The SME Finance Monitor survey may not be a household name. But since it was commissioned by the Business Finance Taskforce in 2010, it has become the definitive data set on SME Finance for banks, government, business organisations and other interested parties, including academics.  Around 20,000 interviews have been conducted each year with small and medium-sized firms that make up around 99 per cent of the UK business population.

The latest survey for the fourth quarter of 2017 reveals positive findings and the continuation of encouraging trends we have seen for some time now. Since 2011, we have seen improving business performance indicators and a rise in credit balances held. In addition, over the last 18 months, 80 per cent of all loan and overdraft applications by the small businesses interviewed were approved.

The most notable trend is the number of SMEs that prefer to self-finance and the small percentage making applications for overdrafts and loans. Almost half of SMEs are classified as ?permanent non- borrowers? and only 38 per cent are users of external finance. Indeed, only one in twenty smaller firms in 2017 identified access to finance as one of the main obstacles they face. This is far behind issues such as red tape, the current economic climate and political uncertainty, which are named as major barriers to growth.

70 per cent of SMEs say that they would accept a slower self-funded growth rate. Some commentators suggest that this shows SMEs have become risk averse. I don't agree. Running a business is almost synonymous with taking risk and business owners have much at stake, including their livelihood, family and a responsibility for their staff and customers. If business owners are making careful and considered decisions before taking on new opportunities, seeking debt or raising capital, we should welcome it.