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Lack of finance hampering companies
Page 49
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Despite a substantial proportion of companies throughout the UK anticipatIng a return to growth and enjoying a stronger commercial position, they are still hampered bY a lack of available finance, according to the Forum of Private Business (FPB).
It says a fifth of small manufacturers are seeing an increase in orders and sales; and most half expect an increase over the next 12 months. A third expect to recruit more staff by September 2010.
, The FPB is also seeing signs of renewed
c
ptimisrn and even some growth in small businesses in the North-East and the East of England, where, although almost 20% of companies are still cutting jobs, 12% are already seeing an increase in work.
However, the success stories and tales of growth are being tempered with concern over the finance available.
Some 67% of business owners in the North-East and 82% in the East of England said the terms and conditions of lending had worsened in 2009.
In London, 85% of business owners felt lending was harder and more expensive to come by, while in the South-West, the figure was 79%.
In Scotland, 17% of small businesses are seeing an upturn in business and 66% expect matters to improve over the next year. However, 76% of business owners surveyed said the terms and conditions of lending had worsened in 2009, with 65% saying it had become more expensive.