This is an article by Liz Barclay – copyright https://business111.com/news
Britain’s entrepreneurs are once again cutting their own wages to keep their businesses alive. New figures from Enterprise Nation show that three-quarters of founders now pay themselves less than £20,000 a year.
The figures reveal the reality behind the popular image of wealthy business owners. Rising costs and shrinking margins mean many founders are struggling simply to survive.
Founders pay the price
The Enterprise Nation Small Business Barometer shows owners are coping with economic pressure in the way they always have: by paying themselves less.
The proportion earning under £20,000 has risen sharply since 2025. Many entrepreneurs are keeping their businesses going while sacrificing their own financial security.
Yet the debate continues over whether business owners should pay more tax. Few people appreciate the long hours, constant pressure and financial risks involved in building a company.
Turnover is not profit
Too often, turnover is mistaken for profit. A business taking in £1 million a year may sound successful, but once wages, rent, suppliers, taxes and energy bills have been paid, very little may remain.
That is why so many founders eventually close their doors and look for more secure employment.
Britain needs more entrepreneurs
Small and micro-businesses create jobs, strengthen communities and generate tax revenues. We cannot afford to lose them.
If costs continue to rise while rewards continue to fall, more owners will simply walk away, and Britain will be poorer as a result.
This is an article by Liz Barclay – copyright https://business111.com/news
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