Shawbrook research shows UK business owners harness past ventures for future success

Research from specialist lender Shawbrook has shed light on the true extent of ambition present among the UK’s business owners. The findings reveal that a staggering 73% of senior decision makers in small or medium-sized businesses had already started or run a business before their current venture, with 32% still being involved in a leadership capacity, and a further 13% still being involved in the previous business, but not in a leadership role.

Furthermore, all respondents who had already started a business reported that the experience had helped them with their current venture in some capacity. The most popular responses were that this previous venture had helped them to better structure their new business (35%), while 32% claimed to benefit from the existing networks of investors and partners when starting out.

Interestingly, 30% said this experience had helped them better understand their funding needs at each juncture of the business, shedding light on the importance of access to and understanding of the complexities of business finance. And, with 72% of owners reporting having issues accessing finance in the past, this is understandable. This is especially so as businesses mature and their funding needs become more complex.

Neil Rudge, head of enterprise at Shawbrook said: “The data reveals a strong emphasis on prior business experience among SME decision-makers. This experience is seen as highly valuable, with all respondents citing benefits for their current endeavours, specifically with a heightened understanding of funding needs.

“While access to capital may no longer be the primary hurdle, securing a financing partner with the agility and expertise to tailor solutions is paramount. Businesses require not only bespoke financial products, but also ongoing guidance and a long-term commitment from their financial partner. Seasoned business leaders, having experienced the spectrum of financial services, understand the value of such a comprehensive relationship, and are often willing to invest in securing it.”