Recession hits ‘personal lives of SME owners’

MORE than half of small and medium enterprise (SME) owners say their personal lives are suffering due to the recession, according to new statistics.

The latest Close Business Barometer found that a staggering 59% of SME owner-managers in Ireland say the state of the economy is taking its toll on their personal life.

Over 47% of those who say their personal life is suffering are stressed, while a third say their work-life balance has deteriorated.

The survey canvassed the views of SME owners across Ireland on a range of financial issues. Of business owners surveyed, 86% said they believe this recession still shows no sign of abating, with a further 41% saying that their trading conditions have worsened over the last 12 months.

When asked about their main concerns for the coming year, more than a quarter of respondents cited market volatility, and a further 18% said they are most worried about the possibility of a double-dip recession.

Problems such as bad debt, struggling cash-flow and late payments account for 35% of business owners’ main concerns for the coming year.

Harry Parkinson, managing director of Close Brothers Commercial Finance in Ireland, said: “Looking at the statistics, it’s not really surprising that all this fear and uncertainty is having a negative effect on bosses’ private lives, knocking their work-life balance off kilter and affecting their health.

“My advice is this: don’t put all your eggs in one basket when it comes to your cash flow,” said Mr Parkinson.

“Forward-thinking companies are now using a blend of traditional bank lending, asset-based lending and leasing to meet their funding needs,” he said.