The Benefits of Diverse Finance Markets for Smaller Businesses

This report examines the benefits of increased diversity of supply and heightened awareness of a diverse range of finance options, setting out what would be important to smaller businesses in such a market.

It asks five central questions:

• Who has access? Can smaller businesses unable to access mainstream finance options find appropriate alternatives?
• Where can finance be accessed? Is the right kind of finance available in all regions, and are smaller businesses aware of their options?
• When access can be arranged? Are smaller businesses able to access finance in a timely fashion?
• On what terms is finance currently accessed? Is finance available that reflects the nature and constraints of running a small business?
• How is access delivered? What are the obstacles posed by the particular way a smaller business applies, receives or pays for funding?