The Mail reports on new research indicating that the UK’s smallest businesses are prioritising local growth over international expansion. According to Zempler Bank, 27% of these businesses prefer regional development. Only 12% said their main goal was to expand internationally. Interestingly, while 54% of businesses expect modest growth, 24% have no ambition to grow.

It is noted that while some small businesses could be hit by increases to statutory sick pay and parental pay, most will be shielded from changes to National Insurance contributions.

iBOSS Comment:

The question is whether those that aren’t shielded have the ability to handle these additional costs? Can they absorb them or pass them on to customers in the way that larger firms can? If this applies to your business and you need independent advice then contact us at phil@theiboss.co.uk for a free consultation and to explore options.

The Mail reports that research by Admiral reveals a significant shift in employment attitudes among workers under 27. Many are showing a strong preference for long-term employment. The study indicates that 75% of 18 to 27-year-olds (Gen Z) are seeking stable, long-term roles, with many prioritising career development over higher salaries. Unlike Millennials, who often switch jobs for pay increases, 70% of Gen Z workers prefer to grow within a single firm. Matt Wintle, head of talent and acquisition at Admiral, noted that younger employees are keen to invest in their workplace and seek personal development and work-life balance.

iBOSS Comment:

An interesting change in attitude, brought about maybe by the recent lack in business confidence expressed by many SME’s. For those employers, however, this could be an encouraging trend, particularly in view of the recent Government impositions of new employment laws.

Following the Budget, Industry leaders have raised concerns that a reduction in property tax relief will lead to store closures. This, when added to the other measures announced that are detrimental to small businesses, at least in the short term, will undoubtedly cause job losses. This is particularly so in the small retail, hospitality, and leisure sectors.

Rachel Reeves announced plans to cut the current 75% discount on business rates to 40%. This will affect over 250,000 high street premises in England.

The Chair of the Shopkeepers’ Campaign, stated: “This will leave many facing unmanageable bills and difficult decisions about their future.” The changes are expected to result in an average 140% increase in business rates bills, amounting to £688m. Kate Nicholls of UK Hospitality warned that the reduced relief, combined with rising costs, will make 2025 a challenging year for the sector. Helen Dickinson, chief executive of the British Retail Consortium, commented on the fact that retailers are already paying more than 21% of all business rates in the economy. With that in mind the solution is not to simply shift the burden around. Better to look outside retail to address the disproportionate impact of business rates on the industry”.

iBOSS Comment:

Yet another burden imposed on small businesses by a Government that does not comprehend the need to encourage them to grow rather than tax them to death. And that in order to pump funds into the non-revenue-earning sectors of the economy (even though those sectors do need support)! The net result will be that many SME owners/managers are going to be faced with the possibility of having to sell or even close down the business.

If you find yourself in that position, before making any decisions call us at iBOSS on 01327 349779 or complete the enquiry form on our web site www.theiboss.co.uk and request a freeconsultations on what options may be available to you.

#propertytaxrelief #businessratesincrease #smallbusinessratesincrease

It is being reported that fewer businesses are being established in the UK. There has been a 3.7% decline in new firms established during the third quarter of 2024. This is compared to the same period in 2023 according to the Office for National Statistics. The downturn affected 13 out of 16 main industrial sectors. The most significant reductions observed were in the construction, transport, and storage industries.

iBOSS Comment:

This is a serious cause for concern, particularly for anyone wanting to see our economy grow. A further concern is the effects the budget due later this week will have on the willingness to invest in startup businesses.

If you are considering investing in &/or setting up a business, but have some doubts, then call us at iBOSS. We offer a Free 1 Hr consultation on the options that may be available to you. We can help with advice on organisation and funding. Simply phone 01327 349779 or complete the enquiry form on our web site www.theiboss.co.uk .

#newbusiness  #adviceonstartups  #startupfinance  #openingabusiness #buyingabusiness

According to a recent report by Make UK and BDO, three in five manufacturers are optimistic about improved  economic growth in 2024. This is  despite some recent negative vibes. Interestingly, only 6% of the 300+ surveyed companies expect a decline. As a result, Make UK has revised its growth forecast for 2025 from 0.8% to 1.8%. A senior economist at Make UK, stated:  “Despite output turning negative in the short-term and recruitment dipping, investment remains positive and business confidence continues to climb.” Richard Austin, the head of manufacturing at BDO, commented that “With a new Government in place with a substantial majority, Manufacturers are hoping for a period of greater political stability. This should provide a better economic outlook ahead. That in turn is boosting business confidence.”

iBOSS Comment:

If, based on this small sample, the report is accurate, it would indicate that now is the time to consider investing in one’s business. The target of that investment i.e. assets, marketing etc. will vary according to the state of the business and the market it’s in. At iBOSS we are regularly involved in helping SMEs to identify the objective(s) and size of their future investment. We also help in identifying the optimum source of any additional finance needed. So, if you want to grow your business but need some help in deciding upon the best way to do this, then call us on 01327 349779 or complete our enquiry form for a free, no strings consultation.

#planningforgrowth  #investmentfinance #growmybusiness  #assetfinance

The Court of Appeal has upheld a significant ruling regarding insurance claims for business losses linked to the COVID-19 pandemic. Court has ruled in favour of businesses. The decision rejected appeals from insurance firms against a June 2023 High Court ruling. This could enable thousands of businesses to seek compensation. The case in question involved a £16m claim from London’s ExCel centre. Lawyers claimed that the ruling would allow many businesses previously denied coverage to pursue significant claims. The result is that thousands of businesses affected by the Covid lockdowns who have not yet had a payout from their insurers, may now be able to pursue a claim. Many policyholders previously denied cover may in fact have significant payments available to them under their insurance policies.”  

iBOSS Comment:

Potentially good news for many SME’s. Certainly worth a call to your Lawyers if you believe you may have a case!

Concern expressed as High Street shop closures climb. This is according to The Mirror which reports a surge in retail closures. Speculation is that pressure on high street stores has been exacerbated by a significant shift towards online shopping. This and the ongoing cost-of-living crisis has left consumers with less disposable income. According to PwC, 14,081 shops from chains exited UK high streets in 2023, averaging 39 closures daily. Undoubtedly a matter of concern.

More encouraging news, however, is that, in August, the number of shoppers increased compared to July. This was reportedly driven by warmer weather and summer discounts, and is despite earlier riots affecting high street traffic. The British Retail Consortium reported a 0.4% year-on-year drop in customer volumes, a significant improvement from July’s 3.3% decline.

iBOSS Comment:

This supports concerns expressed recently by organisations such as the FSB over High Street shop closures climbing. For more information on the FSB view follow this link. There is mounting pressure for more to be done to revitalise High Streets around the country. There is little doubt that the traditional High Street, full of well-known brands and a variety of useful stores, is a thing of the past. The resultant mixture, that many have, of charity shops, hairdressing salons and cafés is not the real solution to breathing life back into our High Streets. What is needed is a range of outlets with an attractive, wider selection of goods/services that local people need. This alone however will not be enough without the support of local councils providing more attractive parking facilities and sensible business rates etc.

If you have an idea for a business that would fit into your local High Street, but need help in planning how to set it up, then call the experts at iBOSS on 01327 349779 or complete the enquiry form on our web site www.theiboss.co.uk and request a free consultation.

#Highstreetshops #Highstreetbusiness #settinguparetailbusiness

Activity in the UK’s private sector has grown to reach a four-month high in August. This was driven by a “robust upturn” in new business. This is according to the purchasing managers’ index (PMI). This recorded a level of 53.4, up from 52.8 in July. The chief business economist at S&P Global Market Intelligence commented that “August is witnessing a welcome combination of stronger economic growth, improved job creation and lower inflation.” The easing of inflationary pressures, particularly in the services sector, contributed to this growth. The rate of employment growth was the fastest since June 2023. Despite expectations of a slowdown in GDP growth for the third quarter, the PMI suggests a solid quarterly expansion rate of around 0.3%.

BFS Comment:

More encouraging news for the SME’s. With the growth of the UK economy starting to out-perform many other countries now is the time to consider options for growth of your own business. If you need help and advice on the best options to achieve that growth, then call iBOSS on 01237 349 779 or e-mail to info@theiboss.co.uk and ask for a free consultation.

Recent research suggests that young entrepreneurs are skipping higher education in favour of starting their own businesses. A poll of digital micro businesses by GoDaddy’s research initiative Venture Forward shows that 22% of entrepreneurs under 30 started their business after their A-levels instead of pursuing a university degree. Andrew Gradon, head of GoDaddy UK & Ireland, said the research “indicates entrepreneurship is becoming an increasingly attractive alternative to higher education.”

iBOSS Comment:

If you have the ambition and the right idea at an early stage then it can make sense. Talking to experienced advisors such as the Team at iBOSS can save making a lot of mistakes. So, if this is what you are thinking of doing then give us a call on 07876 503830 for a free consultation. We can also help with arranging finance in many cases.

#startinginbusiness #startupadvice #startingmybusiness

It is reported by the Telegraph that the UK manufacturing sector has experienced its fastest production growth since February 2022. The Purchasing Managers’ Index (PMI) registered 52.1 in July, up from 50.9 in June. A reading above 50 indicates growth in the sector. Companies credited the growth to higher demand from new product launches, efforts to clear backlogs of work, and improved intakes of new business. Output, new orders, and employment were all up, with the first increase in workforce levels since September 2022. However, inflationary pressures remain a concern, with input costs rising and selling prices increasing. Dave Atkinson, UK head of manufacturing at Lloyds Bank, said the growth will provide a boost to the sector and may encourage businesses to reconsider investment plans. 

iBOSS Comment:

More good news (especially when a bank manager sounds positive!!). If you are struggling to raise finance to grow your business, or you need some help and advice, then call us on 01327 349 779 or complete the enquiry form on our web site to ask for a free, ‘no-strings’ consultation on the options available to your business.

#Financeformanufacturing #businessadvice #manufacturingadvice