Editorial & Advertiser Disclosure Global Banking And Finance Review is an independent publisher which offers News, information, Analysis, Opinion, Press Releases, Reviews, Research reports covering various economies, industries, products, services and companies. The content available on globalbankingandfinance.com is sourced by a mixture of different methods which is not limited to content produced and supplied by various staff writers, journalists, freelancers, individuals, organizations, companies, PR agencies Sponsored Posts etc. The information available on this website is purely for educational and informational purposes only. We cannot guarantee the accuracy or applicability of any of the information provided at globalbankingandfinance.com with respect to your individual or personal circumstances. Please seek professional advice from a qualified professional before making any financial decisions. Globalbankingandfinance.com also links to various third party websites and we cannot guarantee the accuracy or applicability of the information provided by third party websites. Links from various articles on our site to third party websites are a mixture of non-sponsored links and sponsored links. Only a very small fraction of the links which point to external websites are affiliate links. Some of the links which you may click on our website may link to various products and services from our partners who may compensate us if you buy a service or product or fill a form or install an app. This will not incur additional cost to you. A very few articles on our website are sponsored posts or paid advertorials. These are marked as sponsored posts at the bottom of each post. For avoidance of any doubts and to make it easier for you to differentiate sponsored or non-sponsored articles or links, you may consider all articles on our site or all links to external websites as sponsored . Please note that some of the services or products which we talk about carry a high level of risk and may not be suitable for everyone. These may be complex services or products and we request the readers to consider this purely from an educational standpoint. The information provided on this website is general in nature. Global Banking & Finance Review expressly disclaims any liability without any limitation which may arise directly or indirectly from the use of such information.

INACCESSIBLE HIGH-STREET BANKS COULD COST UK SMES £245 MILLION A YEAR

Research from Tide reveals the crippling delays faced by UK entrepreneurs when setting up business banking, with the average wait being over two and a half weeks.

Tide, the new mobile-first business account, today releases research that finds it takes on average over two and a half weeks (2.6 weeks) to set up a new account with the ‘big five’ high-street banks. Through research of 89 branches across the UK, Tide is also able to reveal that for SMEs in London it can take up to 37 days to get a face to face meeting in a bank branch, whilst the quickest city to get a meeting is in Bristol, with a wait of 10 days.

With the average UK SME turning over half a million pounds each year, Tide calculates that missing out on just 10% of business during this period, by not having access to an account, represents a potential loss of £245,237,340 in cash-flow for the 97,000 new businesses founded in 2016. Individually this could potentially result in a £2,528 loss of turnover per business over the course of two and a half weeks because of a delay.

Tide also researched into how long, on average, it takes an SME to book a face-to-face meeting with a bank advisor; widely seen as the cornerstone of traditional banking practices. Tides research finds that on average it takes an SME just under three weeks to get a meeting in the UK. This wait rises to over five weeks (37 days) for businesses in London, the slowest out of the 10 cities researched. The average wait per city for a business meeting across the UK is as follows:

  1. London: 37 days
  2. Liverpool: 19 days
  3. Manchester: 17 days
  4. Belfast: 16 days
  5. Birmingham: 16 days
  6. Edinburgh: 16 days
  7. Cardiff: 14 days
  8. Glasgow: 14 days
  9. Leeds: 11 days
  10. Bristol: 10 days

George Bevis, founder of Tide, comments: “High street banking for SMEs is inherently slow and outdated. Our new research showcases just how sluggish set up and getting a meeting can be, and the subsequent cost to the business. For many start-ups, for whom time and money are a premium, this can be critical. Both in branch and online, the services big banks offer are not tailored towards the specific requirements of SME banking.

What is even more shocking is that London, the UK’s business hub, is the slowest when trying to get a business meeting. Whilst the high-street bank’s online offering may be sufficient for consumer banking, the existing online business banking tools offered for high street banks are not good enough. Now is the time more than ever for SMEs to look to dedicated online and mobile services rather than stick with the traditional banking system that is already moving off the high street.”

You can find the full press release and high res images on our Digital Newsroom here: http://www.digitalnewsroom.co.uk/tide/inaccessiblehighstreetbanks/