The Business Terms Entrepreneurs Don’t Understand
UK small enterprise owners are refusing to apply for business loans, because they’re too intimidated by financial jargon. A report by LDF has revealed that 48% of business owners opted against asking their bank for financial assistance, because they wouldn’t have understood certain terminology. Just 15% believe they’re familiar enough with banking terms to feel confident in negotiations, with this language barrier touted as a reason why there is a late payment epidemic worth £26bn among British businesses. Interestingly, older entrepreneurs seem more bullish than their younger counterparts – with 79% of over 55 year olds refusing to hold back on applying for loans due to this problem. The most misunderstood terms are: 1. CAPEX (33%) 2. ROCE (31.4%) 3. Ebitda (30.4%) 4. COGS (30%) 5. Arbitr... »
