More than a third of small businesses are completely clueless when it comes to getting the financial help they need to expand.

According to a survey by Hastings-based Bibby Financial Services 37 per cent of business owners don't know how to get additional funding.

More than half - 57 per cent - said they found it hard to access funding for growth and only one in ten said it was easy to secure a loan to meet their needs.

Bibby said the findings of the survey proved the ambitions of small firms, which account for the overwhelming majority of Sussex businesses, were being hampered.

The cash-flow specialist pointed the finger of blame at the Bank of England, the Government and the big four High Street banks.

Spokesman Ian Burman said: "These findings fly in the face of the Bank of England's decision earlier this year to abolish its small firms' domestic banking division, a tailored service for small and medium-sized businesses.

"There is a need for as much advice and support as possible for smaller firms and the Government, business advisory organisations and the industry as a whole could start by doing more to educate the small business community on what funding options are available and how they can access it".

Some 41 per cent of the business owners surveyed still cited the inflexibility of banks as their main finance-related problem, despite efforts on their part.

When asked the best sources of funding for growing businesses, 35 per cent of owners and managers cited venture capital and 23 per cent business angels. In practice, however, only 12 per cent and two per cent of businesses, respectively, managed to work with these financial partners.

A quarter of entrepreneurs said a lack of cash flow was the biggest hurdle their business faced, while a third of worried about their ability to increase sales turnover. Business owners laid much of the blame at the door of the Government.

Some 43 per cent believed Labour's business policies were not very good at all, while a small minority, four per cent, thought the Government was doing a very good job. Mr Burman said: "Cash flow is the lifeblood of any business and the fact the owners and managers of Britain's 3.8 million small firms are struggling to access finance for growth does not bode well for UK business."