Basel rules are already hitting lending claim the banks
They claim that the the new regulation on loans to businesses, which is not yet in force, is already reducing further their ability to lend, this was reported to the Bank of England.
The Basel III rules (announced in September) will force banks to keep a cash balance against loans to withstand shocks of losses in the future. They continue to struggle to get risk off their books so that they can get access to funds for lending.
This position has increased the market for alternatives to banks for borrowing for businesses. Invoice Finance has seen huge growth as a way of improving cash flow into a business by turning invoices into cash quickly to fund wages, taxes etc.
Invoice Finance is growing rapidly in popularity allowing businesses to speed up cash flow by releasing up to 90% of invoice value immediately removing the need for bank loans and overdrafts to meet bills and wages. Start an application now