Over two-thirds of the UK’s small businesses are worried about trading conditions at the end of 2011, as businesses are forced to work harder and harder to break even at Christmas.
The study, conducted jointly by American Express and Cosco, showed that, despite the usual boost to spending the festive season provides, small businesses are struggling to make money when rising costs, such as the price of raw materials, energy and transport are taken into account.
Many businesses are feeling pressured to discount heavily to draw in trade, when in fact, other profitable methods, such as encouraging customers to buy more by bundling goods or services, could prove more effective.
Over 50% of small business owners surveyed also revealed they have been struggling to pay for stock up-front, as year-on-year increases in stock prices hits hard.
Although businesses may feel external finance solutions to help pay for stock up-front are inaccessible and not worthwhile seeking out, there are specific solutions designed to cater for this need.
Invoice finance for increased cashflow
Invoice finance solutions, which include invoice factoring and invoice discounting facilities, are designed to unlock cash tied up in unpaid invoices.
This helps increase your cashflow, enabling you to reap the benefits of having more money to buy more stock and receive early payment discounts.
Invoice Finance needn't be complicated. We can set up a Invoice Factoring or Invoice Discounting facility within days!