12/09/2016 World Business Report

Fighting for fundi ng - a larger number of small businesses

are turning to credit cards and even crowd funding to get the cash

And out of the blast furnace and into the fire -

Tata Steel is likely announce large profits in the coming hours -

will the lack of a buyer for their troubled british business

I'm Sally Bundock also in the programme -

Hanjin - the troubled South Korean shipping giant has been thrown

Our team in Singapore has the latest.

A lack of easy access to funding is forcing more small businesses

across Europe and the US to turn to credit cards

The news comes at a tough time for small firms with a number

of banks now warning that they may have to charge businesses to accept

Today's report by Hiscox insurance reveals just how much pressure

businesses are under in the current economic climate.

It found that 22% of small and medium-sized enterprises,

SMEs for short, are now finding it harder to access bank financing.

Worryingly 17% of those SMEs are now using their credit card to help fund

the business - and that numbers been increasing for the past three

10% are even considering crowd sourcing through peer-to-peer

lending sites in the coming year to fund their business.

The report also shows just how difficult it is to succeed

with a new business - 40% of people who have

set-up their business within the past four years

are still relying on income from outside sources.

There is some good news though - 66% of small business owners

and managers reported a growth in revenue in the past year.

With me now is Goncalo de Vasconcelos, founder

of Syndicate Room, an Equity Crowdfunding platform

I know you are not surprised to hear these statistics because you have

seen a surge in demand for what you do. Explain how you help small

businesses get funding. We are an online investment programme and we

lend companies. Companies that start for capital for growth, and

investors that are looking for places to put their money. That will

pay them a bit more than their savings account. So you act as a

middleman in the crowd funding world and the investors can be people who

have just ?1000 to invest, or more? Correct. We are an online platform

that links those two parties in a very, very manner. We and our

investors are people that could have ?1000 to invest. Why is there such a

surge in demand for services like yours? They have been encouraged by

the government to invest me -- investment banks. They keep on

tightening it even further. It provides an opportunity for forms.

Regardless of banks tightening lending criteria, the two

fundamentals are still there. Companies are still staffed for

capital and capital for growth. Investors are still looking for

where they can get returns. With the recent interest rate being lowered,

what that means is investors are looking at other places. The concern

is that the companies that are contacting you and thinking outside

of the box are already companies, biotech companies companies in the

UK, those relying on the credit card are perhaps in a difficult place.

That is not a way to fund a business. Credit cards are not a

sustainable way of finding a business. Certainly not a big

business that is growing at a fast pace. What that means is that those

companies are... If you think about crowd funding. A few years ago, very

few people knew what it was. These days, it is going from alternative

financing to the mainstream. The report show that 10% of the

companies are considering it. Two years ago, not even 10% of people

had heard of it. Interesting how things are changing so rapidly. A

key for your time. There is more detail online. -- thank you.

To the Indian business capital Mumbai now where Tata Steel

will release its latest set of quarterly results

It could be a busy week for the company which,

is also expected to offer an update on its recent attempts to sell

Here's a quick reminder of the issues at stake.

The company employs some 11,000 people at plants across the UK,

including its huge Port Talbot plant in South Wales

But after racking up heavy and sustained losses the company

announced in March that it would be putting the UK business up

One of the reasons that no deal has yet been done

is the British Steel Pension Scheme which Tata is primarily responsible

It has liabilities of around ?14 billion pounds or 18 point six

That's a huge amount for any buyer to add to their balance sheet

but its being reported that a solution to that issue could be

Here's Sameer Hashmi with his analysis of

There are two sides to this company. It is struggling European operation

which is in the centre of attention that the company has been losing

over ?1 million everyday when it comes to its UK operations. It is

also the largest market in Europe. When you look at Tata Steel's

performance in EDR, it has been doing very well. It made a profit of

over $700 million. The problems in the European market have been

weighing it down the sometime. Last year, Tata Steel reported a loss of

nearly $500 million will stop what next for Tata Steel? Analysts expect

the company to keep making profits here in India because the amount of

steel is rising over here on the back of fast economic growth. Tata

Steel's plans as selling off its UK operations have dropped off after

the Brexit vote. Now the company is in talks with other steel majors at

like big guns in the European market. People are wondering if

those plans are making progress. When we get the numbers, we will

update you. One of the worlds largest cargo

companies Hanjin Shipping is being thrown a financial life

line in a bid keep the bankrupt Sharanjit Leyl joins me now

from Singapore with more. I am back on dry land now. It is one

of around 80 ships that are essentially stranded out at sea. It

is as the firm grapples with bankruptcy. Along with a financial

lifeline that you talked about, it's biggest shareholder Korea airlines

extending some $50 million to the company. This is to help unload some

of the stark cargo that remains on many of those ships. We also saw one

of the ships being allowed to dock off the coast of California this

weekend after US and encrypts the court granted it. It is about 8000

ships out there they are stranded across some of 50 ports in as many

as 26 countries around the world and that is as we know the company is

far from receivership in early September. -- filed for. We saw

debts of under five and half billion dollars and it is causing havoc in

global trade, a surge in freight rates and vessels have also been

seized will stop we know, of course, it is one of the world's largest

container carriers according to its website. Transport is around 100

million tons of cargo annually. When it leased half a million containers,

its contents as far as toys, computers and mobile phones, costing

its compass -- customers as many as billion dollars, stuck on strategy

at around the world, it sends waves beyond the industry. It is actually

delayed shipments for America's crucial shopping season. Which, in

turn, could threaten to ruin Christmas! Oh, my goodness. Let's

mention that Samsun has asked people to stop using their Galaxy seven

smart phones and immediately and exchange them as soon as possible.

-- Samsung. The phones have been catching fire. Notable -- multiple

airlines have asked people to keep them turn off or unchecked baggage.

Shares in Samsun have now fallen by over 8% since last Friday. --

Samsung. Just to say, strictly speaking, all markets across Asia

are falling heavily blowing big losses on Wall Street on Friday. I

will see you