One third of small to medium-sized UK firms are considering a change of business funding provider in 2014, citing a lack of flexibility and poor customer service, according to Bibby Financial Services.
Research carried out among 1000 SMEs by Bibby Financial Services showed business owners expect similar levels of service as non-business customers, with more demand for facilities such as 24-hour online access.
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Bibby said the research showed one-in-five believe their current arrangement is inflexible, with 42% suggesting the service they receive from their existing provider is average or poor.
David Postings, chief executive officer at Bibby Financial Services said; "Our research shows that a significant proportion of UK businesses are considering the use of other forms of finance to their existing arrangement and it seems that many are not completely satisfied with their current provider, which is likely to be a driver for change.
"SMEs today expect much more when it comes to flexibility in relation to the amount they can borrow, contract length and online access to finance."
More than a third of businesses Bibby surveyed said a cheaper deal would encourage them to consider a new arrangement, almost one in five 17% cited a shorter term agreement as desirable, and 15% of SMEs said they would like to try a providers’ services before committing.
Postings added: "Increasing funding available to SMEs is critical to building solid foundations for sustainable economic growth, but it’s evident that funders need to become more flexible in their approach if they are to meet the growing demands of the marketplace."
