Business Traveller Flying to London? A London City Guide for Getting to the Centre

London. The vibrant, beating heart of the United Kingdom. It’s one of the world’s most popular destinations for tourists, and for business travellers too. The amount of commerce that goes through London is staggering, with a financial centre second only to New York, and service industries that cater for both the UK, European and international markets. As the world’s most multicultural city – there are over 300 languages spoken by a population of over eight million people (twelve million if you include the metropolitan area) – the opportunities for business are clear.With the UK strategically positioned for the business traveller on the western edge of Europe, London is a global hub for air travel, providing easy access to mainland Europe, and a stepping stone to the United States. Primarily served by five airports – Heathrow, Gatwick, City, Stansted and Luton – London is easily reached from anywhere in the world. But with the exception of London City Airport – smallest of the five and located in East London, close to the business district of Canary Wharf – the other four airports are satellites evenly dispersed around the city. The most popular, Heathrow, is located to the west of London; Gatwick is situated to the south; Stansted to the north east; and Luton to the North West. Knowing this before you make your travel plans can be useful. Since the greater metropolitan area of London covers over 1,000 square miles, your final business destination may not be right in the centre. Researching which airport is closest to your destination can save you time, effort and money.However, whether you’re a business traveller flying from within the UK or from overseas, your starting destination may often determine the airport you arrive at. Other factors, such as your chosen time of travel, budget and availability will also make a difference. For example, if you’re travelling with a major international carrier from a major city, such as New York, the chances are you’ll arrive at Heathrow or Gatwick (Stansted also receives flights from New York but is the smallest of the three). If you’re travelling locally from within the UK with a budget carrier you’re more likely to arrive at Stansted or Luton (though not exclusively). And if you’re travelling from a major European city, particularly a financial capital, such as Frankfurt, London City Airport is a likely arrival point (the airport was created specifically to cater for short haul business travellers, particularly between financial centres).Each airport is served by comprehensive rail and road infrastructure, providing business travellers with a variety of options to enter London. All five airports offer direct rail travel into the heart of Central London, coach travel to the main Victoria terminus, and hire car, mini-bus, licensed black cab and taxi services by road. If you’re a VIP business traveller, chauffeur services are also available, and with the exception of London City Airport, each also offer direct helicopter transfer into the heart of the city.London Heathrow AirportThe busiest of the five airports is London Heathrow. Located less than twenty miles from central London, Heathrow is situated to the west of the city within the M25 motorway metropolitan boundary. The fastest route into London is via the Heathrow Express train service, taking just 15 minutes from terminals 1, 2 and 3 to Paddington station (located on the western side of Central London). If your flight arrives at either terminal 4 or 5 it’s a further four and six minutes travel time respectively, and you’ll need to transfer on to the main London-bound service at terminals 1, 2 and 3.The service is excellent, offering comfort and convenience, but does not always suite everyone’s travel budget. The standard ‘Express’ single journey ticket costs £21.00 (€25.00 / $35.00), but business travellers can get better value when purchasing a return ticket, priced at £34.00 (€40.00 / $56.00). The ‘Business First’ ticket is more expensive, with singles costing £29.00 (€35.00 / $48.00) and returns £52.00 (€62.00 / $86.00), but it does afford business travellers considerably more leg room, the privacy of a ‘single seating’ layout, and a fold out table. The experience is akin to that of air travel. All passengers across both pricing structures enjoy access to electrical sockets, USB ports and free Wi-Fi. The overall quality of service and passenger experience generates a ‘wow’ factor, and if your budget can afford it, is certainly the smoothest, quickest and most convenient way to travel into London from Heathrow. Trains run regularly every fifteen minutes in both directions, particularly useful for last minute dashes to the airport.There are two further rail options available to business travellers, both considerably less expensive, though this is reflected in the quality of service. That’s not to say either is not a good solution for business travellers, just that there is a noticeable difference in convenience and comfort.With a service typically running every thirty minutes, and a journey duration – depending on the time of day – of between 23 and 27 minutes from terminals 1, 2 and 3, Heathrow Connect is more than adequate for business travellers who are not in a hurry. Like the rival Express service, Connect also arrives at Paddington station, but unlike its faster rival stops at up to five other stations before reaching its terminus. The ‘inconvenience’ of this less direct journey is compensated for by a considerably less expensive ticket price. Single journey’s cost £9.90 (€12.00 / $16.00) while a return is £19.80 (€24.00 / $32.00). There is no saving to be made from purchasing a return ticket. While the convenience and comfort of the traveller experience cannot match the Express, the Connect business travel solution is an acceptable compromise that suits a greater number of travel budgets.The third – and least expensive – rail option is the London Underground ‘tube’ network. Despite the network’s name the majority of the journey from Heathrow is overground, until the business traveller nears Central London. Starting on the Piccadilly Line, the service connects all five Heathrow terminals and provides frequent trains into London, stopping at a considerable amount of outlying stations before arriving in the capital’s centre. This continually ‘interrupted’ journey – there are seventeen stops between Heathrow terminals 1, 2 and 3 and Paddington Tube station (the nearest equivalent tube terminus for a fair comparison) – and takes approximately fifty minutes journey time on average, considerably slower than its more direct rivals. This journey comparison also requires the inconvenience of a transfer between lines.So why would the business traveller consider using the tube from Heathrow to Central London? Simple. The frequency of service, the array of destinations, and the cost. At a cash price of just £5.70 (€6.80 / $9.50) for a single journey in either direction during peak hours (06:30am to 09:30am), financially the Underground is an attractive option. At nearly half the price of the Heathrow Connect, and at just over a quarter of the price of the Heathrow Express, this service is comparably good value for money. Further value can be found if the business traveller purchases an ‘Oyster Card’, the ‘cashless’ electronic ticketing system beloved by so many Londoners. Available to purchase at Heathrow London Underground stations, this useful option allows you to get tickets cheaper than for cash – in this case a reduction to just £5.00 (€6.00 / $8.30). Off-peak travel with an Oyster Card offers even greater value, with Heathrow to Paddington in either direction costing just £3.00 (€3.60 / $5.00) per journey. The Oyster Card can also be used for unlimited travel on buses and trains throughout London, with a maximum daily spend capped at £17.00 (€20.00 / $28.00) peak time and just £8.90 (€10.60 / $15.00) off-peak for a six zone ticket (destinations across London are divided into six main zonal rings. Travelling from Heathrow to Central London crosses all six zones).The Underground is primarily a city-wide mass transit system, rather than a ‘train’ service. As such the level of comfort and convenience is substantially less than that of both the Heathrow Express and Connect services, and at peak hours can be considerably uncomfortable. Having endured a recent flight, business travellers who choose this option run the risk of having to stand up the entire journey if travelling during peak hours. If the carriage is full to squeezing point (as is often the case at peak time) managing your luggage can be a challenge. It should also be noted that the tube network – which, as the world’s first urban mass-transit system is over 150 years old – is often prone to signal failures and delays. If the time between your arrival at Heathrow (don’t forget to factor in clearing immigration control, luggage collection and customs) and your business appointment is tight, particularly during peak hours, it is not unfair to say that you are taking a risk if you choose to use the Underground.Compared to using rail, travelling by road into Central London is far less convenient. Like every major city around the world, traffic congestion plagues the streets of London. The M4 and A4 route from Heathrow into London is always busy and in parts can be slow moving at times. No matter what your method of road transport, the business traveller is vulnerable to the risk of delays and accidents.Buses and coaches are plentiful. The dominant carrier is called National Express. They operate services between Heathrow Airport and London Victoria, the main coach terminus in London. From here travellers can travel to many other destinations around the UK. The coaches run from Heathrow Airport Central Bus Station, which is located between terminals 1, 2 and 3. Its well sign posted so easily found. If you’re arriving at terminals 4 or 5 you’ll need to first take the Heathrow Connect train to the central bus station. From Victoria Station you can get to any other part of London with ease, via the Underground, plentiful buses, local trains and licensed black cabs / minicab taxi services.A single journey tickets start from £6.00 (€7.20 / $10.00), while returns cost £11.00 (€13.20 / $18.00). Although you can purchase your ticket at Heathrow, it is advisable to do so in advance, and online. This will ensure you have a guaranteed, reserved seat on your coach of choice, and also provide you with the opportunity to select a time of departure and/or return that best suits your needs. Typically this service runs three coaches per hour to and from London Victoria coach station. The journey time can vary, dependent on the route taken, the time of day and traffic conditions, but you can typically expect your journey to take between 40 and 90 minutes.National Express also offers business travellers a Heathrow hotel transfer service to and from the airport, known as the Heathrow Hoppa. With hundreds of services each day running around the clock, it’s a clean, comfortable and affordable way to get about, costing £4.00 (€4.80 / $6.60) for single journey and £7.00 (€8.40/ $11.50) for a return journey. This service is particularly useful if your business appointment is located close to Heathrow and you have no need to travel into Central London.An alternative to coach travel is taking a bus. This can be particularly useful if you arrive at Heathrow late at night. Depending on the day of the week, the N9 night bus runs approximately every 20 minutes to Trafalgar Square in Central London, from 11.30pm to 5am. The journey time is approximately 75 minutes, subject to traffic delays. It’s a very affordable service, and as part of the Transport for London infrastructure a single journey can be paid for with an Oyster Card (£1.40 (€1.70/ $2.30) or by cash (£2.40 (€2.90/ $4.00).If your journey into London requires the freedom to choose to travel whenever you want, to wherever you want, or you simply require privacy, then private hire transport is readily available at Heathrow. If you’re just interested in getting from A to B and back again, without any other journeys in between, taking a licensed black cab or minicab taxi may suit your needs. Travelling in an iconic licensed black cab into Central London will take approximately 45-60 minutes, subject to traffic delays, and can typically cost between £50.00 (€60.00/ $83.00) and £80.00 (€96.00/ $132.00). If you do find yourself delayed in traffic the journey will cost more, since black cab meters also charge for waiting time when not moving. Black cabs are readily available at all hours, and good sign posting at Heathrow means they’re easy to find. At a squeeze up to five business travellers can be accommodated, though if you all have large luggage it will be a problem.An alternative private hire to black cabs are licensed taxi services. This could be a better option for the business traveller, particularly if a number of people with luggage are travelling together. An array of vehicle types are available, ranging from standard 4/5 seater saloon and 6/7 passenger people carrier cars, up to 15 or 17 seater minibuses and even coach taxis. An added advantage is you can book your vehicle of choice in advance and at a fixed price. With so many different companies offering these services, prices – and quality of service – can vary, but typically for a single journey the business traveller can expect to pay a fixed, advance price of £40.00 (€48.00/ $66.00) for a saloon car; £50.00 (€60.00/ $83.00) for an estate car; £55.00 (€66.00/ $90.00) for an executive car; £55.00 (€66.00/ $90.00) for a people carrier; £65.00 (€78.00/ $108.00) for an 8 seater minibus; £80.00 (€96.00/ $132.00) for an executive people carrier; and £165.00 (€198.00/ $272.00) for a 16 seater minibus. Savings can be made on all tariffs if a return journey is booked in advance.Travelling by black cab or licensed taxi affords the business traveller the freedom to travel at his or her own pace, and can take the hassle out of a journey. It can be a very relaxing way to commute from the airport into London, particularly after a long flight, and offers the business traveller an opportunity to unwind prior to their business appointment.If you need to arrange senior executive or VIP transportation, chauffeur driven services are readily available (booked in advance) between Heathrow and London. The vehicle type and the length of time you require it for will dictate the price you’ll pay. Chauffeur driven services are readily available to find online. The same is true of helicopter charter services which can transfer the executive business traveller from Heathrow into Central London (Battersea Heliport) in approximately 15 minutes. Flightline Travel Management is experienced at providing our customers with both modes of transport, and we’re happy to take your enquiry.© Copyright Flightline Travel Management Ltd. All rights reserved.All prices correct at time of publication.

Alternative Financing Vs. Venture Capital: Which Option Is Best for Boosting Working Capital?

There are several potential financing options available to cash-strapped businesses that need a healthy dose of working capital. A bank loan or line of credit is often the first option that owners think of – and for businesses that qualify, this may be the best option.

In today’s uncertain business, economic and regulatory environment, qualifying for a bank loan can be difficult – especially for start-up companies and those that have experienced any type of financial difficulty. Sometimes, owners of businesses that don’t qualify for a bank loan decide that seeking venture capital or bringing on equity investors are other viable options.

But are they really? While there are some potential benefits to bringing venture capital and so-called “angel” investors into your business, there are drawbacks as well. Unfortunately, owners sometimes don’t think about these drawbacks until the ink has dried on a contract with a venture capitalist or angel investor – and it’s too late to back out of the deal.

Different Types of Financing

One problem with bringing in equity investors to help provide a working capital boost is that working capital and equity are really two different types of financing.

Working capital – or the money that is used to pay business expenses incurred during the time lag until cash from sales (or accounts receivable) is collected – is short-term in nature, so it should be financed via a short-term financing tool. Equity, however, should generally be used to finance rapid growth, business expansion, acquisitions or the purchase of long-term assets, which are defined as assets that are repaid over more than one 12-month business cycle.

But the biggest drawback to bringing equity investors into your business is a potential loss of control. When you sell equity (or shares) in your business to venture capitalists or angels, you are giving up a percentage of ownership in your business, and you may be doing so at an inopportune time. With this dilution of ownership most often comes a loss of control over some or all of the most important business decisions that must be made.

Sometimes, owners are enticed to sell equity by the fact that there is little (if any) out-of-pocket expense. Unlike debt financing, you don’t usually pay interest with equity financing. The equity investor gains its return via the ownership stake gained in your business. But the long-term “cost” of selling equity is always much higher than the short-term cost of debt, in terms of both actual cash cost as well as soft costs like the loss of control and stewardship of your company and the potential future value of the ownership shares that are sold.

Alternative Financing Solutions

But what if your business needs working capital and you don’t qualify for a bank loan or line of credit? Alternative financing solutions are often appropriate for injecting working capital into businesses in this situation. Three of the most common types of alternative financing used by such businesses are:

1. Full-Service Factoring – Businesses sell outstanding accounts receivable on an ongoing basis to a commercial finance (or factoring) company at a discount. The factoring company then manages the receivable until it is paid. Factoring is a well-established and accepted method of temporary alternative finance that is especially well-suited for rapidly growing companies and those with customer concentrations.

2. Accounts Receivable (A/R) Financing – A/R financing is an ideal solution for companies that are not yet bankable but have a stable financial condition and a more diverse customer base. Here, the business provides details on all accounts receivable and pledges those assets as collateral. The proceeds of those receivables are sent to a lockbox while the finance company calculates a borrowing base to determine the amount the company can borrow. When the borrower needs money, it makes an advance request and the finance company advances money using a percentage of the accounts receivable.

3. Asset-Based Lending (ABL) – This is a credit facility secured by all of a company’s assets, which may include A/R, equipment and inventory. Unlike with factoring, the business continues to manage and collect its own receivables and submits collateral reports on an ongoing basis to the finance company, which will review and periodically audit the reports.

In addition to providing working capital and enabling owners to maintain business control, alternative financing may provide other benefits as well:

It’s easy to determine the exact cost of financing and obtain an increase.
Professional collateral management can be included depending on the facility type and the lender.
Real-time, online interactive reporting is often available.
It may provide the business with access to more capital.
It’s flexible – financing ebbs and flows with the business’ needs.
It’s important to note that there are some circumstances in which equity is a viable and attractive financing solution. This is especially true in cases of business expansion and acquisition and new product launches – these are capital needs that are not generally well suited to debt financing. However, equity is not usually the appropriate financing solution to solve a working capital problem or help plug a cash-flow gap.

A Precious Commodity

Remember that business equity is a precious commodity that should only be considered under the right circumstances and at the right time. When equity financing is sought, ideally this should be done at a time when the company has good growth prospects and a significant cash need for this growth. Ideally, majority ownership (and thus, absolute control) should remain with the company founder(s).

Alternative financing solutions like factoring, A/R financing and ABL can provide the working capital boost many cash-strapped businesses that don’t qualify for bank financing need – without diluting ownership and possibly giving up business control at an inopportune time for the owner. If and when these companies become bankable later, it’s often an easy transition to a traditional bank line of credit. Your banker may be able to refer you to a commercial finance company that can offer the right type of alternative financing solution for your particular situation.

Taking the time to understand all the different financing options available to your business, and the pros and cons of each, is the best way to make sure you choose the best option for your business. The use of alternative financing can help your company grow without diluting your ownership. After all, it’s your business – shouldn’t you keep as much of it as possible?

S&P 500 Rallies As U.S. Dollar Pulls Back Towards Weekly Lows

Key Insights
The strong pullback in the U.S. dollar provided significant support to stocks.
Treasury yields have pulled back after touching new highs, which served as an additional positive catalyst for S&P 500.
A move above 3730 will push S&P 500 towards the resistance level at 3760.
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Pfizer Rallies After Announcing A Huge Price Hike For Its COVID-19 Vaccines
S&P 500 is currently trying to settle above 3730 as traders’ appetite for risk is growing. The U.S. dollar has recently gained strong downside momentum as the BoJ intervened to stop the rally in USD/JPY. Weaker U.S. dollar is bullish for stocks as it increases profits of multinational companies and makes U.S. equities cheaper for foreign investors.

The leading oil services company Schlumberger is up by 9% after beating analyst estimates on both earnings and revenue. Schlumberger’s peers Baker Hughes and Halliburton have also enjoyed strong support today.

Vaccine makers Pfizer and Moderna gained strong upside momentum after Pfizer announced that it will raise the price of its coronavirus vaccine to $110 – $130 per shot.

Biggest losers today include Verizon and Twitter. Verizon is down by 5% despite beating analyst estimates on both earnings and revenue. Subscriber numbers missed estimates, and traders pushed the stock to multi-year lows.

Twitter stock moved towards the $50 level as the U.S. may conduct a security review of Musk’s purchase of the company.

From a big picture point of view, today’s rebound is broad, and most market segments are moving higher. Treasury yields have started to move lower after testing new highs, providing additional support to S&P 500. It looks that some traders are ready to bet that Fed will be less hawkish than previously expected.

S&P 500 Tests Resistance At 3730

S&P 500 has recently managed to get above the 20 EMA and is trying to settle above the resistance at 3730. RSI is in the moderate territory, and there is plenty of room to gain additional upside momentum in case the right catalysts emerge.

If S&P 500 manages to settle above 3730, it will head towards the next resistance level at 3760. A successful test of this level will push S&P 500 towards the next resistance at October highs at 3805. The 50 EMA is located in the nearby, so S&P 500 will likely face strong resistance above the 3800 level.

On the support side, the previous resistance at 3700 will likely serve as the first support level for S&P 500. In case S&P 500 declines below this level, it will move towards the next support level at 3675. A move below 3675 will push S&P 500 towards the support at 3640.