Firms

Lord Sugar upsets small firms again

The Government’s business tsar used his maiden speech in the Lords to warn that some firms would not succeed ‘even in the best of times’.

Lord Sugar’s comments come weeks after he was embroiled in a furious row with small-business leaders after he said a proportion of struggling firms turned down for loans were ‘moaners’ who live in ‘Disney World’.

His controversial comments led to calls for his resignation.

During yesterday’s speech, Lord Sugar told peers: ‘Some companies struggle not because of failure in the business, but because of the tougher credit conditions.

‘I have spent the last few months visiting business link centres. I have seen some great examples of businesses thriving in these difficult times.

‘But I have also seen some poor examples of businesses which simply won’t succeed – even in the best of times.

Read all post…

Tags: Firms, Lord Sugar

Tuesday, November 24th, 2009 Small Business No Comments

Bank lets down small firms over lease-back

The Bank of England has been accused of reneging on a promise to use some of its £175bn stimulus package to help small businesses by failing to free up leasing firms to lend more.

In July, the Government said it would invest in bonds backed by equipment leases as part of its programme to pump money into the economy.

The announcement was welcomed by experts, who believed it would help struggling small firms, since leasing companies would be able to sell these bonds and use the money raised to write new leasing agreements with them.

Leasing is a key source of funding for small businesses because it helps them to spread the cost of buying assets while managing cash flow.

Yet the Bank’s own figures show it has yet to buy any lease-backed securities, despite spending £1.27bn on corporate bonds and £160bn on gilts.

Read all post…

Tags: Firms, Firms Leaseback

Friday, October 23rd, 2009 Small Business No Comments