The fixed versus floating discussion is always being raised by clients and it really is important you choose the type of interest rate that best suits your business. Fixed rates will provide you with more certainty and stability over the term of the loan. Floating interest rates, on the other hand, are better suited if you’re after fluidity and if you are likely to make snap decisions about where you have your money.
In our experience at CMK, some clients choose floating loans for both flexibility and the freedom to change banks without being tied to a lender for a fixed period.
Only you can make the decision as to which type of loan you are comfortable with. Because every business is different, the management approach to banking also differs in order to achieve a certain result.