A third of business owners blame disruption from coronavirus for the biggest challenge their firms have ever faced.
Asto, part of the Santander group has published its Cash Flow Revolution report in partnership with business guru Alex Holder. It revealed few bosses feel in control of their money with nearly 70 per cent of young business owners struggling with cash flow.
The UK’s smallest businesses have been hit hardest by Covid-19 as work streams and cash flow become biggest headaches
The report also reveals that many small businesses are struggling to find the right information to manage the financial side of their business, with more than half finding it confusing.
It revealed 31 per cent of small firms have resorted to business loans or falling back on credit cards, with 48 per cent using personal funds to ease financial pressure on their business.
One in ten have had to resort to borrowing money from friends and family in order to keep their businesses afloat.
Nicolette Maury, Asto UK chief executive, said: “Business owners, freelancers and sole traders are the backbone of British industry, and they need help now more than ever.
"This report highlights a real gap in support for those who need it the most. We hope these money mindsets can help business owners make informed choices about their finances as they face significant disruption and challenges in an uncertain economic climate.
"At Asto, we’ve always known that different people need different support, which is why we maintain a flexible approach to our products.
"This report has highlighted exactly how vast these differences can be, and it’s fascinating to see the different Money Mindsets brought to life through the brilliant contributor businesses we’ve worked with.”
