Credit and Finance, Growth, Small Business
The business banking and business finance landscapes are changing. What does this mean and what should I be aware of?
Posted on by experian
Estimated read time: 5 mins
Around ten years ago, if you needed a new pair of shoes, you’d make your way, perhaps begrudgingly, to the local shopping centre, peruse the shelves, find something that you liked and head on over to the till. If there wasn’t anything you liked, or in my case, there wasn’t anything that would actually fit; you’d walk to the next shop and repeat the process all over again.
Fast forward to now. You know that if you go down to the local shopping centre, you’ll probably have to work your way through the hordes, battling for space, waiting five minutes for a member of staff to finally go into the store room, only to return with the crushing news that they don’t have those shoes in that colour. They add that they do however have a pair of the same design in electric blue, which I suppose is some consolation, if only you could pull that off.
Instead, you’ll probably use your phone, search for what you’re after online and find yourself on the website of a specialist retailer with extremely competitive prices. Of course, you’re still going to try and find a voucher code because why not right? You tap a few times on the screen and then, with minimal effort, you know that your new shoes will be with you the next day.
It’s not only retail that has evolved over the years, in fact, pretty much everything you can think of has in some way seen constant development and improvement. In the majority, this is apparent to us all; however, sometimes the changes are so subtle we can barely even notice them anymore. Unfortunately, despite these transitions, I’m as yet unable to offer information on why the number 76 bus is never on time, but if I hear anything, I’ll be the first to let you know.
This brings us nicely on to discuss how these changes and developments may have impacted the business banking and business finance landscape.
Historically, you’d turn to the bank for everything. Everything was done at the branch and they offered a whole suite of different products and packages to suit you. It wasn’t particularly clear what was actually out there as information wasn’t readily available.
Research, plan and be proactive
Now, there’s an abundance of different providers, each a specialist in their own different field(s). Competition is pretty intense, so there certainly are good deals to be found.
This is in part aided by the fact that you’re now able to do your own research freely and relatively easily, not only that, you can execute a plethora of different tasks online or over the phone, from opening up a bank account to making payments. If you’re struggling with ideas on what to potentially research, why not read our blog on what we think you should know about business bank accounts, with our seven top tips.
Familiarise yourself and keep up to date
If you’re still reliant on the same provider, be it through loyalty or convenience, then you might not be as aware of all of the different options out there now. Read our blog on 7 types of funding available to SMEs and trends in lending to find out more about some of the different types of funding available.
As with most things in life, a little research goes a long way. If you do find that there is a provider out there that better matches your needs, or you find that opting for a variety of different providers works better for you, then that’s great. In this exciting new age, it really is more important than ever to keep up with the times, even moving ahead of the game if you can to ensure that you’re not being caught off guard.
Know where you stand
When approaching lenders, it’s crucial to know that whilst most are genuinely keen to help, they have to make informed decisions whether to lend to you or not. Lenders will typically use your credit report, among other things, to assist with their decisions, so it really is important to gauge your chances of success prior to your application. If you’d like to understand your business credit report, monitor your profile in real-time and ensure that your business is seen in the best possible light, please click here for further information on how we can help.