According to the latest research, managing travel costs and business expenses are the two biggest headaches for businesses in the UK.
The research by Allstar Business Solutions looked into the concerns of 1,000 small and medium-sized enterprises (SMEs).
They found that employers are facing greater pressure regarding handling business expenses, with the strain having a negative effect on the business.
Business owners are spending an excessive number of hours managing expenses per week, which is time that could be better spent on important business activities or even improving their work/life balance.
More than a fifth (21%) of owners claim that balancing expenses and cash flow kept them up at night and a quarter (24%) felt that managing workplace expenses and payments left them ‘pulling their hair out’ through stress.
On average small businesses spend around £4,000 per month on travel-related expenses alone and are averaging over £5,500 per month on other types of expenses.
These business expenses are being found to cause major headaches for SMEs who have to deal with issues such as excessive spending on fuel and hotels, as well as lost receipts and a lack of understanding regarding the finance policy.
The research found that it wasn’t just employers affected by stress related to expenses. Half (50%) of responding businesses felt they were left out of pocket every month by having to use their own money upfront for expenses.
The strain of handling expenses, and waiting for reimbursement, has been to found to have a significant negative impact on business productivity.
The various different classifications for expenses and the process required to reclaim money spent can be particularly onerous, so why not find out how we can help you.