Overcast

Overcast

max temp: 18°C

min temp: 16°C

Search

The pigs have arrived. See the latest

Pigs Gone Wild

news here.

East Anglia: Access to bank finance still a concern for region’s SMEs

13:00 07 June 2014

Mike Randall, chief executive of Close Brothers Asset Finance.

Mike Randall, chief executive of Close Brothers Asset Finance.

Archant

Four out of five small and medium-sized firms in East Anglia which plan to seek funding for growth in the next 12 months fear their bank will turn them down, according to a new survey.

The poll for the latest Close Brothers Business Barometer found that nearly 20% of SMEs in East Anglia plan to seek growth funding but that, of those, 80% fear they will be refused by their bank.

Mike Randall, chief executive of Close Brothers Asset Finance, said: “It is encouraging that many firms are planning for growth and seeking investment, but unless they can get access to funding it will be difficult to realise their ambitions.

“To successfully build long-term development plans, companies will require greater access to working capital. It is important they understand and explore the alternatives available to bank lending, especially if they fear being turned down.

“Our research found that almost a fifth of firms surveyed in East Anglia have been declined access to bank funding over the last six months, so the fears businesses have are not unfounded.”

The survey also revealed that more than half of local businesses admit that their knowledge of alternative sources of finance could be better, while 11% say they are unaware of any alternatives to bank lending.

Mr Randall added: “It’s vital that firms consider other means of investment to help them fund their growth and find a solution that supports their needs.

“Asset finance is one alternative that has become increasingly popular in recent years. However many companies remain unaware of how it can help them to achieve their potential.”

However, the BBA organisation, which acts as a collective voice for the banking sector, said last week that new loans to medium-sized businesses grew during the first quarter of this year by £3.6billion, with overall new borrowing totalling £6.8billion – a 10% increase on the same time last year.

“This is reinforced by encouraging results from independent SME Finance Monitor where fewer than one in ten businesses said that they view access to finance as a major barrier to their growth and success,” BBA added.

1 comment

  • I think you are supposed to read the press release and make an article from it, you know, perhaps interview a few local businesses etc, not copy and paste it!

    Report this comment

    Ipswich Entrepreneur

    Saturday, June 7, 2014

The views expressed in the above comments do not necessarily reflect the views of this site

South East Suffolk Magistrates' Court

A north Essex man has been charged with grievous bodily harm after an Ipswich father-of-three was seriously hurt during a night out.

Car theft and break in

Motorists in Kesgrave are being urged to keep their cars locked and valuables out of sight after the latest in a string of attempts to access them.

The Trotters Pig

Everyone has a favourite piggy - but which one is it?

Possible views for the new Cornhill in the heart of Ipswich.

A free wifi area could be created in the heart of Ipswich when the Cornhill is rebuilt over the next two years, it has emerged.

Martin Myerscough's Frugalpac cup

A Suffolk entrepreneur could soon be supplying his eco-friendly invention to the world’s largest coffee chain, after grabbing industry attention for his answer to an environmental problem.

Alexander Baxter, owner of gentleman’s accessory firm Baxter & Baxter

A 22-year-old fashion designer who left his day job to build a brand from the ground up has seen his accessories paraded on the red carpet.

A computer-generated image of how the Sizewell complex will look after construction of Sizewell C.

Britain is set to get its first new nuclear power station in generations as EDF’s directors approve investment in Hinkley Point.

Ipswich Hospital

Hundreds of working days were lost at Suffolk’s largest hospital through psychological issues last month, prompting an investigation into the possible link between staff overtime and stress.

The A1071 between Ipswich and Hintlesham.

There was heavy traffic on the A1071 in Hintlesham this evening due to a number of different crashes.

Tess carried a faulty BRCA2 gene, which greatly increases the risk of developing breast and ovarian cancer.

The family of a 24-year-old woman from Ipswich who has died of cancer have paid tribute to her “strength” and “bravery” as she was determined to live life to the full despite the devastating diagnosis.

Most read

Most commented

HOT JOBS

Show Job Lists

Topic pages

Streetlife

Newsletter Sign Up

Great British Life

Great British Life
MyDate24 MyPhotos24