Small businesses in the West Midlands will need additional finance as they recover from the Covid-19 pandemic, a new report has found.
The British Business Bank’s latest business advisory community survey – conducted by Ipsos MORI – found that the majority of smaller businesses in the region will require extra funding during the next 12 to 18 months as a result of the coronavirus crisis.
The research also revealed that respondents in the West Midlands thought demand for finance was strong across all development stages – with 57 per cent saying demand exceeded supply.
Survey participants – which included accountants, lawyers and business advisors – also noted a lack of awareness of the finance options available (65 per cent), an aversion to taking on finance (57 per cent) and access to the supply of finance (47 per cent) among smaller businesses are the main barriers to demand for finance aside from the Covid-19 pandemic.
Dr Sophie Dale-Black, UK network director for the Midlands at the British Business Bank, said: “This latest research reveals the major impact the Covid-19 pandemic has had on businesses across the region.
“It also provides new insight into the demand for future funding, with West Midlands businesses set to require increased levels of finance as they progress on their recovery journey.
“The British Business Bank remains committed to working alongside our partners to increase awareness of finance options and aide them with the knowledge and support in making the right financial decisions for the future.
“We are here to help smaller businesses in the West Midlands start up, scale up and stay ahead.”