Ian Larkin, managing director, Lloyds TSB Commercial Finance shares his views
We have enjoyed a successful start to 2011, having significantly increased invoice finance and hire purchase facilities available to customers compared to the same period in 2010. Higher demand from our banking customers also contributed to this strong performance.
The Lloyds TSB Business In Britain survey indicates that business confidence is improving slightly, with expectations for sales orders and profits over the next six months rising compared to six months earlier. Businesses have been adjusting to the challenging economic environment, with many improving their balance sheets during the downturn in order to stabilise and to be ready to take advantage of growth opportunities when they materialise.
According to the latest Asset Based Finance Association (ABFA) figures, invoice finance continues to outperform all other types of business lending, with total advances from ABFA members growing at 11.5% year-on-year. Our industry is evolving to meet the changing funding requirements of companies of all sizes in a variety of sectors and we expect to see continued growth in the future. And with only 1% of UK businesses currently using invoice finance we believe this growth should be material.
As the UK’s market leading provider of asset based finance, Lloyds TSB Commercial Finance is playing a central role in raising the profile of the benefits of invoice finance solutions. Since being appointed managing director in August I have been meeting customers, introducers and other key stakeholders to get their views on what we do well and how we can further improve our support to UK business. The Client and Introducer Charters we launched last year have made a positive impression. As has our national network of over 300 regional sales and client managers across 12 regional centres. With their authority to make swift, local credit decisions this network allows us to be close to our clients and to develop a deep understanding of their business strategies.
Customer satisfaction will remain a top priority for Lloyds TSB Commercial Finance and we were delighted to find in recent surveys that over 90% of our clients said they would recommend us to other businesses.