Opportunities that the public sector cuts could bring for entrepreneurs
Cuts across most sectors in the UK are having an adverse effect on SMEs and individuals up and down the country.
With many salaries falling below the rate of inflation, more and more people are taking stock and re-evaluating their options.
However, the impacts of the cuts are not entirely negative.
From the ashes comes a breed of people determined to take advantage of the situation, creating opportunities for those striving to reach the next level.
At first glance, anything associated with sector cuts is usually damaging, but beyond the issues of less spending and tighter regulations are glistening opportunities just waiting to be exploited.
Finding a niche
Gaps in the market can be found at almost every turn, but they require a tremendous amount of work and research in order to be developed.
In times of difficulty, it is important to remember that just because one business struggles it doesn’t necessarily mean that all others will as well.
The ideas can vary from radical thinking to obvious solutions if a business is attempting to undergo a major restructuring process.
Either way, there remains plenty of ways of entering the market with new, innovative products and ideas.
Opportunity for expansion
If funding exists, there may be no better time than to consider cheap acquisitions and the expansion of a business.
With the correct management, significant value could be added to the business for a fraction of the cost at a later date.
At the same time it is important to ensure business goals remain realistic and to safeguard the driving factors which have led to past success.
Making sure demand is met should remain the primary target, while the number of people wanting new and innovative products continues to increase despite cuts.
By being self-employed, there is free reign to tackle problems and find solutions while government intervention like the New Enterprise Allowance is in place to help with a business start-up.
There are currently around 4.2 million people working for themselves – meaning almost one in seven workers is their own boss.
Without controlling factors, opportunities for innovative and creative ideas increase drastically, providing plenty of chances to find positive solutions in a negative business climate.
By Phil Smith