With interest rate cuts and likely looming tax rises, Norfolk businesses must act now to weather economic uncertainty, writes Complete Commercial Finance’s Michael Moore..
It may only be August, but it’s been a long year already for many businesses that have endured challenging trading conditions so far in 2025. The big bite of minimum wage rises, National Insurance and business rates have undoubtedly impacted organisations of all sizes, with banks, supermarkets and SMEs all reporting that they have reduced staff numbers or are scaling back on recruitment in light of increased costs.
This follows hard on last year’s energy crisis, which saw some firms face a 400 per cent increase in fuel costs, and with inflation still a concern for the Bank of England as it cut interest rates earlier this month, it’s very much a case of ‘watch and see’ for many of the businesses we work with.
Working harder for the same or less is a recurring cry of many companies, and reported figures bear this out. At UK Finance’s annual Commercial Finance Conference earlier this year, it was said that around 70 per cent of businesses have lower revenues year-on-year and that late payments continue to hamper progress.
In tough times, the temptation is to hunker down and ride out the storm, but evidence repeatedly shows that businesses which plan and invest in growth are more likely to prosper, despite economic turbulence. In the UK, many companies are risk-averse, or at best use lending to shore up short-term working capital rather than use finance to grow their operations. It’s said that SMEs face up to 150 questions to open a business account, and the numerous checks and balances to apply for a loan can make organising finance an onerous process.
Yet working with a regulated business finance broker such as Complete Commercial Finance, who are always contactable by telephone or face-to-face, can alleviate many of these frustrations, and an external, professional eye can often identify new ways to secure and arrange funding beyond a simple overdraft facility. With a wide range of products and lenders, many of which provide specialist finance not easily accessible on the high street, working with a brokerage offers an easy way to tap into new sources of funding.
For example, asset finance and refinance can provide a regular and stable source of finance to purchase equipment without upfront costs, unlock working capital, fund expansion and even support business recovery. Invoice discounting is now a highly flexible tool that many companies use to tackle late payment and even provide improved payment terms for their customers – something many are looking for these days.
The truth is a company which uses finance as a sophisticated business tool can significantly strengthen and improve its fortitude against economic uncertainty. It is widely reported that the Autumn Statement may create new challenges with rising taxes, but by acting now, local businesses can put financial support in place to reduce their exposure to market volatility. It is just a few weeks until the kids are back to school and business gets back into gear – I urge any business owner feeling trepidatious about the rest of 2025 to pick up the phone and speak to us about putting a financial plan together and creating peace of mind for the future.
• Visit ccf.finance or call 01553 611619 to speak to Michael Moore and arrange a free business finance review.
