Complete Commercial Finance’s 2026 Guide to Business Finance
As businesses across East Anglia prepare for 2026, Complete Commercial Finance’s directors Karl Lanham and Michael Moore share their insights on AI, cashflow strategy and emerging finance trends for the year ahead.
AI and tech in business finance: useful tools, but no replacement for expertise
Artificial intelligence (AI) continues to be a key theme in business finance, with a growing number of consumers using it to research funding solutions, but its real impact on commercial lending is still evolving.
“Since the pandemic, banks have pushed more finance applications online,” explains Karl, “and this has reduced access to personalised advice for many businesses. Yet the reality is that, while technology can provide a starting point, there’s a long way to go before it can replace the close relationship which exists between a company, a broker and lender.
“Having someone take the time to understand your company’s unique circumstances and present an application to the most appropriate lender to secure a positive outcome relies on many years’ expertise. I believe we are still a long way from AI being able to replicate this experience.”
Michael agrees, adding that while AI tools such as ChatGPT are popping up more frequently in client conversations, businesses are using this type of technology for information, not advice. “In many ways, AI is like an enhanced Google search,” he says. “What it can’t and doesn’t do is explain how something applies to you.
“Clients will sometimes ask question about a particular type of finance because an AI tool has suggested it to them, but the context and nuances of a company’s situation simply aren’t there. When money is involved, businesses still want – and need – qualified human guidance.”
Cashflow in 2026: plan earlier, forecast better
If there’s one recurring theme for 2026, it’s that financial planning always pays dividends. Viewing the long-game inevitably serves a business better than simply managing their finances day to day.
“More businesses are forecasting,” says Michael, “but not as much as they should. A key aspect of this is considering the implications of taking on a contract and fulfilling it, and looking at how it will affect capital expense.”
“An example of this is a business securing a £1m contract,” says Karl. “It would be easy to look at this scenario and say, ‘They must be in a strong financial position’, but if you are buying materials, components or products to service the contract, along with paying staff, contractors and overheads, it often means being £200k down for the first 90 days, while waiting for payment. Surviving that scenario can be tough.
“Another frequent issue is choosing the wrong finance product in the first place. Quick-access, online loans remain popular, because they’re easy, but they can restrict future borrowing and reduce flexibility. It’s vital to have your money in the right pots – use asset finance for machinery, vehicles and equipment; use invoice discounting to create working capital; and use commercial loans for one-off costs, but avoid short-term, high-interest loans for long-term needs.
“By working this way, a company can often increase its borrowing capacity. At Complete Commercial Finance, we work closely with clients to help them understand the distinction between the different financial products and to structure their borrowing in a way that matches each need to the best solution.”
The most popular finance products for 2026
Cashflow and invoice discounting
“Demand for invoice discounting, particularly selective invoice finance, and other cashflow facilities have surged in 2024-25,” says Michael. “Invoice discounting is a product which historically had a bad rep, with a perception that it was expensive and a last resort. Yet often it’s exactly what a business needs and if the cost is factored in early enough it can be a highly effective way to fund a project or contract.”
Merchant cash advance
“Another increasingly popular product are merchant cash advances, particularly among leisure, hospitality and tourism businesses,” adds Michael. “This type of business finance is quick to apply for, there are no fixed repayments and payments are based on turnover, which makes it it ideal for seasonal or businesses where revenues fluctuate.”
Asset finance
“And, after a stop-start period, demand is returning for asset finance, largely driven by machinery, vehicle and equipment upgrades,” adds Karl. “It can become a false economy to keep assets a year or two longer than planned, as this often impacts operations, so it is good to keep on top of it. Some firms are choosing to replace ageing kit now, while others are finally investing after delaying decisions due to uncertain economic periods over the past couple of years.”
New opportunities in asset-based lending
“We’re also seeing several lenders expand their offering in defence-supplier manufacturing and technology sectors,” adds Michael. “With increased government defence spending, funders are eyeing opportunities in simulation and training technology, automation, cybersecurity and advanced engineering. Although niche, we do have a lot of highly skilled manufacturing companies in our region and this may be an opportunity to look at for some.”
Which sectors are driving demand for business finance in 2026?
Manufacturing and engineering
“These remain two of the most active sectors in our region,” says Michael. “Fast-growing manufacturers often experience intense cashflow pressure, and this is boosting demand for products such as invoice discounting and asset finance.”
Construction and groundworks
“Despite recent economic uncertainty, construction businesses are continuing to invest heavily, using asset finance for machinery, particularly for demolition and groundwork,” adds Michael.
Tourism and leisure
“East Anglia’s tourism sector remains strong,” says Karl, “with many businesses seeking finance for property acquisition, along with merchant cash advances which can be used to fund refurbishment.”
The outlook for 2026: cautious optimism
Despite ongoing global economic pressures, both Karl and Michael are optimistic and see signs of improvement with lenders eager to approve applications. “There’s a pent-up appetite to lend and funders are calling us saying, ‘We want to do more’,” says Michael.
“The important thing is to start planning early. Whether it is equipment, cashflow support or growth funding, early conversations dramatically improve outcomes. Speaking with a broker can be pivotal to making your business plans a reality.
“People often shy away from professional advice, wrongly assuming that talking to us costs money,” adds Karl, “but an initial consultation is free as we don’t charge for advice. We want businesses to explore opportunities and use finance with expert guidance to get the right solution in place and improve their chances of success.”
