They are also more likely than the UK average to stay awake due to anxiety about the impact of Brexit on your business (19% compared to a UK average of 12%), on staff recruitment (15% compared to a UK average of 9%) and on the effects of unpredictable or extreme weather (15% compared to a UK average of 6%).
Chief among their concerns is market volatility, according to research by Novuna Business Finance.
The proportion of businesses concerned about this reached 44% in the first quarter of 2024, almost double what it was two years ago (26%), and far exceeded the UK average of 35% this quarter.
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Although the latest forecasts from the Office for Budget Responsibility (OBR) suggest inflation will fall below 2% in the coming months, the effects of rates peaking at 11.1% in the previous 18 months have continued to affect the prospects of small and medium-sized businesses. business owners.
The data showed that, along with overall economic volatility, the proportion of small business owners kept awake by worries about interest rates has peaked this year, rising from 24% last year to 32% this year. anus. Again, this figure is significantly higher than the UK average (21%).
Perhaps not surprisingly, given these circumstances, the proportion of companies struggling to manage their cash flow has increased in the last year from 15% to 23%, making it one of the top three concerns of this year.
Joanna Morris of Novuna Business Finance said: “Small business owners in Scotland might be slightly relieved by the recent stabilization of inflation rates, but needless to say the long shadow cast by previously high rates and market turmoil witnessed over the past 18 months has had a monumental effect on its prospects and operations.
“As the backbone of the economy, small business owners find themselves in a relentless battle against rising costs and unpredictable market conditions, making the task of forecasting and managing their long-term financial future nearly impossible.
“Leaders are crying out for a period of stability, predictability and, above all, certainty. However, with three-quarters of business leaders admitting they currently suffer sleepless nights, it is clear they are not finding this stability.”
He added: “This data serves as a crucial reminder of the resilience and adaptability required of small businesses to navigate these tumultuous times.”