If you run a small business, what’s the one thing that probably gives you sleepless nights? For some business owners the answer might be cash-flow concerns or payroll issues, or it might simply be the worry about how proposed business rate increases might impact your business. Yet, according to a new study by software developer, Reckon, the real issue that is stopping many small business owners from getting a good night’s sleep is day-to-day financial management.
Reckon commissioned a survey of over 1,000 entrepreneurs and asked SMEs what was their biggest day-to-day concern was, and discovered that just over one fifth of respondents admitted that they struggle to keep on top of figures and face big problems with the financial management of their businesses. However, for the sake of balance, the survey also found that larger, more-established businesses also face struggles here: the survey found that almost one-third of SMEs with a turnover of more than £10 million also faced problems.
What else did the survey discover? Well, 10 per cent of entrepreneurs feel there is not enough financial planning and advice available for small firms and start-up businesses. One-in-ten respondents also said they would consider outsourcing their day-to-day financial management if money was no object.
After analysing the survey findings Reckon reached the conclusion that there needs to be more help and financial support and education for the nation’s small business community. Mark Woolley, Commercial Director at Reckon, believes the UK government should acknowledge the problem and put financial management firmly on the agenda for the new Small Business Commissioner, once he/she is appointed:
“It is worrying that so many businesses are concerned about financial management, as it is an issue that can impact their suppliers, partners and our economy,” he said.
“With the potential threat of increased business rates and late payments, SMEs need as much support as possible to understand how to keep on top of changes and keep business moving.”
“Financial management is one of the keys to success for any business, regardless of size, affecting all areas of the company. History has shown that companies with high sales revenue but poor financial management can still fail.”
“While there are some resources out there already, there is clearly still a gap to be filled and it needs to be filled quickly. We’d urge any new business to seek good advice on the easiest and quickest ways to take control and stay on top of day-to-day finances,” he added.
Should you really be worried for your small business? Well, not if you can get expert business help and support from the accountants at Steven Glicher. Our accountants can help you to overcome any fear of day-to-day financial management. We can work with you and help you to prepare a sound business plan, expertly assess your cash flow position and recommend the most efficient firstname.lastname@example.org, manage your accounts and we can even help you to seek funding or further investment. For more information on how Steven Glicher accountants can help your business and put to bed those sleepless nights, call Steven Glicher on 0161 485 8007 or email