Concerns revealed
BDRC today publishes its quarterly SME Finance Monitor. The largest and most frequent study of its kind in the UK, research findings have been gathered across 25 waves of interviews since 2011 and are based on more than 120,000 interviews with SMEs.
The Q2 2017 data published today provides a further update on the period after the EU referendum campaign and the recent General Election. Overall much of the data is stable with demand for finance remaining limited as SMEs, especially the smaller ones, prefer to self-fund.
Shiona Davies, Director at BDRC, commented:“There have been no dramatic market changes since the referendum. However there are signs in the first half of 2017 that larger SMEs, whilst concerned about the economic climate and political uncertainty, are looking to grow and to use finance more than before.”
“For the smallest SMEs, the picture is slightly different.” added Davies “Like their larger peers, many of them have made a profit and more of them are holding £10,000 or more in credit balances. However these sole traders have become less likely to be planning to grow over time and less willing to borrow to grow. They would be more likely to either self-fund a new business opportunity or turn it down because of concerns over getting into debt”.
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