Small businesses appear unfazed by Brexit uncertainty as funding requests rocket in August

 
William Turvill
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Britain Reacts To The EU Referendum Result
The UK voted to leave the European Union on 23 June (Source: Getty)

Small businesses do not appear to have been “rattled” by EU referendum uncertainty.

The National Association of Commercial Finance Brokers (NACFB) has reported a large surge in funding enquiries so far this month.

The body’s FindSMEfinance.co.uk platform, which enables access to 140 high street and specialist lenders via its network of 1,600 broker members, has received enquiries for finance totalling more than £20m so far in August.

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The NACFB said this figure is equal with the full month of July and twice as big as August 2015.

“Project Fear doesn’t appear to have rattled the SME community,” said Adam Tyler, chief executive of the NACFB.

“August is typically a quieter month for funding applications, but businesses aren’t procrastinating, and are showing a real appetite for growth, even with the uncertainty surrounding our future relationship with the EU.”

The average loan size requested during this month has been £128,000, up from £73,000 in July and £94,000 in June, the NACFB said.

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Tyler added: “UK SMEs are the lifeblood of this country, but if they’re going to take advantage of the opportunities presented post-Brexit, the alternative funding sector has a vital role to play, particularly as we look to broker new trade agreements with countries outside the EU.

“It’s also important that the government drums home the message that there are many routes that SMEs can take to find funding. There is some caution out there about who is lent to, but there are more lenders than there’s ever been in the commercial finance sector who are happy to provide finance.”

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