UK SMEs are most concerned about the costs and red tape involved in setting up a business, according to new research.
A study from Opus Energy found 40 per cent of small business owners struggle with the costs, while 37 per cent are daunted with the amount of paperwork and legislation involved in going it alone. Other concerns included knowing where to seek advice and finding the ideal workspace.
There were also regional differences in the issues facing the self-employed, with those in Northern Ireland the most concerned about the financial side of creating a new business. Those in the West Midlands were more confident about potential costs.
Nikki Flanders, chief operating officer at Opus Energy, said: “As rewarding as it is to run and grow a business, in the early stages, getting your idea off the ground can feel like an incredibly daunting prospect.
“Cost, administration and simply getting a foot in the door can present significant challenges. One of the best ways to ease this process is to consider starting your business in a cluster, where SMEs can benefit from favourable business rates, strong local talent and proximity to potential clients and suppliers.”