One in two entrepreneurs fear going bust

Nov 20 2008 by Peter McCusker, The Journal

A NEW report has found over 50% of North East entrepreneurs fear the recession could put them out of business.

The survey by the Entrepreneurs’ Forum also shows that 90% of those struggling North East businesses said they were experiencing cash-flow problems.

But over 80% of members said they remained motivated to survive the credit crunch and to go on and prosper.

Forum chief executive Carole Beverley said: “It is testament to the renowned entrepreneurial spirit of the North East that the vast majority of businesses remain upbeat and determined to tackle problems head-on in these difficult times.

“Despite what the doom-mongers would have us believe, there is still real motivation to succeed out there.

“And as business owners have their heads down, focused on keeping on track in the short-term, the forum is planning a series of short, sharp events focused specifically on allowing entrepreneurs to share experiences and take away practical solutions that have worked for others to implement in their businesses. It’s probably best described as a combination of speed mentoring and action learning.”

The survey also found that just 55% of businesses said that they felt the real support they needed was available in the North East, and 44% reported that they did not know where to get assistance.

Ms Beverley added: “It’s critical that we proactively signpost to the great support that Business Link and One North East provide and learn from our members’ experiences to make it clear what is available and how to access it, from the business’s perspective – so that we meet the expectations and the needs of the business community.

“So while there is a time and place for business coaching and motivational techniques, we would like to see the major organisations offer genuinely useful aid to entrepreneurial enterprises that are, after all, the lifeblood of the region.”

The forum supports businesses in the region by giving owners access to the wisdom of established entrepreneurs.