Produced by British Business Bank and Institute of Chartered Accountants in England and Wales (ICAEW), the launch of the Business Finance Guide comes the day after the government introduced the Small Business, Enterprise and Employment Bill which includes measures to increase the availability and sources of investment for small businesses by opening up access to small business credit data and to improve larger companies payment practices.
The guide sets out the full range of debt and equity finance options for businesses as they journey from start-up to growth to listing on the stock exchange, and is backed by an unprecedented 18 leading business and finance organisations. It focuses on the market as a whole, offering several tools and ideas to help businesses weigh-up their options, make decisions and plan how they will finance expansion.
Business Secretary Vince Cable said:
The business finance market is going through a period of rapid change with challenger banks, peer-to-peer lenders and invoice financing gaining traction. But over two-thirds of small and medium sized firms only go to one finance provider, so it is important businesses know about the huge variety of options open to them.
This newly-published free Business Finance Guide should be essential reading for all entrepreneurs and directors, and will play a key role in raising awareness of the different types of finance available to start or grow their business.
Michael Izza, ICAEW’s chief executive, said:
Business investment is forecast to grow by 8.2% this year, up from a previous forecast of 7.1%, and confidence is at a record high. Companies may be wary of less well known sources of finance but the Business Finance Guide aims to answer any questions they have about a wide range of options.