The research covers the UK’s 5.6 million micro-firms, which make up 96% of the business population
According to Starling Bank, UK micro-businesses spend 10 weeks in the year working on financial management.
The research unveiled that the average firm clocks up 79 hours of labor each week, of which 15 are spent on finance admin tasks. It takes 19% of total time, equating to just under ten weeks of the working year.
27% of micro-businesses reveal they spend too much time on financial admin, rising to almost 46% among firms with 5-9 workers. 10% of them believed it prevents growth, whereas a fifth of micro-firms say that if they could reduce time spent on finances, they would divert the labor towards sales.
As to how finance-related work affects private life, 33% of workers claim that it affects their personal relations, whereas 1 in 10 stating they have been kept up at night thinking about finance work. 12% of employees believe it negatively influences holidays.
Research reveals that accounting is the most time-consuming finance task. Micro-firms devote to 1.7 hours per week to it, which equates to more than 1 week a year spent solely on keeping the books.