PRESS RELEASE:
Survey Reveals Three Major Business Challenges for New Zealand Businesses
New research shows that the three biggest challenges facing mid-market and small to medium businesses (SMEs) are the economy, cashflow and, tied for third place, reduced sales and attracting and retaining talented staff.
The results, released today, are from a business survey carried out by national Chartered Accounting Firm BDO Spicers as part of a project to support New Zealand businesses in the current economic climate.
BDO Spicers’ National Chair Judith Stanway says the survey demonstrates the extent to which the mid-market – those small and medium enterprises that are "the heart" of the NZ economy – are concerned about the impact of the recession on their business.
“What’s most surprising is that the skill shortage is still rating highly, despite the current economic conditions. This demonstrates a fundamental mismatch in our labour market.
“The recession provides an opportunity for this to be addressed. Now is the time, while people are underemployed, to invest in training to lift skills.”
Ms Stanway represented the sector at the recent Job Summit. The research findings will be fed into her work post-Summit, as BDO Spicers engages with Government and other businesses to develop solutions to the issues identified in the research.
A selection of 400 businesses employing between 5 and 50 staff across New Zealand were surveyed last week. When asked what the
three biggest challenges facing their business at the current time were, the response was:
1 Economy 37%
2 Cash flow 36%
3= Reduced sales 28%
3= Attracting and retaining talented staff 28%
4 Red tape 14%
5 Staff costs 13%
6 Access to capital 11%
7 Higher input costs11%
8 Currency fluctuations 10%
ENDS
For more information contact:
Judith Stanway
National Chairperson
BDO Spicers
Phone 07 347 9087 / 021 778 393
Or Dan Ormond
Ideas Shop
Phone 027 251 9849
Notes to Editors
BDO Spicers is a national network of Chartered Accounting Firms with 12 Independent Member Firms from Kerikeri to Invercargill. It has 65 Partners and over 650 staff providing accounting and advisory services to more than 10,000 Mid-Market and SME New Zealand businesses.