Using Government Contractor Financing to Bridge Cash Flow Gaps

Bespoke Financing – Business Loans on Your Terms

Last Modified : Jun 20, 2024

Fact-checked by: Bruce Sayer

It’s a rapidly changing world – social, environmental, and economic conditions are evolving at an accelerated pace bringing new norms, expectations, and language in their wake. The financing world is no exception! Digital transformation has altered the commercial financial landscape from century-old conventions and standards to innovative new products and services. Businesses are responding with growing expectations for more flexibility and faster funding speeds. As these transformations occur, new speech is developing to communicate emerging concepts.

Bespoke financial service is a relatively new concept, coined and popularized in the United Kingdom and now taking root globally. It refers to the customization of financing structures to accommodate the expectations and preferences of the borrower.

Traditional commercial banks continue to restrict credit to small and medium-sized businesses (SMBs) during recessionary periods. Meanwhile, SMBs from all industries seek alternative lenders to provide the funding they need to support operations and fuel growth. As bespoke financial services continue to evolve, providing more money in more ways, faster, and with more convenience, small and medium size businesses are welcoming this new financing norm.

Keep reading to learn more about bespoke financial services and how to choose a lender who provides business loans on your terms.

What is bespoke financial services?

Bespoke is a term used to describe a custom-made product or service. Traditionally associated with custom-tailored clothing, the term has been extended to include information technology and digital funding services. Bespoke financial services refer to financing arrangements personalized to a client’s specific need and structured to meet the borrower’s expected ability to repay the loan over time. It can include several products, including:


Four main features of bespoke financial

Easy qualification

Traditional bank loans are typically approved or rejected based on formal credit scoring models that assess eight to ten variables. Loan approvals are judged on the borrower’s credit history, financial performance, and cash flow. These qualification requirements lie beyond most SMBs’ ability to meet, forcing them to seek funding elsewhere.

The qualification process for bespoke financial services takes an entirely different approach by using advanced technology to source and evaluate information from extensive databases quickly. Tech-enabled alternative lenders can assess up to five hundred credit-related data points to uncover credit strengths and asset utilization opportunities to help mitigate risk. These lenders consider the borrower’s current assets, current and future cash flows, and other prospects to approve flexible financing, so everybody wins.

The qualification process is lightning fast compared to traditional bank financing. Whereas banks usually take weeks and sometimes months to approve or reject a loan application, alternative lenders take just a few days and sometimes just hours to approve bespoke financial qualification.

Bespoke financial services are flexible

Conventional loans are typically structured with an established credit limit and a regular repayment schedule. This rigid structure places undue duress on the borrowing company’s cash flow management. The company is restricted to the amount of funds available and repeating due dates for loan repayment obligations place reoccurring stress on capital resources. The company may delay or miss a loan payment if the loan’s ROI falls short in any given period. Missed payments can negatively impact the borrower’s credit rating and incur further bank oversight and restrictions on the loan.

Alternative lenders continuously develop bespoke financial services to deliver funding solutions to make customers’ lives easier. Quick, easy qualification, fast onboarding, and immediate response to new funding requests accelerate the speed of funding from painstakingly slow to warp speed. Increasing credit limits based on more or better-quality collateral assets allows for expansion and the pursuit of business development opportunities. Repayment obligations based on incoming cash flow remove the burden of regular payments – a distinct advantage for seasonal businesses and companies that experience cash flow gaps.

Room to grow

Perhaps the most significant benefit of leveraging bespoke financial services with alternative lenders is the ability to control your finances. Bank loans come at a price far more significant than interest – it will cost you a loss of fiscal autonomy. Bank loans are governed by restrictive covenants and reporting obligations that can curtail your company’s ability to grow. This heavy oversight restrains capital management and strangles a borrowing company’s growth potential. By monitoring financial ratios, cash flow, and balance sheets, banks ensure your loan doesn’t go south and impede their portfolio performance.

Bespoke financial services provided by alternative lenders are free of most covenants and reporting obligations. Funds can be requested and used at the sole discretion of the borrower. Pay bills, expand operations, or increase marketing budgets to penetrate a new market – use the funds for whatever purpose or objectives you have in mind.

Choose the right alternative lender

The real challenge with bespoke financial service is selecting the right alternative lender best suited to your business needs. There are numerous alternative lenders – some with advanced technologies and extensive experience in specific industries, while others are limited in both capacities. Carefully choose the alternative lender you want to work with. Interview candidates and ask critical questions:

  • How long have they been in business?
  • How many years of experience do they have in your industry?
  • Do they understand your working environment and the services you provide?
  • Do they offer flexible funding solutions tailored to your needs?
  • Can they provide industry insights and recommendations to help maximize profitability?
  • Do they have a solution-focused approach to solving complex issues?
  • Do they have advanced technologies designed to streamline funding?

Collect as much information as you can from various lenders. Measure their capabilities, weigh the cost of their services, and choose a financial partner you can trust. A reputable, responsive, dependable lender is a competitive advantage for growing companies in a struggling economy.


Bespoke financial service is a relatively new concept. Still, it is rapidly becoming the standard norm for small to medium size business loans as commercial banks concentrate on larger corporations for portfolio growth. Since the financial crisis of 2008, small and mid-size businesses have struggled to find adequate funding sources to support growth. Recognizing a gap in the market, alternative lenders have embraced bespoke financial services to meet the rigorous demands of SMBs.

The great news is that the digital transformation to more accessible financing is still in its early stages. Advancements in technologies and innovations in funding solutions are being continuously developed. Tech-enabled lenders will endlessly pursue faster, more convenient ways for SMBs to access more working capital to support growth opportunities. These lenders embrace bespoke financial services and offer business loans on your terms.

Key Takeaway

  • Bespoke financial service is a relatively new concept. It refers to the customization of financing structures to accommodate the expectations and preferences of the borrower.
  • Alternative lenders continuously develop bespoke financial services to deliver quick, easy qualification, fast onboarding, and immediate response to new funding requests.
  • Bespoke financial services provided by leading alternative lenders are free of most covenants and reporting obligations. Funds can be requested and used at the sole discretion of the borrower.


ABOUT eCapital

Since 2006, eCapital has been on a mission to change the way small to medium sized businesses access the funding they need to reach their goals. We know that to survive and thrive, businesses need financial flexibility to quickly respond to challenges and take advantage of opportunities, all in real time. Companies today need innovation guided by experience to unlock the potential of their assets to give better, faster access to the capital they require.

We’ve answered the call and have built a team of over 600 experts in asset evaluation, batch processing, customer support and fintech solutions. Together, we have created a funding model that features rapid approvals and processing, 24/7 access to funds and the freedom to use the money wherever and whenever it’s needed. This is the future of business funding, and it’s available today, at eCapital.

eCapital Logo

eCapital Corp. is committed to supporting small and middle-market companies in the United States, Canada, and the UK by accelerating their access to capital through financial solutions like invoice factoring, factoring lines of credit, asset-based lending and equipment refinancing. Headquartered in Miami, Florida, eCapital is an innovative leader in providing flexible, customized cash flow to businesses. For more information about eCapital, visit

More Great Reads