As I write, Prime Minister Boris Johnson is setting out the Government’s four-step plan to release England from lockdown with a full lifting of all legal limits on social contact expected by 21 June. For business company owners, the moment marks a highly anticipated parting of the clouds, bringing with it the relative ability to return to ‘business as normal’.

From leisure and tourism to agri-tech, manufacturing and engineering, our region encompasses a wide spectrum of sectors with huge opportunities for renewed growth. Restriction on international travel is likely to strengthen the appeal of a Norfolk ‘staycation’ for many and create a surge of tourists wanting to spend a holiday in our county, bringing with them a welcome economic boon.

Trade secretary Liz Truss is being dubbed ‘Brexit wonderwoman’ by the media as she negotiates a £17.5bn trade deal with Australia, and with several agreements already in place business pundits are predicting that international trade will play a key part in a post-COVID-19 economic recovery.

Finally, recent research by the Chartered Institute of Personnel and Development reveals that more than half of UK employers intend to recruit staff over the next three months, the highest level since the start of the pandemic and an encouraging sign for business recovery.

While these factors will undoubtedly contribute towards a positive bounce back, the far reaching effects of the pandemic on the economy can’t be ignored with many predicting a double dip recession ahead. Although there are calls for Chancellor Rishi Sunak to extend the furlough scheme in next week’s Budget, the Institute for Fiscal Studies has said the economy can’t adjust to a ‘new normal’ until the majority of emergency support is removed.

So where does this leave Norfolk firms? It has always been the case that cashflow can make or break a business and this has never been truer than in 2021. A recent study by a debt advisory service revealed that non-emergency lending by banks to small and medium-sized enterprises (SMEs) dropped by ten per cent year-on-year in December. It predicts that once CBILS and BBLS schemes – which have impacted many traditional lenders’ appetite for lending – come to an end, many SMEs are likely to struggle to obtain finance.

With reserves already impacted in many instances, businesses should act now to ensure they have sufficient funds to see them through the coming months. With lenders willing to bridge the gap with a range of asset-based and unsecured loans, there are alternative ways to ensure finances are not stretched too thinly. Invoice factoring, often wrongly associated with debt collection, enables a business to access cash ahead of payment and keep essential funds coming in while they return to normal trading conditions. As with all business planning, considering the various options before hitting crunch time is crucial, and seeking independent advice from a commercial finance adviser will ensure a company explores all the options before making the right decisions. As businesses adjust to the ‘new normal’, alternative approaches to ‘the way things have always been done’ may offer the best chance of success.

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