SMEs owners often underestimate the small day-to-day costs of running a business, research by AXA has suggested.
The survey found that 41% of business owners are shocked by the cumulative costs incurred by seemingly innocuous items.
According to AXA’s research:
- 13% of SME owners say that miscellaneous costs such as tea and toilet roll bring the biggest surprise costs
- 13% said they spend unexpected amounts on stationary and printer ink
- 9% are shocked by their phone bills
- 6% say postage costs are the biggest surprise cost.
Almost two thirds (32%) of employers admit that they don’t look around to find the best prices, potentially resulting in thousands of pounds worth of unnecessary costs.
Darrell Sansom, managing director of AXA Business Insurance said:
“Little things can cost a lot and even if you have the best of intentions for your business budget, it’s amazing how quickly unexpected costs stack up and start biting into your profits.
“Carefully monitoring and controlling all expenses is essential and reviewing costs and switching brands or suppliers on some of those seemingly small things could soon see the savings stack up.”