An inaugural small business survey released by Yoco – a fintech startup listed state economy and lack of cash flow as some of the most common challenges faced by small businesses.
The Small Business Pulse survey ran in August 2018, with 3 621 responses from small business in Yoco’s database of over 28 000 merchants, suggests that small business operators remain positive about the potential for their businesses to grow and become more profitable, as well as their ability to employ more staff.
On a scale from –100 to 100, with 0 being completely neutral, the overall Pulse score for small businesses sits at 32, indicating a level of optimism.
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Despite the confidence regarding their own prospects, small business owners do echo some concerns held by larger businesses regarding South Africa’s general business environment.
The main aim of the survey is to provide small businesses with insights into their environment, thereby empowering them for growth.
These nine common challenges faced by small businesses:
- State of economy
- Cash flow
- Political uncertainty
- Currency fluctuations
- Competition form big business
- Poor sales
- Access to finance