Allica Bank, the UK’s fastest-growing private company, is doubling the size of its accountancy partnerships team to 16 less than a year after launch, having seen significant demand from the accounting sector.
Accountants play a leading role in supporting and advising established SMEs across the country, but many of these SMEs feel that they no longer get the support from their bank that they once used to. Allica’s accountancy partnership team was set up to help accountants step into the gap that high-street banks have left when it comes to business support and expertise.
The expansion comes as new data released by Allica, based on a survey of more than 70 accountancy firms across the UK, shows that businesses are desperate for advice, but are unsure where to get it. Many are turning to their accountancy partner, with 36% of accountants reporting being asked for business advice by their clients on a daily basis.
However, it’s clear that one area businesses really struggle to find advice is when it comes to banking and finance. More than half of accountants said that, while their clients get some support from their business bank, more support is needed. Only 3% believe business banking customers are getting all the support they need from their banks.
This is confirmed in a further survey of 450 established SMEs (businesses with between 5 and 250 employees) undertaken by Allica Bank. It revealed that just 41% believe their business gets the attention it deserves from its bank, while 47% are receiving no interest on their business savings. Allica Bank research reveals that, compared to larger corporate businesses, many are offered lower rates or even no interest on their business savings by traditional banks. This ‘lost interest’ is costing the average business £2,268, equivalent to around £9 billion of unrealised interest across the whole country, hitting the cashflow of hard-pressed SMEs.
Accountants clearly don’t believe they have been given the tools to fill that gap either. Another poll Allica conducted of 170 accountants in partnership with the ICAEW revealed that only 8% of accountants regularly and proactively discuss business banking with their clients. While nearly half of those polled (46%) said they don’t have these conversations with clients at all and they don’t feel confident doing so.
Led by Sophie Hossack and Richard Williams, the partnerships team at Allica Bank offers personalised and dedicated support to accountants and their established SME clients, helping them find the right products to grow or improve the health of their business.