Fitout and refurbishment finance can be some of the hardest finance to obtain. CFI makes it easy…
When you’re planning a commercial fitout or refurbishment there’s a lot to manage. CFI can help bring it all together!
CFI are experts when it comes to fitout and refurbishment finance. As one of the few finance companies that funds genuine start-up businesses we have to be.
Our team can guide you through the entire process, from fast approval to paying shopfitters. We can manage landlord contributions and staged payments with ease.
If you’re fitting out your new business, or undertaking a refurbishment for an existing one, we can help.
Which finance product to use for a fitout?
Typically we recommend a Business Loan for a fitout as it offers the most flexibility around what can be financed and the amount that can be borrowed.
We can also structure a Business Loan with progress payments to help you minimise expenditure and maximise cash-flow in the critical early days of your business.
Here's a few key things to consider when planning your fitout...
If you’re starting a business it pays to ensure all your required finance approvals are in place before you start. It’s often easier to fund a higher amount for a combination of tangible assets along with a fitout.
A landlord contribution can be comming, particularly in higher value leases. This is where a landlord may reimburse part of the cost of a fitout. Reimbursement usually happens after a fitout is complete. If you need funds to pay suppliers prior to receiving a contribution payment from a landlord CFI can assist with short term finance.
Oftne fitout finance can be a combination of short and long term finance to allow you to reduce debt once landlord contributions are received.
Progress Payments are common for fitout works. Often a shopfitter will require a deposit and at least one payment as works progress, before a final payment on completion.
CFI can accomodate these staged payments as part of your agreement, and allow your loan to be drawn down in stages, reducing your interest expenses and cash outflow in those critical early days.
When planning any building works you’ll need to have a contingency for unexepcted expenses or blowouts in labour costs or materials. Even if you’re working on a fixed price contract it pays to keep 10-15% of the total budget in reserve to handle any unforeseen works.
Make sure you have any approvals you require in place before you start. Delays in approvals can mean you’re delayed opening but some of your expenses may have already started! Watch out for things like council approvals, shopping centre requirements, and heritage issues.
Make sure you have a plan for the end of your lease, and get it clear in writing what will happen to your fitout when the lease ends.
You may also need to consider what happens if you terminate your lease early, particularly if there’s a landlord contribution, some of which may need to be paid back.