In its new report, the British Business Bank (BBB) has praised increasing diversity in finance opportunities for UK SMEs.
The Benefits of Diverse Small Business Finance Markets highlights a truth known all too well by small businesses: the finance needs of many small businesses to-date have not been matched by accessible products designed for them.
We are pleased to see the BBB commit to expanding its number of delivery partners. In particular, the property market remains an untapped opportunity for the Bank, with a huge opportunity available to support the delivery of flexible finance to property entrepreneurs building and investing in homes across the country.
The housebuilding and property investment sectors are of strategic importance to the country, but these markets do not work well for SMEs, which are often locked out of finance opportunities offered by mainstream lenders.
With a responsibility for national economic development, the BBB is demonstrating that working with FinTech companies offering alternative finance products to small businesses is improving the uptake of finance and building market confidence.
Hardware companies, tailors and coffee shops across the country are capitalising on new routes to finance, enabled by public capital. This is a positive first step in supporting new businesses to start up, scale up and stay ahead. Moving forward, the BBB must be supported to improve the finance market for property SMEs building homes of every type.