A new poll taken by the smallbusiness.co.uk website has shown that concerns are growing throughout small businesses in Britain that the Christmas period will be a very dreary one indeed.
The poll revealed that over a third of small businesses claimed that they had seen the worst Christmas trading ever, while a further 28 per cent of small firms declared that the Christmas period had proved to be an extremely slow time compared to previous years.
The British Retail Consortium is warning small businesses that the future is not as bright as they would hope either. A spokesman for the Consortium, Richard Dodd, claimed that, “Christmas is a very important time for most retailers. Many rely on doing a substantial amount of business in November and December to remain viable. If these sales are undermined, then it can threaten their ability to survive for the whole year.”
News has also surfaced that small business owners are struggling in other aspects other than financially. Another report, taken by T-Mobile, has shown that small business owners are neglecting their social responsibilities due to guilt about leaving their businesses in such a touch economic climate.
81 per cent of small business owners claim that they are being forced to spend less time networking at parties and other social gatherings, compared to last years festivities, because they simply can’t bear to turn their backs on their firms, even for a second.
I think it’s fair to say that this attitude is quite understandable looking at the results of the poll which show that the Christmas period really isn’t going to supply small businesses any time to relax and enjoy a mince pie or two.
A further study by the Federation of Small Businesses has shown that an uncomfortably high 60 per cent of small businesses have seen their trade slump over the last two months.
The Federation has also recently been warning the country that a great deal of small business in Britain are facing the harsh reality that they may be forced to close their doors this Christmas due to the economic plight of the country – a shocking 40 per cent.
The Federation’s national chairman, John Wright, targeted the banks in a statement that clearly called for attention to be brought to the situation. He said, “With nowhere to turn, small businesses are having to consider cutting jobs and maybe even closing down. This would be a disaster for millions of employees as well as the economy as a whole.”
The FSB is calling for the British public to keep trading at small firms across the country to keep the industry afloat during this difficult period. Wright attempted to rally the Christmas shoppers to keep it local, saying, “Buying your Christmas dinner locally puts 50% of what you spend back into the local economy, as opposed to only 5% spent in supermarkets and chain stores.”
More than 2,000 small traders are given no other choice but to close their doors each year, and 2009 is on course to raise that figure.
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