In the latest of an occasional feature, Karl Lanham of King’s Lynn firm Complete Commercial Finance discusses the importance of commercial brokers…
It’s been an unpredictable first six months of 2025 with labour costs, US tariffs and economic uncertainty affecting business confidence.
Despite these challenges, UK Finance reported a boost in high street bank lending to small businesses with a turnover of up to £2million, a 30% year-on-year leap, and a 9% increase in lending to medium-sized firms.
SMEs are often seen as a good barometer of the UK’s business landscape, representing more than 99% of companies which contribute to employment and economic output.
Marking the sixth quarter of increased lending, the £4.6billion borrowed by SMEs in Q1 of this year represents the highest figure since Q2 2022.
Yet some leading industry experts believe that there is room for improvement and that business finance brokers, such as Complete Commercial Finance, can play a pivotal role in encouraging SMEs to look beyond their overdraft facility and tap into new avenues of funding for growth.
Speaking at a National Association of Commercial Finance Brokers event in early June, Dame Teresa Graham, chair of the Administrative Burdens Advisory Board of HMRC, said that brokers need to take on a mentorship role to ensure that businesses are fully aware of the wide variety of funding options available to them.
In my experience, many businesses tend to focus on borrowing for cashflow management rather than growth, yet the scope of lending available to SMEs goes far wider than many companies realise.
A commercial broker can often spot opportunities to realise cash, whether it is to invest in stock or new equipment, purchase premises or fund new projects.
By taking on more of a mentorship role, Ms Graham explained, SMEs and the economy more widely would benefit from the fact that, “brokers are the people aware of all the options available out there, and it’s often a blend of those options they (SMEs) need.”
She concluded her speech by daring brokers to “be remarkable in helping SMEs to grow and flourish”.
It seems timely then, as many companies start to plan for the second half of the year, to encourage local firms to take time to consider how a funding boost might improve the outlook.
For business owners who are unsure, apprehensive or just too busy to spend time exploring the options, a broker will ensure you receive expert advice and access to a wide range of lending.
At Complete Commercial Finance, we have always believed in the importance of long-term business relationships. By working with a company in this way, we get to know and understand their goals and can support them at every step of the way.
I think most of us want our businesses to be remarkable, and taking the first step to explore funding to embark on a new venture or tackle the problems holding us back can provide an exciting opportunity for growth.
