Small and medium transport enterprises in the UK are not happy with their current development and performance, but many admit they are not proactive or innovative enough to take advantage of opportunities to grow.
The latest Close Brothers Business Barometer shows that while a fifth of transport businesses will consider applying for funding in the next 12 months, of those 39% are concerned their request for additional funds will be rejected.
The quarterly survey, canvassing opinions of SME owners and senior management across a variety of sectors, highlighted that only a small selection of transport businesses felt they were innovative enough, while many are unaware of the different financing options that may be available to them.
John Fawcett, Managing Director of the Transport Division at Close Brothers Asset Finance, said, “While many firms are striving for growth, our survey shows there are factors holding them back from achieving their full potential.
“Innovation is a critical part of many firms’ growth strategies and yet our survey has highlighted that the ability to be innovative is a stumbling block for many transport businesses. Just 29% of the companies we talked to felt that they are sufficiently innovative.”
He added that many SMEs are still concerned about getting hold of additional funds to help growth. Almost half involved in the survey have never heard of asset finance, with 17% unaware of alternatives to traditional bank lending.
“That is why we are working with businesses throughout the transport sector to further understanding of the wider spectrum of finance options available, so they will be well capitalised, able to innovate and in a position proactively to pursue growth opportunities,” Fawcett continued.
