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Many SMEs worry that finding funding will become more difficult - survey

Last updated: 13:15 17 Jun 2021 BST, First published: 11:15 17 Jun 2021 BST

MBH Corporation PLC -

Many small and medium-sized companies are worrying that access to finance will become harder over the next three years due to late payment of invoices, according to a new survey.

A poll commissioned by MBH Corporation (FRA:M8H, OTCQX:MBHCF) of 288 SME owners found that 40% believe applying for funding will become more difficult, while just 10% expect it to become easier.

A third of those surveyed believe lending conditions will not change and 17% are unsure what will happen.

This is against a backdrop where 34% of SMEs reported an increase in the time customers take to pay invoices.

Access to funding will be a major issue for SMEs, MBH said, as 30% of SME owners said they are likely to want to borrow to fund growth over the next two years.

Callum Laing, CEO of MBH Corporation PLC said: “Access to funding is a constant worry for SMEs and being rejected can have major consequences for expansion plans.

“SMEs are generally optimistic about the future as underlined by their plans to access finance for expansion shows. The good news is that experience over the past year shows that SMEs which have applied for finance have been successful.”

MBH Corporation has acquired over 20 SME companies in recent years, with profitable businesses joining the group in order to benefit from the advantages of being part of a larger PLC and as company owners retain their autonomy and become co-owners of the listed vehicle.

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