‘Failed by banks and government’
Jan 18 2010
“'The government and banks have failed us,' say SMEs”
Both the banks and the government have failed to help small businesses during the recession, say the vast majority of SMEs.
Of 504 small businesses surveyed in a poll from insolvency firm Tomlinsons, 86 per cent believe the banks have not been supportive during the last 18 months, while 82 per cent say the government has also done little to help.
Tomlinson, partner at Tomlinsons, says: ‘The results of this survey send out an unequivocal message to the banks and government, which is that they have let down the country's smaller businesses in their hour of need. They are a damning indictment of both.’
According to research from finance provider Syscap, 90 per cent of small businesses believe that loan arrangement fees are excessive, while 75 per cent feel that the lending margins on loans are too high.
Last year Enterprise Tsar Lord Sugar described small businesses who had been denied bank funding as 'moaners' who 'live in Disney World'.