Dear Readers,
Welcome to the July 2022 edition of the Funding Strategies newsletter!
The Reserve Bank’s Philip Lowe recently gave an address to the Australian Strategic Business Forum. Although inflation in Australia (5.1% Inflation Rate - March Quarter) is lower than in other countries it is still the highest it has been in over a decade. The good news is that the RBA believes it can bring inflation back into its target range of 2-3 per cent albeit not immediately. The RBA cites uncertainty around the Ukraine war and the domestic response to inflation. The speech discusses the longer term inflation expectations and productivity growth which seems to be declining (not encouraging).
What does
this mean for business? Generally it means higher input costs (energy,
labour...) and higher interest rates. For those seeking funding one
would expect rates to be rising in the near term with
smaller businesses already paying 3-4% with the cash rate of 1.35%. If
businesses are looking for finance or to refinance, now might be the time to
review the businesses funding requirements and secure capital, before working
capital issues arise (higher input costs) and interest rates rise further.
This edition of our newsletter includes:
Product of the Month: Board Services;
Introductions: Project Brewing, Project Stud and Project Glove,
Updates: Tutis VReddo, Project Crate, ScreenCoach and Project Luxury,
In the news: BlueMount Capital,
Upcoming events: Small Business Expos and ACBC;
Welcome to the Team: Derek Vogt.
Click
here to read the full newsletter.
For more information please contact us via email or phone 07 3160 2840.
About Funding Strategies
Funding Strategies is an Australian based capital markets firm providing venture equity capital and finance services to small business and companies seeking capital for growth and expansion in the unlisted and pre-IPO capital markets. We work with predominately private and public companies, and sophisticated investors. If you would like more information, please email brisbane@fundingstrategies.com.au or phone +61 7 3160 2840.
