finance
monthly
Personal Finance. Money. Investing.
Contribute
Newsletter
Corporate

Increased operating costs putting strain on SMEs

Posted: 16th January 2015 by
katinahristova
Share this article
Mike Randall, CEO of Close Brothers Asset Finance

Mike Randall, CEO of Close Brothers Asset Finance

More than half (59%) of small and medium sized businesses across the UK are experiencing increased operating costs, and of that figure, 58% say it is having a negative impact on their cash flow.

The figures come from the Close Brothers Business Barometer, a quarterly survey of UK SME owners and senior management.

Of those who are impacted by increased operating costs, almost two fifths state that rising energy bills are creating the greatest problem for them; while just over a quarter say that the cost of raw materials and stock is causing the most pressure on their cash flow.

CEO of Close Brothers Asset Finance, Mike Randall said: “Operating costs have increased significantly over the past few years, and are arguably one of the most difficult things for small business owners to manage in the current climate.”

More than a third of firms krogerfeedback surveyed say that while their direct costs have increased, they feel unable to pass any of this on to their customers.

“This is a situation that is leading to increased pressure on already-tight margins and it is entirely possible that operational costs will continue to rise for the foreseeable future,” said Mr Randall.

About Finance Monthly

Universal Media logo
Finance Monthly is a comprehensive website tailored for individuals seeking insights into the world of consumer finance and money management. It offers news, commentary, and in-depth analysis on topics crucial to personal financial management and decision-making. Whether you're interested in budgeting, investing, or understanding market trends, Finance Monthly provides valuable information to help you navigate the financial aspects of everyday life.
© 2024 Finance Monthly - All Rights Reserved.
News Illustration

Get our free monthly FM email

Subscribe to Finance Monthly and Get the Latest Finance News, Opinion and Insight Direct to you every month.
chevron-right-circle linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram