Credit, Collections & Insolvency News
The percentage of small businesses that rely on finance or funding to invest in business growth has reached an eight-year high, and those most in need of it are the enterprises predicting significant expansion for the months ahead, according to new research by Novuna Business Finance. The nationwide poll of 1,242 small business owners revealed…
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Research by Allica Bank has advised that the SME lending market needs a full reboot, with the UK having the lowest business investment rate in the G7. The report highlights how small businesses invest at only a third of the level of large corporate businesses, with a clear link between low levels of SME finance,…
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The British Chambers of Commerce (BCC) has warned that a 10% tariff on goods exported to the US will hit UK traders, with two in five businesses which export to the US saying they will suffer a ‘significant negative impact’ from charges. Around a third of British businesses exposed to tariffs are planning to raise…
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One in five small businesses are turning to credit cards to manage cash flow, highlighting a growing trend among entrepreneurs facing unpredictable income and rising expenses. While credit cards can offer flexibility and short-term relief, relying on them without a strategy can quickly spiral into high-interest debt and financial strain. The British Business Bank found…
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New data from Atradius has revealed that 65% of UK businesses are confident in their ability to overcome Budget-related challenges and continue growing. This optimism is supported by a decline in claims across two-thirds of sectors compared to February 2024, signalling a positive start to the new financial year. Sectors experiencing the most significant drop…
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Profits at USMEs increased by 7.3% year-on-year in Q4 2024, according to Sage’s small business tracker. This is down from 8.2% in Q3 and 8.6% in Q2. It was also found that productivity fell by 0.9% year-on-year in Q4. While debt levels have fallen by 9.7% over the last year, cash reserves increased by 3.2%…
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A third (33%) of SMEs say they will have to raise prices this year as a result of the Government increase in National Insurance Contributions (NIC) for employers. More than four-in-ten of the UK’s small and medium-sized businesses (SMEs) admit that the government’s increase in NIC for employers will negatively impact them, with nearly a…
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The number of UK mid-sized businesses at risk of becoming a ‘zombie’ company has risen, as rising costs and challenging economic conditions leave little breathing room for growth, according to new researchfrom accountancy and business advisory firm BDO. In the last 12 months, one in six mid-sized businesses (15.9%) have been deemed to be at risk…
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The dynamism of the UK’s private sector has plunged to its lowest ebb for eight years as bigger firms hit the rocks and new company creation according to research by Cynergy Bank. The Bank’s research draws on latest ONS data finding that in 2024, new company formations plummeted to 306,995, the lowest since at least…
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Better access to mortgages, banning ‘harsh’ personal guarantees, and ensuring entrepreneurs can have a comfortable retirement will encourage more people to launch small businesses, research by the Federation of Small Businesses (FSB) shows. The research found that a quarter (25%) of entrepreneurs say that being self-employed has made it more difficult for them to get…
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A new EY ITEM Club forecast has predicted bank-to-business lending growth to increase from 2.9% in 2024 to 4.5% in 2025 – the highest rate since 2020 – and 5.6% in 2026 as borrowing rates continue to fall Bank lending to UK businesses grew by 2.9% in 2024, as falling interest rates boosted market confidence…
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Business confidence amongst UK CEOs is growing, despite ongoing geopolitical and macroeconomic challenges, according to the latest EY-Parthenon CEO Outlook survey. The survey of 100 UK CEOs, which evaluates optimism levels and provides insights on capital allocation, investment and transformation strategies, found that 82% of UK CEOs felt very or somewhat optimistic about the business…
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Audit firm, Wbg has warned directors against the repercussions of failing to deal with failing companies in the proper manner and illegal ‘phoenixing’. The caution follows reports that a Scottish company director used a ‘corporate rescue’ process to shut down his winter sports business and dodge paying out money to staff by paying bogus directors…
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