The website, which went live on 20 January 2012, allows small and medium-sized business owners to look for alternative forms of funding, including invoice finance, asset-based lending, trade finance as well as business loans. The Finding Finance specialist advisers are based throughout the UK and do not charge users or take a commission from lenders helping ensure owners get the best deal for their business.

Carl Jackson, head of RSM Tenon’s Recovery service line, said: “At a time when there is considerable debate about the availability of funding for small businesses, it pays business owners to familiarise themselves with the full range of funding options available. A traditional overdraft is often insufficient to support a growing small business and there are a range of alternatives offering companies increased funding, greater flexibility and, importantly for many business owners, reduced personal risk”.

Nearly 42,000 businesses in the UK are estimated to currently use invoice finance, a funding solution whereby a business owner bypasses the normal 30-day plus wait for payment of their invoices. Invoice Finance companies provide immediate funds against invoices raised, greatly assisting both owners of fast growing businesses and those with cash flow issues. The amounts borrowed under this type of arrangement have grown considerably in recent years as has the use of Asset Based Lending which involves borrowing against other business assets such as stock, plant and machinery and property as well invoices.

“Our industry’s opinion of these funding models has changed,” said Carl Jackson. “A number of years ago, they were thought of as a backstop rather than first choice solution – as funding has become scarce and people have begun to realise that the flexibility and terms of such funding models can be competitive, their popularity has risen. They are not the solution to every funding problem but in the current climate every business owner should know what is potentially in the finance locker”.

Article contributed by RSM Tenon

The survey found that while hopes for an increase in turnover are strong, expectations of profitability and plans for recruitment are less positive and it’s widely believed that downward price pressure will adversely affect success.
In spite of the widespread concerns for economic growth, 43% of UK small and medium sized enterprises expect their turnover to grow and only one-in-six expect to see a decrease during the coming 12 months.

There is however a sharp contrast in optimism depending on the size of the business. When it comes to sole traders, only 23% believe that turnover will improve in the coming year. This figure more than doubles when it comes to SMEs with 50-99 employees. Here over half (51%) expect turnover to improve.

However the outlook on profitability is less positive across the board with 21% expecting it to worsen and only just under a third (32%) expecting it to improve.

While there is a sizable middle ground of firms who expect both turnover and profitability to increase or remain stable over the coming year this does not translate into expected growth in employment levels, with only one in seven firms surveyed expecting to take on more staff during the year. 82% of UK SMEs say that headcount will either stay the same or worsen. While revenues might be expected to increase in 2011-12, this will be on narrower margins with 62% of SMEs agreeing that “Pressure to keep consumer prices down” will adversely affect their business. Nearly one-third (29%) expect this to have a major impact.

Matthew Reed, Managing Director Intermediary for AXA Commercial Lines comments: “When it comes to the fortunes of the UK’s SMEs, there is a more complex picture out there than the headlines would lead us to believe. It’s not all doom and gloom for sure.

However there is a real need for valuable advice when it comes to risk management given the fact that, when asked to identify key risks facing their business, nearly a quarter of UK SMEs (23%) couldn’t name a single one. I find this quite staggering. In my view it means that brokers have a major role to play in helping their clients to both understand the risks their businesses face during these difficult times as well as manage them.”

Contributed by: AXA UK – http://www.axa.co.uk/business

The report, shows that, while many studies talk of increased business confidence around the nation, nearly a third of small businesses are pessimistic about their future.

Only 16% of businesses are very optimistic about their outlook, while only half are slightly optimistic about what’s ahead. The study also found that over two thirds of SMEs think there is a clear lack of support in their area to stay afloat and prosper.

The biggest financial concern for a quarter of businesses is a lack of access to finance with many doubtful that this will improve soon.

A third believe it will be more than 18 months before they see an improvement in the availability of finance, while a similar number don’t think it will ever get easier.

Contributed by Factorscan

Image copyright: Flickr

Invoice finance, including invoice discounting and factoring, is a proven way to grow your business. This funny, Alan Partridge style Fast Finance Guide from SME Invoice Finance introduces business owners to invoice discounting and factoring to improve cash flow. In this comedy video, the Alan Partridge character answers your question: How does Invoice Discounting or Factoring work?

As you’ll see from the video, it’s a lighthearted way to tackle a fairly ‘heavy’ subject and to introduce businesses to invoice finance. Making the service more widely accessible to owner-managed businesses is critical to the future success of small businesses in the UK.

Please feel free to forward the link below to your friends, colleagues or anyone else you think might enjoy it.

http://www.youtube.com/watch?v=ofYpLG4-gvQ

Click here to to watch the SME Fast Finance Guide

Contributed by SME Invoice Finance