BCC director John Longworth said that small firms struggle to access the necessary working capital and development capital to grow small businesses. He has urged the government to address the issue to allow for more Funding to Lending Schemes and skew lending towards small and medium sized enterprises based in the UK.
Mr Longworth however outlined five key ways to boost investment in the UK:
- Nurture business confidence
- Address the structural failure in business finance
- Relieve firms from the ‘cost of doing business crisis’ in the UK, which includes rising business rate bills and energy cost
- Delivery of infrastructure projects already promised, so that companies are confident they will be able to trade the world
- Better availability of skilled workers
This year, Bank of England director for markets Paul Fisher also said that there had been reduced SME business lending in 2013. Despite an economic recovery following the banking crisis, he said that ‘credit supply to businesses remains relatively subdued’.
However, there are many different ways to raise finance for small businesses. From bridging loans, invoice discounting and working capital finance, to bigger business loans or equity investment, here at business funding we have a team of partners dedicated to getting funding for your business.