News
SME Credit Crisis
24 July, 2009
An overwhelming number of UK SME’s have poor credit ratings mainly because they have not filed their accounts at Companies House. Poor credit ratings mean that SME’s find it almost impossible to secure funding or credit.
In a report written by Accountancy Age as many as 60% of SME’s in a sample of three million were described as ‘high risk’ or ‘above normal risk’, in terms of defaulting on trade payments or getting into financial difficulties. This confirms that SME’s are not only suffering due to poor trading conditions during the recession, but also due to the formal procedures for filing statutory accounts.