Last week, we wrote about some of the lapses of common sense which bankers are sometimes guilty of with regards to their lending criteria. But here is another twist in the saga. Have you read the latest marketing material being produced by the various high street banks?
If you read it in detail you may think that banks will shortly run out of money because they are so active and so supportive and there is hardly any business they don’t lend to. We all know that this is not the case though. So how can banks get away with this?
I suppose in reality banks will outsource their marketing to some marketing agency and they will of course use every possibility to spin the story. Most businesses do not get away with this but I wonder why so much money is spent marketing and totally ignoring that most SMEs have day to day exposure with banks and day to day experience with their restrictive lending criteria, expensive charges, lack of support (especially with overdrafts!) and a increasing culture of cross selling.
We know that the above doesn’t paint the whole picture – that there is business finance available for small businesses and entrepreneurs – but it is about getting the right messages out there to small business owners which is key.
What is your experience with your business bank?