Research: Recovery depends on cash flow
BUSINESS: A survey of 1,000 small to medium- sized enterprises (SMEs) has revealed they view increased cash flow as the key to recovery.
Hitachi Capital Invoice Finance's Inspired Cashflow research shows half of Yorkshire's SMEs either have cash flow concerns or have has cash flow issues in the past.
But 18 per cent are using bank overdrafts, a relatively expensive method of finance.
Almost 9 per cent have sold assets rather than take out a bank loan.
John Atkinson, Hitachi Capital Invoice Finance's head of commercial business, said: "Faith in the banks is at an all-time low.
"Our research reveals many companies don't realise they have funds that can be used on their balance sheets.
"This is why we have launched our new simple Inspired Cashflow product.
"It is our aim to provide a simple solution for businesses as they currently don't know where to turn"