Is mid-market growth hindered by lack of finance?
BDO recently published a report looking at the challenges faced by mid-market technology businesses when it comes to acquiring the funds they need to innovate and grow. In order to better understand these challenges, they surveyed a wide range of technology businesses and spoke to a number of financial institutions who provide funding within the sector.
BGF Investment Director Chris Hodges was one of those interviewed.
BDO were encouraged by the enthusiasm shown by technology businesses about the sector's growth prospects, with three-quarters of respondents to the survey believing prospects were either good or very good. The thirst for innovation is considered to be the driving force behind why the sector's prospects are so strong, with two-thirds of respondents eager to acquire funds purely to invest in Research & Development.
However, many businesses reported that they were experiencing difficulties in accessing funds required for product development – something which took many funders by surprise given that they consider there to be more funding available now than ever before.
This report delves into the reasons behind this perceived 'funding gap'. It examines potential ways of increasing the chances of accessing capital or debt to help quench the thirst for innovation.
Click here for access to the full report.