In a survey released today by Accounting software firm MYOB, the majority of Australia’s small business owners say they fear that recession is on the way as rising interest rates and global market instability take their toll on confidence. Already this year, we have seen significant volatility in world financial markets along with an upward trend in Australian interest rates. Together, these things are having a big impact on small businesses.
Interestingly, few small business owners are making any plans to survive an economic downturn despite worrying about the prospect of a recession. In fact, 83% of respondents to the MYOB survey consider planning and preparing a business to ensure survival through an economic recession to be important, but only 44% actually have a business plan. Obviously they didn’t study Business Mangement at school!
Read the full article in The Age, Business Day, 31 March, 2008 and consider how economic stresses such as those mentioned in the article are affecting the work-life balance of small business owners.