Funding and Advice for Growth

30 Jan 2012

nebusiness.co.uk Supplement to be published on Friday 17th February 2012.

Even in these challenging times, the opportunities for companies to finance growth are out there: it’s just where to find them!

Just one in ten owners and managers feel they have easy access to finance.

More than two-thirds of business owners and managers are unaware of how to source additional funding, with over half finding it difficult to access funding for growth.

The banks have been well and truly in the line of fire, but is it their fault? Despite numerous recent initiatives, two out of five of business owners and managers still cite the banks' inflexibility as their primary business finance challenge.

But despite their inflexibility, a large proportion of businesses still obtain their finance from these conventional sources: typically 16% use bank loans and 13% a bank overdraft.

When asked what the best sources of funding for growing businesses was, 35% of owners and managers cite venture capital and 23% business angels.

Yet, in practice, only 12% and 2% of businesses respectively, actually manage to work with these financial partners. 26% of entrepreneurs consider lack of cash flow to be the biggest hurdle their business faces.

Cash flow is the lifeblood of any business and the fact that the owners and managers of Britain's 4 million small firms are struggling to access finance for growth does not bode well for UK business.

Clearly, there is a need for as much advice and support as possible for smaller firms and the Government, business advisory organisations and the industry as a whole, could start by doing more to educate the SME community on what funding options are available and how they can access it.

On 17 February, The Journal will be publishing a supplement examining the advice and funding that is available for growing businesses.

This report provides an ideal opportunity for companies, organisations and professional bodies to explain in detail what levels of expertise and funding they can provide to enable local businesses to grow.

For further information and advertising opportunities, please contact
Richard Binney, Business Account Manager
Telephone: 0191 201 6032
Mobile: 0794 673 0287
Email: richard.binney@ncjmedia.co.uk

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