Flint Bishop

Grants and loans lost in a money maze

Pictured above:  Johnathan Dudley

 

There remains a bewildering number of grant and loan agencies across the West Midlands even as business bemoans the difficulty in accessing funds, an SME expert has warned.

Johnathan Dudley, Midlands Managing Partner at national audit, tax and advisory firm Crowe Clark Whitehill in the Midlands, urged greater attempts to pull them all together, possibly with Local Enterprise Partnerships taking a lead.

"Opportunities exist but does anyone know how to access them," he noted. "It must be hugely confusing for businesses.

"To progress it themselves they need to pursue many different avenues and a forest of form-filling. Many simply do not have the time.

"No wonder so many fall prey to dubious grants information agencies that promise the earth, charge a hefty fee and often fail to deliver satisfactorily."

Mr Dudley said a number of schemes were in abeyance or disarray as a result of the demise of regional development agencies and business links.

He went on: "Funding is available in a number of forms including grants, loans, tax credits and private finance such as bank loans and venture capital.

"Business Voice WM has estimated there are almost 500 funds available in the West Midlands.

"We are talking of the likes of Advantage Business Angels, Aston Reinvestment Trust, Birmingham City Council Business Loan Fund, Black Country Reinvestment Society, Connect Midlands, Creative Advantage Fund, Fair Finance Consortium, Prince's Trust, the Rural Development Programme for England … the list goes on and on.

"BVWM has made a decent fist of trying to list and explain the nature of these different agencies, but it might also be an area where Local Enterprise Partnerships, working together, can get involved.

"It is ironic that all this exists yet businesses are crying out for finance to expand.

"Something needs to be done."

Mr Dudley said reputable advisers could help.

"We at Crowe Clark Whitehill do our very best to guide businesses through the maze.

"But the whole thing could be made a great deal easier if the powers-that-be put their mind to a comprehensive approach to the problem at the same time as concentrating on a simplified structure.

"People need a one-stop shop outlining the different ways of accessing money, explaining the schemes that exist, and listing the agencies and what they offer.

"It would make life a great deal easier for everyone."

And that was particularly important given a growing trend for joint lending between providers.

For more information about Crowe Clark Whitehill, please visit their website here: www.croweclarkwhitehill.co.uk

 

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Article published by Midlands Business News on 19 July, 2011

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