Young entrepreneurs are hitting their head against a brick wall when it comes to securing funding to help them grow their business.
Research from Amigo Loans shows that although 48 per cent of Brits are keen to start their own business, 37 per cent have no idea who they would turn to if a bank rejected their plan, Fresh Business Thinking reports.
This means that many small and medium-sized businesses (SMEs) barely even get off the ground as entrepreneurs are forced to give up before they really get going.
James Benamor, founder and CEO of Amigo Loans, said: “The stress and sometimes humiliation of being turned down by their bank is leading SMEs to give up on their business ventures all together.”
People who want to start their own business, therefore, should be provided with clearer information about the different loans available to them – indeed another finding of the research was that a huge 79 per cent of SMEs are in the dark about funding they could be eligible for.
This shows that even though there is a great deal of talent in the UK, many are being forced to give up on their dreams because of a lack of support. If the government is as keen as it says it is to invest in SMEs, then it must address this issue first.
Posted by the Secret Businessman