A survey last week by the All-Party Parliamentary Group (APPG) on Fair Business Banking looked into the main High Street Lenders and whether they were open or closed to providing SMEs with the Government’s Bounce Back Loans. In particular, whether they were open to helping customers who were not currently their clients.
The results might not shock you.
Whilst there were a handful who were still assisting customers in sourcing BBLs, they generally required accounts to be opened and were taking weeks to progress. This means that many small businesses might be left without access to finance. Which in these uncertain times, is a worrying thought.
However, there may be alternative avenues which might be suitable for a SME looking for finance. Invoice financing might be a solution? Or they could consider a working capital loan? Or perhaps a capital raise off their premises? The right answer will depend on the business in question. Therefore, it is important that any small business that needs access to finance speaks to someone to ensure they get the right finance for their particular requirements.