More than one in ten entrepreneurs did not seek out any formal advice when setting up their new business, research has found.
According to a new study by Microsoft, more than half a million small businesses felt confident enough to take no formal advice when starting up and are now struggling to find the time or cash for training.
Only 10% of the companies surveyed had taken advice from business support groups , but the research found that family and friends were more trusted sources. Over a quarter of start-ups used friends’ advice, 20% used the internet, and 18% used books.
Companies in the North East, West Midlands and South East regions were most likely to have taken advice from local lectures, talks and workshops. London start-ups were the least likely to draw on the available business resources, according to the study.
“Its concerning that when small businesses contribute more than £1 trillion to the UK economy so few of them would prioritise getting advice on running their business, from professional sources,” said John Dunsmure, managing director of the British Chambers of Commerce.
“When considering that getting support and training for their own employees and ensuring they are performing to their best abilities, could mean the difference between a company remaining competitive and going out of business, this is particularly concerning.”
© Crimson Business Ltd. 2007
