What’s the Brexit Factor for SMEs in Britain?
I n the light of interest rate cuts and having looked at the state of play from our perspective, we now look on it from a British perspective within our understanding; so what does it mean now?


What can we say really, the initial shock of it still resonates in some quarters, but is it all bad? We think not. The business world still functions, summer has finally arrived, the mood of the nation hasn't gone to the dogs, it has in fact lightened; are there far more pressing concerns to be troubled with?  Is it just all on hold until the end of summer? 

The Bank of England Governor Mark Carney  reduced interest rates and injected liquidity to oil the cogs of businesses small and large but will it filter down to us, the grazing herds or will it remain with the apex predators of big business? 

These are questions we cannot answer alone; we have to take soundings from our network but is there a hard and fast rule or is it just a game of chance?  Do small business owners want to grow and risk all or are they happy with what they have and just want to maintain their sales without over committing themselves?

For a small business the key issue will always be founded on efficient use of resources be they human or technological;  access to relevant training and professional development for its staff; along with sophisticated marketing that can be measured. Infrastructure is the lock in the door to greater profit and expansion.

There are some business owners that are happy and do not want the additional burden or responsibility that comes with expansion. Most SME owners became business owners to improve their quality of life, they are hardworking and dedicated to their business, once they've achieved a measure of stability they can become risk averse because they are fully aware of the trials and tribulations of starting up and succeeding and do not wish to g through that again.

On the other hand there are the serial entrepreneurs that start, develop and sell, they thrive on the issues that come with startups, these are the tech savvy types, they achieve a level of success and financial stability that they themselves become investors in businesses and people.

The unseen entrepreneurial types are in full time work have savings but have not seen them grow as much in deposit interest in recent years; they look for the stable, reliable, sustainable and above all trustable investment models, they may hold some stocks and shares but they're in blue chips. 

The greatest advance for the latter in opportunities to invest is in crowdfunding sites where access to finance outside the traditional bank loan or friends and family has occurred for startups and those looking to expand their businesses.  

Whoever may wish to look into it after the realisation that savings cannot be relied upon to weather the storms ahead or having the absolute belief that your pension is secure; just ask BHS staff who thought they'd had a job for life?  Or do you have your life, pension and savings in property from which you aim to earn a monthly income from rentals in retirement; even that has become more difficult owing to the tax regime now in place; what option is there? Why crowdfunding of course...

So if you're a full time worker who is happy in their job and lifestyle but are not too averse to making an investment then crowdfunding is for you; it can be more exciting than a trip to the bookies or a betting app from your sofa.  If you're looking for a little excitement to see a business grow from nothing to something, then crowdfunding is for you. You can help oil the cogs and be part of the revolution that comes. 

The revolution of which we speak is a continuation of the great British tradition of not being afraid to go it alone and making a success of it. It's been said that we are great at creating inventors and world changing propositions but we fail to invest in them to get them up and running; it requires foreign investors and we celebrate the British creator entrepreneur inventor,  whom once went cap in hand to institutions and never got the finance then went abroad to get it, won it and made it. Is it time to start investing in them too? 

The risk can be mitigated, there are tax advantages and there is an element of satisfaction in knowing that you were a part of something without risking all to do it. Is it time to join the fray?

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