Banks will work with small businesses including adviser firms to agree on funding solutions in the economic downturn, the British Bankers' Association (BBA) says.
In a reform of the BBA's Statement of Principles, banks will now offer firm commitments to businesses in difficulty, to ensure good businesses do not go out of business in the recession.
The BBA says it is important for customers to be open and engage in early collaboration with their bank in order to come to a solution.
Businesses owners will be able to discuss the problems facing their business in the downturn, and agree a realistic business plan with their bank to secure early support and protection.
Angela Knight, chief executive of the BBA, says: "The Principles show that banks are committed to working with business customers to find ways of overcoming the difficulties they may face in changing markets and through the economic cycle.
"All businesses experience these challenges. The Principles also emphasise that if the owners and managers of the business take early advice and action, they can work with the bank to sort out difficulties."
Contact: John Bakie, Tel: 020 7484 9805, e-mail: [email protected]IFAonline
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