The main concerns business owners had around supply and logistics were found to be:
- 21% of business owners stated finding new suppliers and contacts is difficult in 2023
- 1 in 5 (20%) are worried about potential changes to rules on imports and exports
- 19% find it difficult to balance quality product or services with costs, including those of logistics
- 10% stated “my current suppliers and network would struggle to meet demand if my company grew rapidly in 2023”
When asked about their businesses success in the next 12 months:
- Almost 1 in 4 (23%) stated that good transport links are key to their businesses success
- 21% of the business owners stated that their business will rely on the import of goods in the next year and 16% said they would rely on exports.
- Almost 1 in 6 (14%) said they plan to use more local suppliers in the next year for environmental purposes
In response to the data, Jodie Wilkinson, Head of Strategic Partnerships at takepayments, says:
“Small businesses in the UK have had a host of challenges to deal with in the past few years, especially when it comes to supply and logistics. Record inflation rates, decrease in consumer spending, an energy crisis, labour shortages and environmental concerns are just the tip of the iceberg and have caused multiple upsets to supply chain management. Although larger companies might be able to shoulder the extra costs, 9% of SMEs have ceased trading internationally since 2018.
“One challenge for small businesses is the ability to forge overseas relationships and start internationally trading to expand their business. Although there are over 5 million SMEs in the UK, only 10% trade overseas. The government has recognised these challenges and the IOE&IT’s new Export Support Package is designed to help small businesses accelerate their journey towards global trading. The package will involve businesses pairing up with industry experts for a bespoke training programme based on their specific needs and concerns.”
“At takepayments we understand just how quickly the world of business can evolve. Although multiple challenges were highlighted by the study, it was encouraging to see that over a third (35%) of business owners stated “my business can quickly adapt to change”. It seems that many SMEs have worked to implement the business continuity plans needed in this volatile environment. With the current focus on environmental concerns in the UK it’s also positive to highlight that a portion of the business owners plan to make a conscious effort to use local suppliers moving forward. Small businesses account for a huge 99.5% of businesses in every main sector in the UK so business owners choosing green business practices could make a real difference.”
