By Jason Theodorou
Over 25% of small businesses in the North West region have limited confidence in securing funding for business growth, compared with 3% of larger companies, according to the Federation of Small Businesses (FSB).
The FSB said that the number of companies which were sure that they could identify and access funding for their business saw a 7% decline, compared to the same study in 2008.
The report explored problems facing 834 businesses in the North West region, and identified access to finance as a crucial factor for business growth. The preferred source of finance for growth was overdrafts and bank loans, with 56% of the firms participating in the survey seeing it as the most viable method of funding.
Paul Henley, the FSB’s North West policy manager, said: ‘Provided they are given the correct support, SMEs are able to contribute hugely to the UK’s economic recovery… it is important for banks to recognize the value of small companies, and their potential to contribute to an economically sustainable future’.