45% of small businesses have funds put by in order to be prepared for any eventuality.
The survey, carried out by Alliance & Leicester Commercial Bank, showed that more than half of the businesses that were asked expected to use the funds in their business savings account to cover any loss of business. 42% of respondents had the money set aside for unexpected equipment failure. More than a quarter planned to use the savings to fund growth of their business.
Nearly a quarter of small businesses are able to save between £5,000 to £20,000 per year, and just under 30% said that they did not plan to draw on the sum, instead leaving it in their business savings account for long term growth.
According to the results of the research, there are two main ways in which small businesses put aside their money. Around a third put a fixed amount of money into their business deposit account on a regular basis, while around 40% make payments based on their cash flow.
