What can your business use funding for?

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Funding can provide the boost to take your business to the next stage. But what are the aspects of your business that could benefit from an injection of cash?

If you are interested in helping grow your business, but don't have the working capital to do so, a variety of funding options are available to you. Once you have the funding, what can you use it for? Here we examine four ways you can utilise the funding available to your business, and continue to flourish.

Equipment and machinery

Continually improving the product or services you can offer customers is crucial to success. Investing in new equipment can go a long way towards offering better, more innovative products. Whether it is a machinery upgrade to enhance production or specific IT equipment to drive efficiencies, funding can help you make these crucial investments.

Did you know: if you take out equipment financing, the newly purchased equipment can serve as the necessary collateral for the loan.

Innovation and product development

Developing new ideas and products costs money - and not just to purchase materials and components or to create prototypes. The cost of researching markets and potential products should not be underestimated.

External funding, in the form of a business loan, can help provide you more time to expand your business and diversify your product or service offerings. A term loan can free up time and cashflow, allowing you to concentrate more on research and development.

See how Haystack Dryers used an HSBC loan to fund innovative ideas.

Workforce expansion

Having the right talent in your business can help keep it both competitive and innovative. Hiring more people can also make it easier for you to take a step back and keep an eye on the big picture, allowing you to plan for the future instead of focusing purely on day-to-day tasks.

Growing your workforce, though, can be a costly business. Getting the right funding in place can help you build the team to match your ambitions.


No matter your business type, if you're growing rapidly it's likely you will need to move premises. Booming business in the restaurant or retail industry requires more space to get customers in and out, while an increasing workforce means your current premises may be bursting at the seams.

Whether you are adding a new location, moving to an entirely new office or expanding your existing premises, financing is a necessity.

Whether you are looking to fund expansion, innovation or new assets, HSBC is there to help you make the most of changing times.

Our small business loans could help you achieve your ambitions.

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