The way consumers are shopping online is changing fast and SMEs aren’t keeping pace. More and more people are using mobile devices to shop and alternative finance can help them afford the tech.

According to new research from PayPal, almost 20% of small businesses don’t operate a mobile-friendly website. Why does this matter? Because mobile devices are fast becoming the most popular way that consumers are shopping online. An already sizeable market is growing fast.

Mobile device spending growth is well above the market average and has already overtaken purchasing carried out on desktops. And this momentum shows no signs of stopping, with millennials set to be a key growth demographic. A lot of money is being spent, but a significant amount of small businesses can’t access these sales.

What’s stopping them? Affordability is a primary factor. Custom-made, mobile-friendly websites don’t come cheap and with profit margins for many SMEs already wafer thin, thanks in part to the myriad other costs they must manage, justifying investment is by no means easy.

Small business owners must deal with costs relating to pension auto-enrolment, cyber-security, minimum wage requirements and national insurance contributions. Late payment and rising business rates put more pressure on cashflow.

Hence, it’s no wonder that the SME sector as a whole isn’t keeping pace with the growth of the mobile device retail market. But alternative finance can help small business owners afford investment.

Whether in terms of start-up funding or safeguarding cash flow, the likes of invoice finance, asset finance, peer-to-peer lending and crowdfunding can give small businesses the access to finance they need. With traditional lenders still preaching caution, the flexibility and affordability of alternative finance is proving to be lifeline for SMEs.

With the mobile device online shopping market growing at such rate and taking on such an important role, small business owners can’t afford to skip on investment. Alternative finance can help ensure they can target this multi-million pound market.

To find out more about A&T Business Associates services, contact us on 01903 602211 or info@atbusinessassociates.co.uk.