UK manufacturers are missing vital business opportunities
A failure to take advantage of potential business opportunities means British manufacturers are losing on around £25 billion.
The figures from Exact suggest that many firms simply fail to respond to enquiries relating to potential new deals.
The business software provider adds that the rising power of other global markets is also having a negative impact on the UK sector as it is unable to compete.
But it is missed opportunities that could really be costing small and medium-sized manufacturers as they lag behind other major markets.
UK firms are behind both their European and American counterparts at responding to new avenues for business.
Whereas an average of 11% of SMEs in the US, Germany, France, the Netherlands and Belgium said they failed to respond to enquiries, that figure rises to 14% in the UK.
The reason for this, according to the study, is a lack of skilled technical staff who are capable of dealing with the enquiries they face.
Some 43% of British firm said this was an issue, compared to a global average of 32%, highlighting the need for UK manufacturers to address the problem.
On top of this, 37% of respondents in the study revealed that managing material and processing costs was challenging.
Other factors relating to the payment of invoices and technical advancements were cited by 34% of firms as causing disruption to their business operations.
Although these issues represent a series of tough challenges for UK manufacturers, they also present a number of opportunities to increase sales and boost finances.
It is up to SMEs to ensure that they are competitive and that they incorporate the latest technology into their working practices.
A failure to do this could impact on the cash flows of firms as they lack the necessary income to manage their situation effectively.
This places pressure on their finances and can leave them at risk of insolvency if not rectified in an appropriate manner.
Any firm fearing for their financial security should contact London Insolvency practitioners to determine the best course of action to take.
By Phil Smith