Firms underinvesting due to lack of credit

Research by the Bank of England (BoE) shows a fifth of firms are under-investing, because they cannot get the bank funding they need to expand.

The BoE’s new survey, that collects data on business investment and financing decisions, shows that one third of UK businesses feel their investment has been too low, with 20 per cent citing constraints on borrowing, including expectations of their loan application being rejected by banks, the demanded cost of the funds, the maturity on the repayment, and the onerous collateral demands made by lenders as key barriers to business investment.

With demand for alternative finance therefore likely to increase further as we move into 2017, what is essential is that SME’s choose a specialist adviser who can recommend the right financial products for their specific business needs.

Our partner business, BM Structured Finance, specialises in sourcing and restructuring debt finance for SME businesses. We match the most suitable products to each individual circumstance and work together to ensure compatibility and satisfaction, thereby enhancing the business’ cash flow liquidity and facilitating maximum growth.

Whether you’re a start up or a well-established business, cash is king and managing its flow is crucial to your long-term success. For more information about how BM Structured Finance can help you and your business, contact Simon Belton or your usual Beavis Morgan Partner.