Some 70% of companies have revealed that they are only planning nine months ahead, with three quarters “lacking confidence” that their strategy is “future-proof”, according to BDO’s The Ambitious Entrepreneur: Tackling Your Barriers to Growth report.
The report, which looks at barriers to growth for the UK’s entrepreneurial businesses, has revealed that only two fifths of the companies surveyed are planning six months ahead.
Meanwhile, more than three quarters of companies surveyed said that “to some degree” they were likely to test out new business ideas, but 21% recognised a “lack of planning will prohibit” this innovation.
Mark Sykes, head of entrepreneurial business, BDO, said: “The last 20 months have demonstrated that plans need to be flexible. For this type of business, it is often their agility which gives them a competitive advantage.
“We’re already seeing businesses work hard to attract and retain talent to support their growth against a challenging backdrop. Taking a long-term view rather than reactive hiring will support future growth and ensure a business is truly scalable.”
He added: “I’d urge entrepreneurial businesses not to get in the way of their own potential by taking a short-term or inward view and seek the support they need to build a longer-term strategy that will allow them to innovate and to maintain a competitive advantage.”