Running a business can have its ups and downs, but new research has found that recently, there have been more downs than ups for many UK business owners.
Nearly a fifth have reported skipping payday in order to keep their business afloat for another month.
Despite the dire straits facing nearly 20 per cent of small businesses, the majority are entirely self sufficient.
57 per cent of those surveyed say they don’t rely on anyone or anything for financial support while, at the opposite end of the spectrum, 19 per cent said they’re relying heavily on personal savings.
With different priorities and financial circumstances, it makes sense that some business owners are confident about the year ahead, while others are a little more unsure.
Over a third said that they’re expecting more growth in 2017 than last year, but a quarter were more pessimistic, expecting 2017 to be a worse year for growth than the one before.
For those who are struggling to make ends meet and don’t have high hopes for the year ahead, business debt could be the root of the problem.
Over 80% of small businesses are owed money, so even those who are self-sufficient could be coming up short.
The good news is that last month, the government announced they would be hiring a new small business commissioner to help solve the debt problem. Coupled with the Chancellor’s withdrawal of the proposed increase in Class 4 NICs, maybe more small business owners can be cautiously optimistic about the year ahead.
How do you feel about the year ahead? Let us know in the comments.
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