As well as seeking out alternative finance options, many SMEs are also seeking alternative ways to train their staff in an effort to save money and cut their costs. While alternative lending options might help to save money on expensive bank loans and overdrafts, there are still many other expenses that vigilant firms can cut down – and this includes staff training. Rather than neglecting this, however, firms are looking to find the most affordable options for their work force.
According to the Forum for Private Business, more than one in five companies use guides and handbooks, a cheap and easily reusable form of training that can get a uniform message across, as well as allowing for repeated reading. Supplier training is used by 48% of the small businesses interviewed, and public sector training by bodies such as colleges or local authorities is used by 41%. This shows a branching out from traditional options, showing firms are actively searching for the best choices for their companies.
Though 32% of those interviewed believed that overall, the training and skills environment had improved recently, there were still 19% who believed it has deteriorated in recent times. This is largely to do with the costs involved, which are often seen as prohibitive to small companies already struggling with cash flow. Indeed, 61% of interviewees reported that this was a problem for their business.
It’s important that businesses are able to gain access to affordable courses for their staff, with more options than the traditional expensive courses and conferences. If businesses are unable to access the right training at the right price, their business will start to suffer.
If your firm is struggling to free up cash flow to deal with staff training, invoice finance might be able to help. Freeing up money tied up in unpaid invoices is one way to loosen your cash flow and perhaps allow your business a greater staff training budget – which will no doubt benefit your company.