The sacrifices of running a small business in Australia
A new YouGov study of small businesses in Australia has found the lengths that small businesses owners go to make a success of their ventures. The research, commissioned by Australia’s number one online lender to small business, Prospa, shows that more than half (54%) of small business owners spend 6-7 days a week on their business, with one in four (28%) working 7 days a week.
Even when not at work, small business owners continue to be engrossed, with almost three-quarters (73%) agreeing that concerns around their business prevent them from relaxing during the holiday period.
Overall, nine in ten small business owners feel distracted by work in other areas of their life. Nearly two thirds say that it also affects their sleep. In addition to restless nights, four in five (79%) business owners feel that at least occasionally they miss out on quality time with their family, with 28% saying they miss out frequently.
According to the survey, the most common situations in which people are distracted by work are:
- While trying to sleep (68%)
- While spending time with their family (60%)
- While on a holiday (58%)
- While watching TV or movies (54%)
- While driving (39%)
The report has found that it is small business owners 18-49 years that feel the pressure more than their older counterparts. Younger small business owners between 18-49 years are more than twice as likely (39%) as those 50 years and over (16%) to strongly agree that concerns around their business prevent them from relaxing during the holidays. Their dating lives are also impacted, with one in four under 50 saying that they have been distracted by work when on a date.
However, regardless of age, eight in ten (78%) small business owners say that at least some of their business worries are related to cash flow. Two-thirds (65%) of small business owners feel stressed during the holiday period because of cash flow problems in their business.
Furthermore, the more business owners worry about cash flow, the more likely they are to think about their business 24/7. The incidence of cash flow related worries also corresponds to small business owners feeling that they more frequently miss out on quality family time.
Commenting on the findings, Prospa joint-CEO Beau Bertoli said:
“I’ve been a small business owner and I’ve lived this. Concerns about cashflow during the holiday period can create a great deal of stress and distracts from spending quality time with family and friends.
“Small business owners make big sacrifices to build a better future for their families. Managing a small business takes its toll, and it can be difficult to switch off. We know this and offer solutions like simple access to finance and no repayments until the new year, so small business owners can actually get a break.”
As a result of these findings and to help alleviate some of the stress during the holiday period, Prospa is offering business loans with no repayments due until 6 Jan to give small business owners the chance to properly switch off, even if it’s only for a few days, knowing that cash flow won’t be a problem.
- Prospa has originated over $750 million in loans to date Prospa has over 15,000 unique small business customers
- These customers have a strong track record of repeatability (approximately 69% of eligible customers take a repeat loan)
- Prospa’s distribution channel includes 7,000+ partner firms
- Prospa is an AON Hewitt Employer of Choice in 2017 and 2018
- Prospa’s Net Promoter Score is +77
Prospa recently achieved a clean sweep of the MFAA Excellence awards for Fintech Lender of the Year, winning the award in all five states in Australia.