(Newswire.net — May 17, 2013) Newcastle Upon Tyne, UK — Small and medium-sized businesses (SMEs) are set to receive a £70 million lending boost following government action to increase and diversify the availability of finance.
Three new lenders – Market Invoice, URICA and Beechbrook Capital – will share more than £30 million of government funding to offer small businesses alternatives to traditional bank lending.
The real question is though “Do they really need it?”
One of the saddest things is to drive down a main street in a small town and see “going out of business” or “for rent” signs in the windows of retail spaces. The last few years in business have been tough, but many of the business failures out there are largely preventable without injection of extra capital (which could just be the equivalent of a band aid on a critical wound).
Webspin UK, a leading small business marketing and growth consultancy firm has this advice:
“Small Businesses tend to fail on 4 key points:
1) They lack Customer focus: They fail to identify their customer profile. most small business owners will try to sell to anyone they think has money. Instead they should Take the time to develop a well-defined customer avatar (or profile) for your business. It is so much easier to develop a marketing plan when you are clear on your target. and specialists can always charge more!
2) No marketing plan: Too many small businesses live off foot-fall, which is a good thing, but that eventually will dry up to a trickle. You must put some effort each day into generating sales for your small business online and offline. For quick revenue boost try asking for new business from your existing customers (Referrals should not be under estimated!) Lots of small businesses already have a huge sales force that they are not leveraging.
3) Not managing your brand online: It’s now easier than ever to build a brand online. BUT, It’s also just as easy to damage your business brand:
Do you have a good, helpful website that focuses on one thing (generating you more business)?
Do you Google yourself and your business monthly?
Do your social media accounts make it easy to contact you?
Do you have a blog that hasn’t been updated in six months to a year?
Do you have bad reviews online that you have not responded to or dealt with?
Can your website be seen easily from a mobile device?
These Days people will search for your company online before they do anything else, what would they find if they search for you today?
4) Not communicating with existing customers: Retention is key here – It’s 5 times easier to keep a customer than to go out and get a new one. You must have a database and marketing program to communicate with your customers so that they know all the ways they can work with you. At least monthly, your customers should hear from you. According to Leading Customer Research Agency “TARP”; 68%of customers leave due to indifference- when was the last time you contacted your existing customers just to let them know you care?”
Webspin UK Marketing CEO Gavin Whittaker says:
“The lending boost is great but unless small business owners address their existing marketing and growth problems it will only be a short term fix to a bigger problem. Better business building education would help far more.
Businesses should focus on increasing the value of their existing customers, reactivating their lost customers and bringing in more business then they will see real tangible growth – the revenue will always follow”.
Webspin UK are a Leading Local Business Marketing Firm based in Newcastle Upon Tyne specializing in helping small to medium sized businesses grow.
Webspin UK can be reached by phone at 0191 328 0697 or on the web at: www.webspinuk.co.uk
###
Webspin UK
Clavering House
Clavering Place
Newcastle Upon Tyne
NE1 3NG
Media Contact: Gavin Whittaker
Email: contact@webspinuk.co.uk
Phone: 0191 328 0697