A lack of financing and the skills shortage is holding back the UK's entrepreneurs, according to a recent survey by the Institute of Directors (IoD).
The research showed that some 42 per cent of the 650 entrepreneurs surveyed - who were all under the age of 35 - reported that they had difficulty hiring people with the right skills, while almost 40
per cent of entrepreneurs said that problems accessing financing had put a halt on the growth of their company.
What's more, 56 per cent of respondents relied on personal unsecured finance such as credit cards, while a further 53 per cent said that money from their families had played a major role in helping
to grow their business.
The respondents agreed that access to skilled employees and good digital infrastructure are key for starting a new business.
Jimmy McLoughlin, deputy head of policy at the IoD, said: "The start-up revolution has taken hold in Britain like nowhere else in Europe.
"It is a worry, therefore, that so many start-ups struggle to hire skilled employees. The push to teach children digital skills is part of the long-term solution, but it is also crucial that
Britain's immigration system is open and easy to navigate."
Mr McLoughlin concluded: "Finding people with the right skills, and tapping into the right mix of finance will be the biggest factors in achieving scale-up success. For start-ups, overcoming these
obstacles can be the difference between success and failure."
He urges more budding entrepreneurs to utilise processes such as crowdfunding - the practice of funding a project or venture by raising monetary contributions from a large number of people -
and peer-to-peer lending to help their businesses grow.
Aspire Institute is one of the leading providers of e-learning in the UK. We provide both public and private sector organisations and individual learners with a choice of over 300 e-learning courses,
many designed to help improve skills and increase productivity. For more information, please visit:http://www.aspireltd.net