The global spread of Coronavirus has been one of the most disruptive events in living memory. Although the full economic impact will not be known for some time, we have already seen the profound effects the pandemic is having on businesses across the globe. Particularly relevant for Aldermore as a specialist UK lender, is the impact the virus is having on small and medium sized enterprises (SMEs).

Aldermore's new research reveals that the Covid-19 pandemic has led to the average UK SME already losing a third (34%) of their business income. With such a significant hit to their revenue, many businesses are wondering how they can maintain basic operating costs or pay their staff. Whilst the Government's range of financial measures to support SMEs through the crisis has helped, many businesses will not continue to operate as they did before. Even as restrictions are eased, there will still be a long period of recovery, and businesses will need to adapt to a transformed economy and market.

It's encouraging to see so many businesses have already taken steps to adapt to a Covid-19 world. Our research found that most SMEs (72%) have taken steps to reduce costs and 67% of SMEs have looked at innovative ways to increase income, such as moving their business online. Trading out of the crisis, whether a business is looking to finance an asset, unlock cash tied up in invoices, or is requiring property finance; Aldermore provides a tailored approach, treating each customer according to their own individual needs.

Alongside the statistics, there are many human stories to tell. It's great to see, for example, that some of our customers have adapted their practices to directly support the national fight against Covid-19. Mauveworx, a family-run marketing materials manufacturer based in Dorset and an Aldermore customer is just one example. Mauveworx recently mobilised their resources to produce urgently needed Personal Protective Equipment (PPE,) to support the NHS in its fight against the pandemic.

Alongside supporting businesses like Mauveworx, Aldermore is also an accredited lender of the Coronavirus Business Interruption Loan Scheme (CBILS). Aldermore currently offers the Asset Finance variant of the scheme and is looking to offer the Invoice Finance variant soon. Our Asset Finance team has also fast-tracked the launch of our Asset Backer portal to all intermediaries. Asset Backer offers intermediaries a paperless end-to-end process, which includes electronic proposals, documents and signatures, enabling brokers to continue business with their customers at a distance.

As a bank born out of the last financial crisis, we know the road ahead will be a difficult one for many, but that it can be overcome with the right help and support. We are passionate about supporting our clients, providing them with additional funding to diversify into new areas or simply reach the other side of the crisis.

Information about how we can help can be found on our website here

*Research conducted by Opinium Research between 23 and 30 April 2020 with a nationally representative sample size of 1,000 senior decision makers in UK SMEs.

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Aldermore Bank PLC is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority (Financial Services Register number: 204503). Registered Office: 1st Floor, Block B, Western House, Lynch Wood, Peterborough, PE2 6FZ. Registered in England with Company No. 947662.  Invoice Finance, Commercial Mortgages, Property Development, Buy-To-Let Mortgages and Asset Finance lending to limited companies are not regulated by the Financial Conduct Authority or Prudential Regulation Authority. Asset Finance lending where an exemption within the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001 applies, is exempt from regulation by the Financial Conduct Authority or Prudential Regulation Authority."