New survey results: load shedding kills SME business confidence

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At least 34% of small businesses cannot afford the costs involved with installing a back-up power supply or alternative energy source.

With confidence in this regard showing signs of a steady increase, Morobe urges small business owners to renew their resolve to employ strategies that will boost the efficiency of their invoicing systems and promote a culture of prompt payment.SMEs must improve cash flow management

Morobe says that compared to the fourth quarter of last year, business owners have shown a more optimistic outlook heading into 2023’s end-of-year rush. “However, when compared to the same quarter in 2022, business confidence dropped by only 3 percentage points, with confidence that their business will grow in the next 12 months at 71%.”

The greatest dip was recorded in SMEs’ confidence that the South African economy will be conducive for business growth over the next 12 months. The SMEs surveyed were only 56% confident in the country’s economic progress, compared to 77% a year ago.Why SME confidence decreased

 

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