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BAB-36 August 2005 Analysis
The August survey put a series of questions posed by the Small Business Service, which offer the opportunity to examine more closely themes touched upon in the quarterly trends questions. Also included are questions on the subject of IT and on the recent increase in oil prices.
In total 269 Advisers responded to this Survey.
Survey Findings
Asked whether the number of businesses seeking advice has changed over the past year, 57% of UKBAB respondents said there have been increases by more than 5%. While 29% said that numbers were about the same, 14% said that numbers were down by more than 5%.
Choosing from a list of possible reasons, those who had experienced increases were asked which factors best explains the increases. Respondents were asked to select all that apply, and the average number of selections per respondent was 1.6 after excluding 'not applicable'. Marketing emerged as the biggest factor with 21% of responses, but the second largest factor, with 19% of total responses, was that more businesses need advice to help them survive.
A set of five questions were then asked at a more detailed level, about changes in the type of advice sought in the last year.
35% of respondents thought there have there been increases in the number of people seeking advice at a pre-start phase, although 55% thought the numbers were broadly unchanged.
On accessing finance, 42% of respondents thought that there increases in the number of businesses seeking advice.
A higher number have experienced increases in the number of businesses seeking advice on regulations, 53% with 42% broadly unchanged.
A large number of respondents, 41% observed increases in those seeking advice about growth or expansion.
The final question in the series investigated whether there has been a change in the number of businesses seeking advice on selling or transferring the business. 32% of respondents thought there have there been increases, although 63% thought the numbers were broadly unchanged.
Advisers were asked whether there have been changes in the number of businesses struggling to survive. 56% found this has increased, including 12% significantly, while 37% say it was broadly unchanged.
Changes in the way Business Advisers operate were investigated within a single question. Multiple answers were expected, and the Survey finding was that
" 19% of respondents' organisations recruited more business advisers
" 39% remained a one-person operation
" 42% of respondents found that they and other business advisers in their organisation tended to work more hours in the last twelve months
" 7% joined with another business adviser either by merger or takeover
" 23% have used a new IT system or working process that allows more work to be done.
" 9% of organisations cut the number of business advisers
There were a total of 372 responses to this question, with an average of 1.4 selections per respondent.
88% of respondents to the UKBAB expect to upgrade their computer hardware more frequently than four-yearly. The same question was asked in the August Business Barometer Survey of smaller businesses, the UKBB, and the corresponding figure was 84%.
Most respondents to the two surveys find modern technology is generally more user friendly than five years ago. 79% of UKBAB respondents and 73% of UKBB respondents said 'more' or 'significantly more' in response to this question.
One quarter of UKBAB respondents expect the recent oil price rise to have a significant impact upon their clients' businesses, and a further 66% are expecting some impact. This is reasonably close to the expectations of UKBB respondents, who were asked to what extent the oil price increase would have on their own businesses. 24% of the businesses responding believed that the impact would be significant and a further 60% foresaw some impact.
Listed below are extracts from feedback into the August 2005 Survey BAB36
Views expressed are those of individual panellists and may not represent those
of the University.
Fuel prices are causing considerable concern and especially the level of tax taken by government which ensures fuel prices remain unreasonably high when compared to either some European countries or America.
I have not taken on additional advisers but do now have part time admin help.
In the last 2 months getting clients prepared to pay my full rates has proved more difficult. in London I know other bus support orgs have had cutbacks in contracts from JC+ and BL and have shed staff.
Because we specialise in Business Start-up programmes we have seen an upturn in people coming on the courses because of increases in redundancies.
The change in the number of advisors is the most significant factor in the change in the number of companies seeking advice
Useful survey . Sensible questions. The economic picture for sme's remains mixed. Some good things ,some bad!!
I think the survey can provide useful information. The main issue at the moment with clients is that they say and feel that they are working harder to get by!
I have required to put in a response to Q9 to allow me to complete the survey - there should have been a 'no change' answer
Increased unworkable legislation means small business are spending a great deal more time on administration (including us)the only answer will be to move jobs abroad where European legislation is unenforceable soon we will not have a service sector either.
More client businesses are asking the question "Is everyone struggling as much as I am?"
Although oil prices are kicking in the full affect will come in two months time when it becomes the norm and price increases start to take full affect on costs.
This will adversely affect businesses in ways which they have not been aware of
A very useful resource which would benefit all users, excellent.
