Study finds 'increased openness' to using external finance amongst firms

09 Oct 2025

A study carried out by the British Business Bank has revealed that the use of external finance amongst small firms stabilised in 2024 as businesses increasingly welcome using finance for growth.

The Bank found that external finance use fell slightly in 2024, stabilising after a 'sharp increase' in 2023. The proportion of small firms open to using external finance grew by 5% to 38% in 2024.

However, 19% of businesses who stated they were open to using external finance to grow believe it would be difficult to secure it.

Commenting on the matter, Richard Bearman, Chief Development Officer at the British Business Bank, said: 'In the face of a challenging economic environment, it is encouraging that use of external finance has remained stable.

'This year's Nations and Regions Tracker also indicates that optimism is brewing for small businesses and we hope to see this reflected in their use of external finance in the near future.'

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Higgisons was formed by John Higgison in Oxford Street in 1965 and was originally part of the Accountancy Tuition Centre until James McHale became managing partner and the firm moved to its City Road premises in 1982.

We like to become involved at the planning stage of the formation of a business venture to ensure that it is structured as flexibly and efficiently as possible so that it can cope with changes in legislation or personal circumstances.

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