The overlooked ‘M’ – two thirds of mid-sized businesses say they struggle to find the right financial fit
The UK’s medium-sized businesses are facing challenges in finding financial solutions that fully match their needs, with 63% saying they do not fit what traditional lending criteria typically offer.
That’s according to Shawbrook’s new report, The M Agenda:The Medium-Sized Business Gap, which shines a spotlight on mid-sized businesses, their ambitions, and the support they need to scale. The research highlights a clear gap, with 64% of businesses saying they are too large for small business finance, yet too small to access corporate-level solutions.
Finding the right fit
The data points to a disconnect between the needs of growing businesses and the financial products currently available to them. Almost two-thirds (65%) of mid-sized businesses find it difficult to source appropriate support, while 64% feel overlooked despite being in a strong position for growth.
This gap has tangible consequences. Among businesses who say their current funding is not meeting their needs, 32% say they cannot access the level of capital required, while 32% also say available solutions are too generic and not tailored to their specific requirements.
Powering growth
Despite these challenges, the ambition to grow remains strong. Access to the right financial support could act as a catalyst for high-impact activity:
- 29% would expand into new sectors
- 27% would accelerate existing growth plans
- 26% would invest in infrastructure and assets
- 26% would upskill staff
Neil Rudge, chief banking officer at Shawbrook, said: “We often refer to mid-sized businesses as the engine room of the UK economy, and our report highlights the scale of opportunity within this segment. These businesses are growing, investing and looking ahead, but their needs are becoming more complex as they scale.
What’s clear is the importance of having access to the right financial support at the right time. As the market continues to evolve, there is a growing opportunity for more tailored, specialist solutions that better reflect the ambition and complexity of these businesses.
If we get this right, the impact goes far beyond individual firms, unlocking growth, investment and job creation across the wider economy.