North East SMEs reject traditional finance

Businesses across the North of England are turning to alternative forms of finance rather than approaching banks for funding, new research from Bibby Financial Services shows

SMEs in the North East fear the economy will take years to recover
SMEs in the North East are turning to alternative forms of finance

Businesses across the North of England are turning to alternative forms of finance rather than approaching banks for funding, new research from Bibby Financial Services shows.

Almost half (44%) of firms polled by the UK’s largest independent invoice finance provider said they had applied for alternative forms of funding over the last six months, whereas only a third, (34%) approached a bank to secure finance during the same period.

Peter Cromarty, spokesman for Bibby Financial Services in the North East, said: “There should be no ‘one-size-fits-all’ approach to finance so it’s encouraging to see firms are embracing forms of finance beyond traditional loans and overdrafts.”

Bibby surveyed 1,000 SMEs in July and August 2013.

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