What’s the biggest challenge small and mid-sized businesses (SMEs) face coming out of the pandemic?
The first instinct was to hunker down and survive, generating and preserving liquidity as best you can. Now we’re moving into a phase when business and government have to take stock of structural changes, such as the move to a cashless society. We’re probably never going back, so SMEs need to be agile, honest and nimble in re-evaluating their business models.
What more should banks do to help SMEs?
Big banks’ connections to small businesses give them a major role in the eco-system. During the pandemic, they’ve acted as intermediaries delivering government guarantees and getting loans to SMEs. They can also bring SMEs game-changing technologies, allowing them to compete and succeed.
How can technology enable SMEs to make a difference?
Technology enfranchises SMEs, reducing the economies of scale larger competitors enjoy and giving them access to buyers who weren’t accessible a few years ago. Through technology platforms, SMEs can also access tools like loyalty programmes that were previously the preserve of larger businesses.
To read more of Philip Hammond’s insights, check out the full interview below.