complete your application:

Business Nature Organisation Structure Scope of Business Latest Financial Information of the Company Financial Condition of Owner / Partners / Shareholders / Guarantors Collateral Information (if any)

Download our Information Checklist to facilitate good preparation for your loan application Call 24-hour Business Partner Direct 2198 8000 and we will help you to decide which financial solutions best suit your company

(2) Explain your business needs clearly

Ensure the banks / lending institutions clearly understand your business needs. A good way to achieve this is to include a detailed business plan with your loan application. The plan should include:

Business model Development plan Specific purpose and usage of funds Production / trade pattern Projection of net profit Sources of repayment Evaluation of cash flow

Download our Business Plan Template and Loan Application form and get prepared for your loan application Call 24-hour Business Partner Direct 2198 8000 and we will help you to decide which financial solutions best suit your company

(3) Support and guarantee of shareholders

When performing credit evaluation, banks / lending institutions always take the support and guarantees of shareholders into consideration. Shareholders can provide support in the following four ways:

Equity share capital and retained earnings Shareholders' guarantees Collateral Satisfactory personal financial condition

(4) Build up a trusting relationship

Establishing a trusting relationship with your bank / lending institution can help it understand your financial needs and provides you with a tailor-made solution. A close relationship can also facilitate the loan application process. Such relationships can be built in the following ways:

Provide updated information on your financial and operational condition Discuss your business plan in advance Maintain good business ethics and make proper use of credit Keep your bank account in good order Consolidate finances with an individual bank / financial institution

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Evaluate your Cash Flow Position and Needs

A tailor-made financial solution can help you fulfil your business needs and facilitate growth. Before choosing the most suitable financial solution, it is important for you to have a thorough understanding of your company's financial position and needs.

Use Cash Flow Planner and Needs Assessment tool to help evaluate your company’s financial position and needs Call 24-hour Business Partner Direct 2198 8000 and we will help you to decide which financial solutions best suit your company

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Maintain Business Records

Keeping your financial information in order not only facilitates your loan application, but also helps you comply with Inland Revenue Ordinance All persons carrying on a trade, profession or business in Hong Kong are required to keep sufficient records of their income and expenditure in English or Chinese to enable their assessable profit to be readily ascertained. Business records must be retained for at least seven years after the date of the transaction to which they relate. Failure to keep the prescribed records without reasonable excuse may result in a fine. You can check the detailed requirements of the types of records you must keep on the Inland Revenue Department's website. You may hire an accountant to help you with book-keeping & filing tax return. A reliable accountant with relevant experience can facilitate the smooth operation of your company. To get help on selecting an accountant if you do not already have one, you can check the website of Hong Kong Institute of Certified Public Accountants or consult your banker.

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Set up a Bank Account

Your company’s bank account should give you a clear view of all cash inflows and outflows related to your business. You can then plan ahead to meet your short and long-term financial needs. Some criteria to consider in selecting a bank account are: Does the account come with a comprehensive range of services that will meet your various financial needs (e.g. multi-currency services and consolidated statements)? Does the account provide you with multi-access channels, such as online banking, phone banking, ATMs and cheque deposit machine access, to let you monitor and manage your account with ease? Is the branch network extensive enough and the location convenient? What are the service fees and other financial charges? Does the bank provide a dedicated SME advice team to fully support the business development of SMEs and offer other professional and tailor-made SME services?

Hang Seng Integrated Business Solutions Account is designed to enable SMEs to enjoy one-stop business banking solutions and easily manage different aspects of their business finances Call 24-hour Business Partner Direct 2198 8000 and we will help you to decide which financial solutions best suit your company

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Manage your Business Payments with a Company Credit Card

A company credit card can help you simplify your account management process, save administration costs and enhance operating efficiency:
	Save the hassles of issuing cheques or paying petty cash expenses and consolidate all expenses on one card
	Maximise cash flow by enjoying interest free repayment period
	Transaction information and spending reports can be downloaded and viewed at anytime
	Enjoy purchase privileges and spending rewards by using company credit card
Hang Seng Commercial Card allows you to manage business payment easily and enjoy fabulous business merchant offers Call 24-hour Business Partner Direct 2198 8000 and we will help you to decide which financial solutions best suit your company

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