Small Firms Missing out on £175bn Due to Insufficient Business Tools
Almost half of UK small business owners lack the right tools and technologies to run their business successfully
45% of small and medium-sized business owners feel they do not have the right technology in place to run their business, and small enterprises could be losing an estimated £175bn in revenue as a result, according to research by Xero.
The report found that on average small businesses were losing £35,000 each due to financial inefficiencies – often due to a lack of the right technology.
Furthermore, the study found that 95% of business owners believe technological tools are important in creating a positive business culture and 37% of respondents said that they wished their technology was more efficient.
The research, which surveyed over 1,000 entrepreneurs, was commissioned as part of Xero’s Business of Happiness initiative and in association with investor, entrepreneur and former Dragons’ Den star James Caan.
Caan commented on the report:
“It’s fantastic that more and more people are setting up their own businesses and a key factor in this is the increasing number of tools on hand to help.”
“Technology is such an important factor in the success of a business and its influence cannot be underestimated. Using the right technology to stay on top of your accounts is so fundamental to keeping a successful business and also a happy one. In Dragons’ Den so many people tripped up on this point, demonstrating how important it is to stay on top of your numbers for the growth of your business.”
For more information on technology for your business, check out Startups’ technology zone here.