AMBITIOUS Kent companies have found it hard to find venture capitalists willing to invest in their enterprise, according to a recent survey.

The Enterprise Finance Europe survey of business professionals suggests that the economic climate of the past 18 months has made venture capitalists reluctant to invest in local businesses.

The survey found that invoice finance is increasingly being utilised as part of the funding mix.

The survey, carried out with the Cranfield School of Management, found that local businesses have suffered from the deteriorating global economic situation triggered by the conflict in Iraq.

EFE, part of the Bank of Ireland Group with offices in London, Manchester, Leeds, Dublin, Belfast and Frankfurt, says that deals are taking longer and VC firms are requiring greater in-depth due diligence when assessing corporate finance transactions.

However, many professionals are cautiously predicting an upturn, with a mix of debt-only deals and vendor loans rather than venture capital oiling.

James Roberts, of Bromley-based BDO Stoy Hayward, said: “There’s been a definite reduction in the price expectations of vendors and that’s a great stimulus to the marketplace.”

And Mike Norrie, managing director at Vantis Corporate Finance in Tonbridge, says that Kent is a good place to invest.

“We’re very well positioned to act not only as a gateway to Europe for US Corporations, but also as an entry point to the UK market for European operations wishing to set up subsidiaries here,” he said.