The Alternative Business Funding Revolution has arrived !
The government is forcing the hand of high street banks to refer their declined business loan customers to alternative business funding providers.
George Osborne is making it mandatory for banks to provide their customers with alternative funding. But is it fair for a bank to offer just one source? How about ALL sources including crowdfunding websites for start ups and new project innovation and how about business cash advance services for existing businesses needing a fast, short term unsecured business loan solution?
It’s almost unthinkable about the many business opportunities that have been missed over the last 10 years due to limited bank funding. How many back bedroom projects haven’t got off the ground? How many students and graduates have ended up ‘underemployed’ instead of creating new start up businesses that may of led onto further employment opportunities for many others.
It would be interesting to gather in some stats from the various crowd funding websites of the TOTAL number of projects and businesses that have managed to get off the ground and become successful over the last 12 months.
This information could provide a mean snapshot of the missed opportunity for the last 10 years. It would be probably be into the £billions in missed growth. But perhaps, on the other hand it’s a good thing that the time is now right for the revolution in funding. Technology supports the digital investor. Social websites support the traffic (potential investors) and marketing through the likes of Facebook, Twitter and Youtube.
The time is right that UK business owners despondent with the high street banks are now happy and confident to turn to alternative finance. It is a revolution just like any other, born out of frustration and demand. It’s a new dawn in finance and one that the UK can be proud of.
We have a wealth of talent resource for such a small island on the geographic world stage.
Alternative business funding in the UK is government backed
As David Cameron quoted in defence at the size of the UK ‘We’re a country that invented many of the things that are most worthwhile, everything from the industrial revolution and television to the world wide web.” …..Proving that in fact smaller fruits are more juicy.