New survey reveals growth fears among UK SMEs
One in four SMEs in the UK has predicted zero growth for the coming six months, suggesting that some firms still have concerns over the state of the economic recovery.
According to Virgin Media Business, the effects of the recovery are not being felt by smaller businesses, despite recently reported widespread positivity.
The economic situation still presents a set of challenges for UK businesses and while optimism in some sectors might be high, more work is still needed.
More than 1,000 companies were questioned as part of the study and 24% listed the current financial situation as their biggest barrier to growth.
Some 53% of business owners said getting the right business advice was a tough challenge when just starting up, while understanding taxes and VAT also posed problems.
Furthermore, just 8% of firms said they turned to government services to solve their business issues, suggesting that other avenues are preferred.
Technology playing a key role
The potential of digital technology was also being lost on four of every five companies, with only 20% of SMEs revealing that digital training was seen as a vital area for investment for the coming five years.
SMEs are often referred to as the power in the UK economy but the results of the findings suggest some companies feel they are not in a position to fulfill their potential.
Missing out on potential sales or market opportunities could negatively impact these businesses, in some cases even impacting on their abilities to run successfully.
In these instances, seeking assistance from a corporate insolvency group should be done as quickly as possible in order to protect assets for any owners and shareholders.
A big part of a successful business relies on having access to technology and the staff that know how to use it.
Around 8% of the UK’s gross domestic product relates to the UK’s digital economy and maintaining a competitive advantage in the sector is of vital importance.
By Phil Smith