IMPROVE YOUR CASHFLOW
Vat funding for property developers
This new product allows developers like you to accelerate your VAT reclaims by up to two months (or longer). It improves your cash flow and reduces the administration of VAT.
In all cases for developers of new build houses and some refurbishments, you as the developer can reclaim all VAT on your construction costs. There are no sales, as they are zero-rated, and you are always in a constant reclaim situation.
DF+ allows you to borrow up to 80% of submitted reclaims and 80% of the VAT element of received purchase invoices.
These invoices are submitted to VATBRIDGE on a schedule as and when they are received, and you can draw down on these amounts as and when you choose.
This has the effect of advancing up to two months reclaims in advance of the time it would normally be received. VATBRIDGE takes over the reclaim process by becoming the VAT agent and having our bank details nominated at HMRC.
If you were to invest in this product, you would enter into a 12-month rolling facility with a 3 month notice period.
Indicative Costs are as follows, but are dependent on the deal size:
Schedule submission Fee:
* Up to 3% of VAT element for submitted VAT returns.
* Up to 5% of invoices presented pre-submission.
* 10% over Barclays Base Rate.
If you would like to find out more about this product then simply get in touch with one of our team today and we can discuss further.