- Level of enquiries for SME credit and lending are high
- Liquidity still strong amongst funders committed to supporting SMEs
As recent articles report of a deceleration in demand for credit from SMEs in the UK, we’ve been delighted to find that SMEs in the North East are not only bucking the trend, but heading into 2023 with ambition, confidence and determination, as appetite for credit and lending has soared.
Resilient entrepreneurs are aggressively acquiring businesses, some building their investment portfolios, and others pivoting business models or trialling new products and services due to opportunities presented by the pandemic and its legacy.
Enquiries began to climb in summer 2022 and the demand continues to build, with our team predicting the level of enquiries will not wane in 2023. Whilst the 2022 Mini Budget and the subsequent upheaval did cause ripple effects, both business and lender side, the upward trend in enquiries had already begun and has further strengthened heading in to the new year.
Whilst many deals that would have been mainstream bankable deals in the recent past are no longer so straightforward, there is a steady demand and those with inclination and commitment – and the right support – will find alternative providers. In times of uncertainty clients look for assurances from their funding partners and whilst mainstream providers have become more reticent and unable to provide such guarantees, alternative solutions are increasingly available. With many businesses forced to turn to such alternatives, demand is strong, especially for asset finance/refinance and property deals.
Our advice to SMEs looking for credit and lending this year? Be open to alternatives.
We can help. Contact Steven Foley at steven@ccbsg.co.uk for an initial chat to find out how our experience and network can grow your business in 2023.