Not only does the UK boast the highest amount of registered micro businesses - less than 9 employees - but also the highest levels throughout Europe of those surviving more than 5 years, double that of Turkey, in 2nd place.
What’s more, earlier this year, the UK was voted the top country in Europe for start-ups following Brexit shockwaves.
However, as positive as this news is for business owners within the UK, we must not, as a nation or a business owner, become complacent.
We must still tread carefully. Be mindful that still 50% of businesses do fail after 5 years, 30% fail in their 2nd year and 20% fail in their 1st year of trading.
So why are they failing? It’s often due to lack of cashflow. That’s the biggest reason small and medium sized businesses fail. Cash is usually wrapped up in unpaid invoices. Works have been carried out yet not paid for. Yet these SMEs and micro businesses, like yourself, must still pay their own suppliers, staff and other overheads. How can this be done when all too often invoices are taking more than 60 days to be paid? Invoice finance, that’s how!
Invoice finance works by using your debtor book, without any risk to your business, assets or customer relations.
That’s why over 50,000 UK businesses are using invoice finance to immediately advance monies on their issued invoices. It’s these SMEs and micro businesses that are managing to survive beyond 5 years as they do not have the threat, or stress, of late paying customers. Instead they have financial stability and peace of mind.
The UK lending market is particularly buoyant for SMEs and micro businesses, with financial providers offering a huge range of SME finance options for businesses, many at pre-pandemic rates, some of which are the most favourable they’ve ever been. There really is no better time to consider investing in your SME business.
Many SMEs are thriving as the pandemic gets under control. As a result, they are looking for finance to help them take advantage of the growth opportunities available to them, whether that is in the form of a traditional business loan, dynamic lending, alternative finance or a multifaceted option.
This funding is being used to increase output, negotiate better terms with suppliers, purchase additional stock, hire new staff, even to acquire larger premises. That's why your business needs to consider specialist SME business finance, often working in harmony with an invoice finance facility.
Here at Capital Corporate Finance we offer unrivalled advice and support to business owners when considering and arranging their business finance. As one of the UK’s few independent brokers, and longest serving – nearly 29 years – we are best placed to secure the right finance for your business. We pride ourselves on arranging your finance faster, and with better rates than you can secure by going direct, due to our coveted fast track status with UK lenders. Your finance options include:
To consider your SME finance lending options contact me, direct, today - Carole Roe, Founder and Managing Director, and take advantage of our privileged fast track status, seeing us arrange your finance faster and often at lower cost than going direct! Call 07785 596053, or you can email me on carole@capitalcorporate.co.uk
* Survey report carried out by Money.co.uk
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