Contact UsFive things to consider measuring in your small business
Emily Coltman from Freeagent gives her top tips for successful business measurement. When you’re running your own small business it can sometimes be a challenge just staying on top of your everyday work, let alone managing all the things you need to do behind the scenes. But if you can dedicate some time to measuring a few important pieces of admin in your business, you may find that you’re likely to work more effectively and give your business the best opportunity to grow. How you’re spending your time If you bill clients by an hourly or daily rate, you’re probably already tracking your time to ensure you charge for all of the work that you do. But monitoring your time is still a very useful habit to get into even if you don’t bill this way. By identifying how much time you actually spend on working for clients compared to managing your daily business admin, you’ll be able to see how profitable your business really is and which clients are potentially costing you money. If you track admin time, and other unbillable time, you'll also be able to see exactly how much time you're spending on your business that you...
Five ways business skills can transfer into everyday life
In today’s day and age, more and more people are realising that the acquisition of valuable business skills can seriously help them in the world of work. Certainly, building a skill set of important business skills such as time management and conflict resolution can make your work day more productive and aid you in gaining career advancement opportunities. However, it’s also important for those skilled in business to understand that the skills which you’ve obtained can be valuable to your personal life, too. Leisure time The skills which you’ve acquired from working in or running your own business can actually help you enjoy your leisure time to its full potential. For example, you can use business skills such as knowing how to plan effectively, knowing how to choose the best people for your team and understanding when to take calculated risks can be pretty useful to help you win a poker game. Along with that, other business skills such as knowing how to look for the best value can help you find things such as good value vacations, cars, property and more that you can expect to spend money on. Time management skills When working in business, having good time...
SME confidence shaky against backdrop of economic uncertainty
Expectations that the economy will improve over the next 12 months are substantially down from previous highs in the last quarter, a study shows. Confidence fell 11 points in the Smith & Williamson Enterprise Index as respondents reacted to ongoing global economic instability and two successive statements from George Osborne which were 'less than friendly to SMEs'. Guy Rigby, head of entrepreneurial services at the firm says that optimism among respondents for their own prospects over the next 12 months declined by 8 points to 74 per cent and there is little support for an interest rate rise. However, 24 per cent of respondents recognise that business confidence is being adversely affected by the Bank of England’s decision to maintain interest rates at historically low levels. The negativity surrounding the economy, and business prospects, over the next 12 months is offset by the belief in a growing talent pool, Rigby argues. More than 64 per cent of respondents plan to increase headcount in the next quarter with 50 per cent believing the employment pool to be adequately trained, both reaching highs not seen since the end of 2013. 'Uncertainty over UK interest rates, economic troubles in China, a potential Brexit and upcoming...
The alternative finance market: What is out there for small companies?
Here, we look at the options for SME funding that have emerged since the recession and how there is a method of finance for every business need. The SME sector has been through a turbulent period over the past ten years, to put it mildly. A long recession made consolidation a priority over growth for many SMEs for a long period of time. Finance was a considerable problem; the banks were not lending and companies were being starved of funds in a world that had yet to see a developed alternative business finance market. However, as the recession ended, there became a growth in exciting new options for finance, from equity-based crowdfunding to peer-to-peer loans to invoice finance. While still a competitive and cut-throat business landscape where SMEs face cash flow challenges, the past year has shown reason for smaller companies to be optimistic. For starters, the political stability of a Conservative majority and the pro-business policies it brought arguably was a boon for business confidence, but also the alternative business finance market has seen considerable promise, enjoying a continuing boom in online lenders. Before around 2009 of course, it was much easier for a small company to raise business...
Budget 2016: Small businesses call for flat rate of tax
The majority of small and medium-sized enterprises (SMEs) want the Chancellor to reduce the complexity of the tax system and introduce a flat rate of tax in the upcoming Budget. Some 55 per cent of SMEs are in favour of the change, according to a survey commissioned by accountancy firm Moore Stephens. Moore Stephens’ clients say this would help to simplify the tax system, which is currently too complicated and time consuming for many businesses. The joint most popular measure among survey respondents was a further crackdown on tax avoidance, particularly VAT avoidance, by large multi-nationals, also favoured by 55 per cent of SMEs. Simon Baylis, partner at Moore Stephens says that, above all, small businesses want simplicity in the tax system. 'Our clients are not necessarily appealing for a lower overall rate of tax, but for a removal of red tape and complexity that will make dealing with taxes easier, faster and more certain,' he adds. 'Reducing the complexity of the tax system would provide a boost for businesses as owners and managers would regain time for productive work that is currently spent on tax issues.' Additionally, Baylis points to the perception among SME owners that they are not operating...
The top five threats to UK businesses – and how to protect against them
The start of 2016 has already seen widespread unease in the business world, with share prices fluctuating wildly. By Nick Martindale There are real economic concerns in the form of the slowdown in China and the weakening oil sector, while closer to home the possibility of Brexit is causing a distinct sense of unease. The following provides a round-up of some of the more significant threats to UK firms this year, and examines how to protect your organisation: Global economy The slowdown in China and subsequent market reaction shows just how interconnected the world has become, says Olivier Desbarres, an independent emerging markets and G10 economist. “The financial crash of 2008 centred on the banking sector and mortgage market,” he says. “Banks, manufacturing and energy sectors, to name a few, are all sluggish.” At the same time, growth in the eurozone remains unsteady, he adds, while the euro itself is still weak in the wake of the migrant and Greek debt crises. How to protect your business: Make plans on how to cope with a global financial crisis, and keep options open in terms of targeting new markets should the eurozone again enter a recession Uncertainty The EU referendum is already causing...
Poor planning could cost UK companies dearly this year
Ineffective planning could mean Britain’s small businesses will lose out on £25 billion in extra revenue in 2016, research finds. More than a quarter (26 per cent) of UK small and medium-sized enterprises (SMEs) surveyed say they do not have a business plan in place and are therefore likely to have entered the new year without basic objectives, revenue targets or a plan to manage cash flow. However, research by the Centre for Economics and Business Research (Cebr), commissioned by npower Business, reveals that more than half (51 per cent) of the UK’s best performing SMEs are working to a detailed business plan. Among all SMEs with a detailed plan, 70 per cent anticipate an increase in their expected 2016 revenue growth as a direct result of developing and implementing their current business plan. Cebr’s analysis finds that SMEs which are effective business planners also expect to see revenue growth of 8.2 per cent in 2016. This is 1.6 per cent higher than revenue growth expected by the average SME in 2016, which equates to a potential increase in revenue of £25 billion above what is currently expected. Even for the smallest businesses, the increase in revenue from more effective...
Five reasons why 2015 was a great year for SMEs – and five things to watch out for in 2016
Greg Carter reviews the last year's impact on business and what companies should expect in the next 12 months. 2015 was a surprisingly good year for small businesses. While many of these trends are likely to continue, there are a number of areas to watch as you grow your business in 2016. Why 2015 was a great year The Conservative party formed a majority government in May The key word here being 'majority'. Regardless of your political persuasion, the key concern of all businesses in the run up to the last election was the uncertainty caused by a hung parliament. Right up until the exit polls on May 7th this was considered the most likely outcome, but was thankfully avoided. We’ve ended up with a relatively strong Conservative government, keen to take the centre ground. While the National Living Wage caused some concern this should be largely offset for smaller businesses with the increase in the employer national insurance allowance to £3,000 per year, along with future falls in the corporation tax rate. The economy was one of the strongest in the G7 Despite the headwinds of fiscal austerity, collapsing commodity prices and the ongoing Euro crisis, Britain remains one...
Time and cost of auto-enrolment concern SMEs in 2016
Managers of UK small businesses have identified the new legal requirement to automatically enrol staff into a qualifying pension scheme as one of the biggest business challenges facing them in 2016. Some 150 managers of small and medium-sized enterprises (SMEs) were asked by Exemplas what the biggest challenges are that they are likely to face in 2016, in the areas of business regulations, employment law, skills, business finance, digitisation, business taxation and business development. The challenges most frequently raised within the research are finding employees with appropriate skills, lack of finance/funding and the time and costs of setting up pension schemes for employees, with the latter appearing to be of rising concern. Out of those who identified a business challenge, one in five considered the time and costs associated with the auto-enrolment pension scheme to have potential for a big impact on them, with respondents even saying they feel bullied into it. Specific comments include, 'I really do not know how I’m going to put money in the pot to pay for it.' Another manager comments, 'We already have pensions here but now I’m being forced to give them to my staff by law; they are bullying you into it.' Finding employees...
Finance chiefs optimistic about female career prospects
UK finance chiefs, male and female, see increasing opportunities for women to progress in the profession FINANCE CHIEFS believe opportunities are much greater for women to progress through finance than ten years ago. Two-thirds of UK finance chiefs surveyed by Robert Half said there were more opportunities for women to advance through the accounting and finance ranks than previously. Nine in ten believed that this increased opportunities for women to secure executive board positions, a figure brought into focus as Lord Davies has revealed that there are no more all-male FTSE 100 boards. In 2011, women only accounted for 12.5% of board members. Lord Davies' final report on gender equality includes a new target of all FTSE 350 boards having 33% female representation by 2020 - around 350 more women in top positions. Female finance chiefs are more positive than male FDs about the opportunities: 67% of women are positive about female finance career paths, compared to 61% of men. Phil Sheridan, MD of Robert Half UK, said: "Creating a diverse talent pool should be at the top of the agenda for businesses, alongside attracting and retaining skilled professionals. "Providing more career opportunities for women within finance will see a...