Industry publication startups.co.uk has asked its audience what is the biggest challenge their business is facing in 2018.
Between dealing with investors, managing cashflow, and developing an effective market strategy, attracting new customers is the number one issue, according to a third (34 per cent) of small businesses.
This was followed up by access to finance, cited by three in 10 (29 per cent) participants.
“Despite how crucial these two areas are to the success of a business, the findings highlight how difficult it can be for you and your peers to get investors and customers to fall in love with your business,” said the report.
Around half of business owners said they have found, or are finding it difficult, to secure funding – with just four per cent saying it was “easy”.
Those who have struggled say it took on average two to four attempts to successfully raise investment, while 29 per cent said they spent “months” preparing to get their pitch “investment-ready”.
And 40 per cent of startups say they have not yet secured any funding at all.
The findings “highlight the need for support and advice for small businesses that are struggling with marketing and funding”, added the report.
Startups.co.uk also found:
- 35 per cent of startups found it intimidating to pitch to investors
- 58 per cent of startups spend less than 10 per cent of monthly revenue on marketing
- One in five startups have not used social media to grow their business
So now we’re asking: what are your biggest obstacles to business success in 2018?