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According to the Confederation of British Industry, prospects for small businesses' export is at a 15-year high – but are these small business taking advantage of the upturn with new, better financial products?

Small and medium-sized manufacturers are starting to benefit from the relative weakness of Sterling, with overseas orders stabilising after seven quarters of decline, according to the CBI. Of the small businesses they surveyed, 27% said the volume of export orders rose in the three months – after nearly two years orders are coming in and more money is being made by hard-working small businesses in the UK.

And these export orders are expected to grow more strongly in the next quarter, and firms are the most optimistic about export prospects for the year ahead since October 1995.

Russel Griggs, chairman of the CBI’s small business council, says: “Small and medium-sized manufacturers are expecting overseas orders to grow in the coming months, and are the most upbeat about export prospects for fifteen years.

“However, with the economy only just edging out of recession, conditions will still feel pretty challenging for smaller firms. Domestic orders are likely to remain depressed, and firms are expecting output to fall in the next three months.”

So sales are up now, but how can you take advantage of this purple period if you are a small business? The world financial regulators are proposing that big banks have 'counter-cyclical' capital reserves – savings in the good times to pay for the bad – so how can you do that for your small business?

Talk to a small business financial adviser. They can introduce you to new mortgages, loans, savings products, investments and pensions to help you save now and take advantage to increased revenue. They can help you make sure that if another downturn is around the corner, your business will be well-prepared.

SOURCE: CBI, 01/02/10

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New research has found that public offices are one of the worst offenders for not paying small business on time, which is leading more small business owners using credit cards to get by.

According to the Federation of Small Business, a many as one in three payments from the public sector being made late even after the Government created a code to help stop late payments becoming a big problem in the private sector during the recession.

The report found that local Government is likely to pay one in four invoices late, and central Government and Government agencies make one in three payments late. Overall, 34% of payments from the private sector are late according to the survey.

Frustratingly, many businesses have had to resort to using their own long and short-term finance in part thanks to Government tardiness. The survey shows that 41% dipped into personal savings and 43% used their overdrafts last year. Worryingly, 21% used a personal credit card. This may be an indication of self-reliance as they encountered a banking sector which refused to lend.

John Wright, national chairman of the FSB says: "The public sector needs to take the lead in more than word alone and set an example that paying late isn't acceptable, as this problem persists in the private sector.

"Small businesses rely on receiving payments within the timescale agreed to maintain cash-flow to ensure the business can run on a day-to-day basis. Late payment is not a new issue, but it has been a particular problem in the past year and it is more important than ever that this worrying practice is brought to an end."

Do not use a credit card to keep open your lines of credit. Talk to a small business adviser about taking out new loans or taking our insurance policies to protect you against tardy payments from both the public and private sector instead of risking your enterprise with risky short-term borrowing.

SOURCE: FSB, 01/02/10

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Acquisitions of insolvent businesses in the UK have more than doubled over the past year as more and more people find themselves unable to cope with their finances.

According to insolvency trade body R3, more firms are on the lookout for struggling businesses as a means of getting a cheap deal or snapping up the competition. It says that during the last three months of 2009, 67 out of the 630 deals completed in the UK – one in nine of all deals – involved companies acquired out of administration or other formal insolvency procedures.

During the year as a whole, there were 345 acquisitions of distressed businesses, amounting to one in every eight mergers and acquisitions. This compares to 2008 when there were 159 distressed acquisitions, accounting for one in 27 mergers and acquisitions.

Peter Sargent, president of R3 says: "Acquisitions of insolvent businesses have risen significantly and remain high. While pre-pack administrations may account for some of these deals, others will be acquisitions by canny buyers taking the opportunity to pick up bargains while values are low."

The last thing a small business person wants to see is their enterprise picked up for a song and then ripped apart by the competition. They worked hard to build up their business – probably investing all their money and more time that they'd care to mention – only to see it fail because they couldn't keep up with their debts.

Don't allow your business to die. Make sure that your finances are as good as they can be with the help of a professional small business financial adviser. They can help you take out new loans and manage new lines of credit so as your business can survive.

SOURCE: R3, 28/01/10

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It's a well-known fact that self cert mortgages are more expensive than regular loans, but could you actually be paying less for the self cert loan than you currently are today?

Self cert loans are expensive simply because a person who cannot prove their income is a riskier borrower and that has to be factored into home loan repayments. If a lender cannot be 100% sure that you will be earning exactly what you say you can every single month then they must ask you for more money to cover that risk.

But even though you are paying more for your current self cert loan could you be paying less each month? Even though we are out of a recession it doesn't mean money isn't still tight, so if you could reduce your outgoings each month it would be very welcome during this tough time.

The only way you can find out whether you could get a cheaper self cert home loan is by talking to an independent self cert mortgage expert. They will take a look at your current loan and compare that to the rest of the mortgage market. If they can find cheaper loans they will compare these against your current financial situation and will hopefully find a good fit.

Managing your finances is all about keeping on top of the situation, which means always checking whether there are better offers out there. So keep your finances up to date with the help of a self cert mortgage expert today.

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It was recently revealed that we are officially out of the longest recession since the Second World War – but does this good news actually mean anything to self employed borrowers?

All we hear of is the recession, like a cloud over all of our heads, but now it is over. The Office of National Statistics says the economy grew by 0.1% over the last three months of 2009.

So will everything go back to the way it was six quarters ago? No, of course it will not – the end of a recession doesn't mean the end of tough financial times for may people who are self employed. They still have bills, debts and financial stresses to handle every day.

Mark Bolsom, head of the UK trading desk at Travelex, says: "Although the data and survey evidence does tell us that the UK exited recession in its four quarter, the figures are utterly intangible to the everyday UK consumer and business."

This is because 'output' and 'growth' are things that do not pay the bills. Your clients will not offer you more work and you will not receive a bigger contract just because the UK economy is 'officially' out of a recession – for may self employed people it is going to feel the same for some time to come.

Bolsom adds: "For our business customers, credit conditions remain extremely tight and the prospect of higher taxes and public spending cuts are not reassuring. Small businesses still have to make redundancies and slash budgets as their recovery remains sluggish. Also, we think that the chances of a double dip recession cannot be ruled out. Unfortunately, we forecast a bumpy couple of years for UK consumers and businesses."

So ignore the headlines, get on with managing your own finances. Talk to a self employed expert about taking on new credit lines, new loans and rearranging your assets so as to make the most of your money while things are still tough.

SOURCE: ONS, Travelex, 26/01/10

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Insolvency experts have warned small businesses that arrears will lead to more aggressive bankruptcy proceedings now we are looking to leave the recession.

Figures released today by R3, the insolvency trade body, show that just one in three businesses feel that the outlook for the first three months of 2010 looks positive. Unsurprisingly, business confidence correlates to the business's size so while just over a third of small businesses are confident about the future, half of large firms are feeling bullish.

But the arrears experts are not so sure – less than 10% think that the outlook for business is bleak for the next few months. Peter Sargent, president of R3 says that "the early stages of an economy's recovery can be a dangerous time for businesses".

He says: "Interestingly, businesses seem more confident about the future than insolvency experts. Our figures show that, whilst 39% of businesses are feeling positive about this quarter, only 8% of insolvency experts are positive about the outlook for businesses for the same period. Insolvency practitioners know that creditors tend to act more aggressively as we come out of a recession and corporate insolvencies continue to rise."

It is true that once the recession has ended and the economy begins to pick up, banks will not be quite so happy to keep bankrolling failing business. If you think your business is struggling and worry that your credit lines might soon be cut, talk to an expert in small business finance. They will be able to help you get hold of new financial products, help you plan your finances and will make sure that the next few months are positive, rather than negative for you and your small business.

SOURCE: R3, 21/01/10

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It's a simple question, how much do you earn? If you are not entirely sure, or are simply unable to put a figure on your monthly or yearly income then you need some specialist help if you are ever going to get a mortgage loan.

Millions of British people do not think the question 'how much do you earn?' is an easy one to answer – many rely on bonuses as a staple of their income so could only give you a rough estimate as to how much they earn. They might be a freelancer and live from one job to the next, so that question is completely reliant on their industry and their abilities to find work.

They might be someone who works more than one job at different times during the year, maybe they are someone who works purely on commission and earns as much as they can sell.

All these people will be forced to self-certify their earnings should they want to get hold of a loan. A lender likes to know how much money someone makes so as to be able to assess whether they can handle a large loan. If you do not know, a lender is not going to offer you credit.

That's why you need to go through a professional. They can help you draw up an income plan, which would help you get an idea of what you could earn on a bad month or during a good month. They can help you come to a comfortable affordability figure which you would be happy to pay each month for a mortgage regardless of your maximum earning potential. Then, if the lender is also happy you may get the mortgage you need.

So if you do not think the question is an easy one, talk to a self certifying specialist. There are millions of people who needlessly worry that they might not be able to get the right mortgage simply because they do not go through a specialist. Don't be one of those who do not use their earning potential when it comes to getting a mortgage.

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If you have lost confidence in your business and your finances then it is time to get it back with some professional self cert advice.

According to a survey of small business by Lloyds TSB, almost half of business said they were not upbeat about their prospects, when asked before Christmas. This is a drop on November's findings, when two thirds of small businesses were confident about their prospects.

To get your confidence back you have to look at why you are not confident – are you struggling with bills? Are you spending money faster than you can make it? Are you seeing a slump in business, which is in turn meaning you fall into more arrears each month?

Once you know why you are concerned, you should try and speak to a professional self cert financial adviser because they know better than anyone else how you should fix your self cert finances.

It might be that you need a new self cert mortgage, it might be that your small business venture needs a loan or a new credit line. You might be worried about not being able to meet debt obligations, so the self cert expert might advise you to take out some small business income protection insurance.

After talking through your finances with a self cert professional you may find that your self cert confidence returns. After talking to someone in the know, you may feel like your problems aren't so bad or you may find that by juggling around a few things you have a lot more money at the end of each month. Whatever happens you can be sure that a self cert professional will do all they can to give you a confidnece boost.

SOURCE: Lloyds TSB, 18/01/10

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Some good news for self employed people – the number of failing small businesses dropped near the end of 2009 as more people took to heart the good advice they received from the experts.

According to Experian, the number of failing businesses continued to fall and the financial strength of businesses improved in November 2009 – not only did businesses' financial strength grew but the rate of insolvencies fell to 0.09% in November 2009, compared to 0.11% in November 2008.

Rolf Hickmann, a director at Experian says: “The last four months have seen a fairly low and stable rate of insolvencies, compared to 2008, and certainly compared to the heights reached in the last recession in 1992. In fact the overall picture shows a very gentle decline in insolvencies throughout the year.

“Despite the prolonged recession, the UK’s entrepreneurial spirit continues to thrive. The number of micro businesses, those with one to two employees, is growing rapidly. They are enjoying amongst the lowest rates of insolvency and are relatively secure.”

If your micro business is not looking quite so healthy right now, it would be a good idea to talk to a financial professional right away. They can point you towards financial products tailored to the self employed that will ease debt problems, help reduce your outgoings and will make sure that your business doesn't fail in 2010. Those that do listen to expert advice are the ones who do survive.

SOURCE: Experian, 06/01/10

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The Government has pledged to do more to make sure that borrowing increases for small business and the self employed person – but don't wait around for bureaucracy, get proactive with some professional help.

Lord Myners, financial services secretary to the Treasury, says: "The extraordinary events in credit markets over the past two years have shown that the continued availability of any single form of business finance cannot be taken for granted. Right across the world, firms that had relied on loans from banks to finance their operations found themselves in a very difficult situation when bank lending contracted."

The Government hopes to use the lessons learned from big business and see whether it is possible for small businesses to get hold of money through the money markets or through corporate bonds. It's a good idea, but one that will take time to get through the bureaucracy of government. If you need money you need money now, not in five years.

That's why you need to get proactive if you are seeking out self employed or small business credit, and that means seeking out a professional adviser who can point you in the right direction with regard to loans and mortgages for the self employed and for small business.

It is tough to access credit for the self employed, and it will get easier in the future. But if you need your money now, see what a professional can do to help you through the mine field that is small business and self employed credit in 2010.

SOURCE: HMT, 12/01/10

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