Reluctance to Borrow, Governance and Payment Practices Review and Asset Finance - BFB Epsd 207
By Rob Warlow
Are small businesses increasingly reluctant to borrow? According to findings in the latest SME Finance Monitor Report that appears to be the case. What are the factors holding businesses back from approaching lenders? Following the Carillion liquidation, concerns continue to be expressed about how larger businesses deal with their smaller counterparts. Is there a failure in UK corporate governance, particularly when it comes to payment practices? That’s a question being posed in a consultation paper issued by the government. Do you have comments or ideas to share? Despite the apparent overall reluctance to borrow, we close our Bulletin by reviewing the latest figures from the Finance and Leasing Association. The statistics for business transacted to January 2018 reveal steady growth in the use of this form of finance.