LONDON, September 21, 2017 /PRNewswire/ --
Just under three quarters (71%) of small business owners say that investing in their company is the key to long term success according to research from American Express. However, concerns about cash flow (30%) to help fund future growth are considered to be the biggest challenge currently facing small businesses, ahead of forecasting the impact of external factors such as Brexit (21%) and prioritising the multiple needs of their business (14%).
Video: http://mma.prnewswire.com/media/558815/AMEX_Compilation.mp4
With small businesses owners ranking branding and marketing (25%), new hires (19%) and specialist equipment (15%) as the most important areas of investment, American Express asked five small business owners to share their stories of the best money they ever spent to help secure future success.
Smarter: A pioneer in the Internet of Things, Smarter launched the
world's first wi-fi kettle in 2013.
Money well spent: A £100 prototype
Starting Smarter with a vision for an affordable connected home,
Christian Lane invested £100 in creating a working prototype
iKettle. A £1 million contract followed that enabled the
business not only to go into production, but grow and diversify
with fridge cams and a wi-fi coffee maker now in its connected
home offer.
Uniform2Go Bridgend based manufacturer and wholesaler of school uniforms
Money well spent: Branding
As a start-up competing for business with established uniform
suppliers, Emma Rees invested early in creating a strong brand
identify for Uniforms2Go. Leveraging the identity online, in
marketing and in-store, Emma credits the branding as helping
establish Uniforms2 Go as a credible business that now supplies
The Prince's Trust and more than 250 schools in the UK as well as
some overseas.
Server Density SaaS (Software as a Service) business providing server and website
monitoring to customers all over the world
Money well spent: Technology and Services:
Founded by David Mytton in 2009, Server Density was borne out of a
business problem David encountered while running another business.
The software solution that was needed didn't exist, so David and a
friend, Harry Wincup created it. Continuously checking websites
and systems globally to see if they are online and how quickly
their pages are loading, the software triggers alerts to the team
whenever there is a delay or an error. David describes the
ongoing investment in essential technology required to run Server
Density effectively 24/7 as the best money spent on the business.
Each Peach Childcare and education service for babies through to five year
Childcare olds
Money well spent: Recruitment agency fees
Founder Kate Peach is passionate about childcare and cites a
significant agency fee to find a new nursery manager in 2015 with
enabling her to both grow Each Peach and diversify her portfolio.
Kate has since created Peacharno a childcare training and
consultancy service and has ambitions to add five more nurseries
to the Each Peach brand.
Catalyst 2 Web hosting company managing around 20,000 domains including those
of international brands and charities
Money well spent: Office environment
Paul Redpath set up his first business at the age of 15 alongside
studying and by the time he graduated, Catalyst 2 was up and
running. Paul believes his best investment was his first member
of staff as well as the expense of the office space and equipment
needed to facilitate his first new joiner. He says the impact on
the business and his own work life balance was immediate.
42% of small business owners said lack of readily available cash is preventing them from spending money on their business and nearly three quarters (73%) agreed that they are more likely to invest if they have good cash flow.
Karen Penney, Head of Small Business Services at American Express said: "What these inspiring case studies highlight is that while investment can be critical to small business success there's no one size fits all approach. As the definition of success is personal to every small business so is the journey to making the right investment at the right time. For those planning investments large or small, one of the benefits we offer on our Business cards is extended payment terms and flexible spending limits to help businesses address the challenges of cash flow management."
The five businesses each describe their personal story here http://www.americanexpress.com/uk/moneywellspent
About American Express Small Business cards
American Express small business Cards are designed to help small business owners manage finances, improve cash flow and stay in control of everyday expenses, while earning rewards at the same time. The Cards offer up to 54 days of deferred payment on purchases and Small business Cardmembers earn one Membership Rewards point for virtually every full £1 spent on the Card. These Membership Reward points can be used for a statement credit or redeemed and spent on hotel bookings, gifts and experiences and to offset everyday expenses.
Visit http://www.americanexpress.co.uk/goldbusinesscard
Survey results from UK study of 1,000 Small Business Owners in the UK, conducted by OnePoll in May 2017.
About American Express
American Express is a global services company, providing customers with access to products, insights and experiences that enrich lives and build business success. Learn more at americanexpress.com and connect with us on facebook.com/americanexpress, instagram.com/americanexpress, linkedin.com/company/american-express, twitter.com/americanexpress, and youtube.com/americanexpress.
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