80% of small business leaders struggling to find time for business management

Troubles accessing the right talent prevent owners from focusing on their business

strategy

Only one in five business leaders are spending enough time working on their business, according to our latest Enterprise Index. However, we think that individuals looking to scale their business should aim to devote a minimum of a day a week to actually working on their business strategy and actively managing their business.

Business strategy encompasses a wide range of matters from a traditional business plan to managing staff and suppliers or seeking new opportunities as well as identifying potential pitfalls.

However, we regularly talk to entrepreneurs who have excelled within their area of expertise but can struggle to adapt to the leadership and management demands of running a business.  If we want our smaller businesses to scale-up, more needs to be done to help those involved.

Assisting scale-ups 

Government funding

Theresa May recently broadcast the government’s Green Paper on Building our Industrial Strategy.  The paper announced the development of Local Enterprise Partnerships and the implementation of a scale-up champion to lead a private and public sector task force.  This follows greater investment within the Business Growth Fund and the British Business Bank.

The business community is beginning to see this as great progress, these organisations provide not only funding but also valuable advice on how to grow businesses.  Many of our respondents had become increasingly concerned with the low level of backing they had from government. Under half (49%) believed that enough was being done to help them and, perhaps, we’re beginning to see Theresa May take notice.

Talent troubles

Our Enterprise Index, a quarterly barometer of owner managers and entrepreneurs, found that belief in the ability of the employment pool to deliver the required skills reached a two year low. Only 40% of respondents to our survey thought that there were enough adequately trained individuals to fulfil their business needs. This was despite the fact that over half (54%) of respondents aimed to increase their own headcount over the next three months.

Enterprise Index Q4 2016: Summary of full survey results

Most people have grown their business because they are very good at what they do. To continue to scale they will need to attract talent for the day-to-day running of the business as well as specialist skills and expertise, where appropriate. What our respondents are finding is that there simply aren’t enough trained people in the employment pool to provide the right kind of skills to grow.

Not since the start of 2015 has there been such negativity surrounding the ability of the talent pool amongst SMEs and entrepreneurs. If there aren’t the right skills available, businesses looking to scale should consider whether there is potential in cross-skilling existing employees.

Contact us

John Morris profile image
John Morris

Scale-up Lead, Partner London +44 (0)20 7131 4450

Related content

Chicken
Article

Heading for the exit?

Rumours hit last week that Nando’s was going to spice up the capital markets with a listing, potentially enabling a full or partial exit for the South African Enthoven family who have presided over a period of phenomenal expansion for the restaurant chain. 

Scale up

Scaling up your business

Advice on scaling-up your business, suited to each stage of your business journey.

Smith & Williamson websites use cookies. Find out about cookies here. By continuing to browse this site you are agreeing to our use of cookies.