What Are Your Non-Negotiables?

Understanding Your Non-Negotiables When Securing Finance

Recently, we worked with a client who needed finance to expand their business into a larger warehouse. The warehouse was rented, and the finance required was an unsecured loan.

After getting to know the client’s past, present, and future goals, we discovered their plans to scale up their operations, team, and warehouse space, with the ultimate aim of purchasing their own warehouse in the future. While we understood their needs, it was equally important to understand their non-negotiables—an essential factor in moving forward.

We all have non-negotiables, whether in business or personal life. But do you know what yours are?

What Does "Best" Finance Mean to You?

When it comes to securing finance, many clients want to find the best possible deal—just as we do. Typically, people associate the "best" finance with the lowest rates and fees. But at Key, we take a different approach: finding a solution that ticks all your boxes.

Through our research and discussions with clients, their ideal solution often becomes clearer. Some clients prioritise securing the largest amount of funding, others focus on obtaining the lowest rates, while some seek lenders requiring minimal security. For others, it’s about finding a happy medium.

“Best” is subjective. It varies depending on your business, your current situation, and your long-term goals. That’s why we take the time to understand not only your financial needs but also your priorities and non-negotiables right from the start.

Case Study: Financing a Bigger Warehouse

One of our recent clients needed funding to move into a bigger warehouse. Their primary focus was raising the full amount required—not a penny less. However, they had one firm non-negotiable: no debenture. While they were open to providing a personal guarantee (PG), they were not comfortable offering a debenture.

Our first step was to ensure the client fully understood the differences:

• Debenture: The company is liable for repayment.

• Personal Guarantee (PG): The individual (e.g., director) is personally liable.

Once they understood these terms and were comfortable with a PG, we moved forward. Our job was to find a solution that matched their non-negotiable.

Did we restrict our search to lenders who don’t require a debenture? No. Instead, we were transparent with lenders who typically require a debenture, explaining the client’s preferences and providing a solid rationale in our proposal to justify waiving this requirement.

The Result

We successfully secured an unsecured GGS loan with a PG and no debenture—from a lender who usually requires one. Understanding the client’s non-negotiables upfront allowed us to find the ideal solution for them.

What’s Your Ideal Finance Solution?

Your "ideal" finance solution will look different from others. Before starting your search for the right finance option, take a moment to consider what matters most to your business:

• What are your priorities?

• What are your non-negotiables?

Once you have clarity on these, the process of finding the right funding solution will become much clearer—and we’re here to help you navigate it.