The vast majority of UK small and medium-sized enterprises (SMEs) and their owners are confused about business finance and funding options, a new study suggests.
According to a study carried out by alternative finance provider Liberis, 62 per cent of SME decision makers believe that their business needs additional funding in order to achieve its growth and expansion ambitions, while a further 22 per cent require funding in order to maintain business as usual.
Despite this, the survey also found that more than half (57 per cent) of SMEs are confused about which providers to obtain funding from, while a further 53 per cent are not entirely sure how much funding they require.
Rob Straathof, CEO, noted that there was a “lack of confidence and awareness among SMEs” when it came to business funding and finance options.
“Funding will continue to be a hot topic for the small business community, but urgent action and collaboration is crucial to prevent resulting damage to the UK economy,” he said.
“Without sufficient financial education and support, the UK’s business ambitions will be severely affected. But by ensuring they have the correct financial understanding, we can help secure and strengthen their livelihood; fast-tracking their ambitions.”