For SMEs, achieving optimal efficiency and safety levels is far from straightforward. For example, the likes of fast broadband provision, cyber security and pension planning all have a financial cost. This is where alternative finance can help.

A new YouGov study has shown that the biggest cause of timewasting for SMEs in the UK is slow broadband speeds. A sluggish internet connection impacts efficiency across the board, from customer service to marketing and administration. Addressing the problem may not be something that a business can fix, but if it is – for example, in the shape of a new communications infrastructure and hardware – such a step doesn’t come cheap and requires a solid capital base.

Similarly, the subject of cybercrime and its impact is rarely out of the news these days, and new research from Aviva has shown that over a third of business owners have been a victim of crimes such as hacking, phishing and pharming. Recovering from an attack can cost from £1,000 to £10,000, if not more. Obviously, whether a business incurs these kinds of costs or is investing to safeguard itself against them, the capital has to be available to do so and cashflow has to be maintained. The same goes for meeting auto-enrolment pension scheme regulations.

Businesses need to be able to meet specific legislation, protect their data and systems, and invest in new technology – without the capital to do so, they can’t operate efficiently and they can’t grow. And without SME growth, wider economic growth is much harder to achieve. This is why alternative finance is so important.

Invoice finance, peer-to-peer lending and crowdfunding are set to shake off the alternative tag in 2016 and play a central role in ensuring SMEs have the access to capital that enables them to go about their business more efficiency and with greater security, and most importantly, to grow.

To find out more about A&T Business Associates services, contact us on 01903 602211 or info@atbusinessassociates.co.uk.