intelligent

FINANCE | SALES & MARKETING

| CUSTOMER EXPERIENCE | HR SOLUTIONS

With around nine in 10 small businesses ( 89 %) saying that they still feel the pressures from the cost of living crisis , there is an emphasis on increasing business income and sales this year across all sectors . Small businesses in the media and marketing sector were the most likely to say they are looking at new ways to improve their income and sales ( 52 %), followed by small businesses in retail ( 42 %) and IT and telecoms ( 40 %).

Nationally , the top five initiatives small business owners are focusing on to secure growth include :

• Increasing new business income / sales – 33 %

• Reducing fixed costs – 20 %

• Diversifying the business , offering new service lines / products – 18 %

• Planning ahead with business budgeting – 18 %

• Building up financial reserves – 17 %

Across the UK , small businesses in the North East of England are the most likely to be prioritising particular strategies to strengthen their enterprise ( 89 %), followed by small businesses in London ( 86 %) and the South East ( 84 %).

Small businesses in manufacturing and construction looking ahead this year , with one in five ( 21 %) planning to diversify by offering new service lines or products to their consumers . A further 14 % are planning to expand into new geographical markets .

Similarly , more than three in four small businesses ( 76 %) in the construction sector are looking to grow this year , one in five ( 20 %) are planning ahead by focusing on their business budgeting and 18 % are building up their financial reserves .

Employee recruitment

When it comes to making hiring decisions to bolster business growth , small businesses with 10 – 49 employees

SMALL

BUSINESSES IN THE MEDIA AND MARKETING SECTOR WERE THE MOST LIKELY TO SAY THEY ARE LOOKING AT NEW WAYS TO IMPROVE THEIR INCOME AND SALES . were twice as likely than the average small business to hire young people this year ( 16 % versus 8 %).

Across the different sectors , small businesses in finance and accounting were the most likely ( 18 %) to hire young people – in contrast , medical and health services prioritised making senior hires who have specialist skills and experience ( 13 %).

Rather than recruiting new employees , one in four ( 25 %) hospitality and leisure businesses and over a fifth ( 23 %) of manufacturing businesses are spending time investing in the people who already work at the company in the year ahead .

Jo Morris , Head of Insight at Novuna Business Finance , said : “ Following the pressures of the festive period , it is positive that such a large proportion of small businesses are focusing on new growth initiatives as we start a new year . Whether growing , restructuring or consolidating , every business needs a plan and Novuna Business Finance will be there to support established enterprises that are working on strategies to adapt , grow and fulfil their potential despite the enormously challenging context .” �

More than eight in 10 ( 83 %) small businesses in the manufacturing sector are looking to strengthen their enterprise