Just over a third (35%) of manufacturing Small and Medium-sized Enterprises (SMEs) has a business savings account, according to research released by Aldermore.
The research titled 'Saving SMEs' also found that more than one in five (22%) businesses believe an interest rate increase by the Bank of England would have a positive effect on their business.
The main findings from the manufacturing industry include:
- 35% of SMEs have a business savings account;
- Only a third (33%) of businesses felt their bank really understands their business banking needs;
- The main reason they didn't have a business savings account was because the business didn't have excess cash flow (39%); and
- 22% of SMEs in the manufacturing sector believe that an increased in interest rates would have a positive effect on their business.
Commenting on the findings, Simon Healy, Managing Director of Savings at Aldermore said: "It is concerning that only a minority of small and medium-sized manufacturers have a savings account, as surplus funds provide protection against unforeseen cash flow issues which can create real problems. It is important to ensure that any surplus funds are working as hard as business owners do. There are significant differences in the interest rates available on deposit accounts and it is important that businesses do not lose out on maximising the return they get on their hard-earned surplus funds."