A survey has found that nearly a fifth of tradespeople are missing out on money due to poor financial admin, which equates to £929,028,750 across the industry as a whole.
The research, carried out by Dakea, questioned 500 tradespeople around the UK and discovered that financial admin issues are hitting them where it hurts: in the pocket.
On average, individual tradespeople in the UK are down more than £375 per year because of these mistakes, an amount which rises to £975 for local building firm bosses. A lack of up-to-date business skills was identified as a factor, as only 41 per cent of those surveyed said that they used digital technology to carry out financial processes.
Eleven per cent of those surveyed had lost money due to errors when logging expenses. In addition,13 per cent have lost money due to receipt-keeping problems, with the West Midlands being the worst receipt-keepers in the country.
Undertaken as part of Dakea’s Trade Matters campaign, the survey aims to help identify business and financial skills that can make significant improvements to how tradespeople operate.
To assist with financial planning and completing tax forms, Dakea has created a toolkit of easy-to-use templates that are free to download from tradematters.co.uk.