Help on the horizon for small firms

A RECOMMENDATION in the report for increased banking competition to benefit small and medium-sized businesses was welcomed by a group representing Scottish firms.

The report from the council of advisers said the Scottish Government should ask the Office of Fair Trading to "review competition in the Scottish banking market" to ensure an "increase in trading with, and competition for the supply of banking services to small and medium-sized businesses in Scotland".

Colin Borland, from the Scottish Federation of Small Businesses, said the move would help companies get access to finance and make it easier for them to trade.

He said: "It's something we've been calling for a long time, and we previously raised the issue with MSPs in the Scottish Parliament.

"Increased competition in the banking sector is something that's needed for small businesses, as the lack of finance opportunities can make it very difficult for firms to survive.

"We'd like things to go further and for there to be expanded access to finance on the equity markets for small firms. We'd like to see some action to make it easier for businesses to get hold of venture capital."