The National Association of Commercial Finance Brokers (NACFB) has announced the results of its latest annual member survey, revealing a shocking picture of the small and medium sized enterprise (SME) community.
In fact, some members reported an 85% drop in business year on year. Total funding fallen by nearly 60% year on year and buy-to-let business reported a drop of 88%.
Chief executive of the NACFB, Adam Tyler said: "These figures reveal the true and shocking picture of the struggling SME community. Despite many lenders’ protestations that they are lending more than ever, these figures reveal what anecdotal evidence has already shown: that funding for businesses is very hard to get access to.
While these figures are indeed shocking and probably more of an accurate reflection of real life some sectors of Asset Based Lending have faired less worse with Invoice Finance becoming more popular as Overdrafts become more difficult to obtain.
That said without an ease in the availability of credit to small business owners our climb out or recession will be very slow and very painful indeed.