Lending to SMEs within the hospitality sector has decreased by 5.4 per cent year-on-year, with business struggling to find finance despite numerous Government schemes.
As a result, Boost Capital has seen the volume of hospitality-related enquiries and funded loans increase, with much of the money it gives out helping businesses expand, remodel and purchase equipment.
The firm’s chief executive Marc Glazer said: “It seems that this sector is finding it particularly hard to access finance for growth from traditional means and it is very encouraging to know that we can help them expand in an environment where liquidity seems to be further and further out of their reach.
“We are here to meet their funding needs, which include affordable repayment plans that are sensitive to SMEs’ sales and business fluctuations. Without a much-needed boost in capital, growing SMEs cannot hope to contribute to the UK’s economic recovery.”