Asset based finance figures show real help for businesses
Evette Orams, Managing Director of Hilton-Baird Financial Solutions, comments on the latest quarterly figures from the Asset Based Finance Association:
With cash flow an ongoing challenge for many businesses, it’s extremely encouraging to see that the UK’s asset based finance providers are continuing to increase the volume of cash advanced and supply much-needed funding to so many of the country’s businesses.
This is in contrast to the Funding for Lending figures, published this week, which sadly once again show a contraction in traditional bank lending. It is however reassuring that tangible funding support mechanisms are available in the form of asset based finance.
In order to aid recovery, the UK needs its SMEs to be able to seize every viable opportunity as and when they arise. Asset based finance is the ideal tool for this, providing access to vital funding in line with turnover and the means for them to invest in their future.
Confidence is slowly returning to the markets and this is the sort of news that should really demonstrate to businesses that help is available if they’re prepared to look beyond more traditional funding methods and towards solutions that specifically target improving cash flow.