Financial worries challenge SMEs - Business - News - Moneyfacts

News News brings you the latest financial & economic news & reviews of the best products in the UK by our team of money experts.

Financial worries challenge SMEs

Financial worries challenge SMEs

Category: Business

Updated: 30/04/2013
First Published: 30/04/2013

This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.

Cashflow remains a major concern for small and medium-sized (SMEs) in the UK, according to research by Santander Corporate and Commercial.

Nearly half of SMEs (41%) claimed they were worried about successfully managing their cashflow over the next twelve months, whilst 46% of businesses said they had experienced at least one financial setback recently, such as late payments from customers, poor sales results or unforeseen charges.

Around 17% of SMEs said they were 'very' concerned at their cashflow situation over the forthcoming months.

Despite fewer large businesses expressing concerns about their finances, a growing number said they were utilising cash and asset management solutions as a means to review and manage their finances.

Head of SMEs at Santander Corporate & Commercial, Marcelino Castrillo, said: "Many businesses are missing out on effective alternative financing solutions such as invoice or supply chain finance, or relying excessively on loans and investments.

"In doing so, they are opening themselves up to unnecessary cash flow volatility and business risks."

What next?

Compare Business Accounts & Commercial Mortgages
Compare business savings accounts

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

Related Articles

Business Moneyfacts Awards finalists announced

Are you in the field of business finance? Then you’ll be familiar with the Business Moneyfacts Awards, the highlight of the year for the industry, and you’ll also be pleased to hear that the finalists for the 2017 ceremony have just been announced!

Business owners – do you have a cash buffer?

Building up a cash buffer can be a vital part of business management, particularly in uncertain times. It’s therefore little surprise to find that SMEs built up significant cash reserves in the lead up to the referendum.

Business owners – are you missing out on returns?

Running a successful company demands strong organisational skills, business acumen and a keen eye for finances, which is why it’s so surprising that many business owners could be missing out on returns because they don’t know their interest rate.